Wheat Export Business with Apeda

How to Start a Profitable Wheat Export Business in India?

Online Legal India LogoBy Online Legal India Published On 11 Dec 2020 Updated On 12 Apr 2025 Category IEC

Wheat has always held a special place in Indian households, whether in the form of daily rotis or festive sweets. Beyond our kitchens, wheat is also making a significant impact globally. As one of the world's largest wheat producers, India plays a crucial role in meeting global demand.

In recent years, wheat exports from India have gained strong momentum. This is due to the increased global demand and consistent support from the Indian government, it’s become one of the most stable and promising sectors in the export business. For someone looking to step into the export world, wheat is considered a smart and relatively safe starting point.

What is even better is that the Indian government, through organizations like the Agricultural and Processed Food Products Export Development Authority (APEDA), has made it easier for exporters. From building better infrastructure to helping meet international quality standards, these efforts give Indian wheat a competitive edge in the global market.

In the rest of this article, we’ll walk you through how wheat export works in India, what regulations you need to follow, and how APEDA and Importer Exporter Code (IEC) support exporters at every step of the journey. Whether you're new to the field or just exploring the opportunity, you're in the right place. In this article, you will learn how to start a profitable wheat export business in India.

The Reason Why Wheat Export Business is Profitable

Wheat is one of the most widely consumed grains in the world, making its export business highly profitable. With increasing global demand, favorable pricing, and India’s position as a leading producer, the wheat export business offers high returns and long-term growth opportunities.

1. High Global Demand for Wheat

Wheat is a staple food in many countries, used for making bread, pasta, biscuits, and other food products. Rising populations and changing food habits have led to:
? Consistently high demand worldwide
? Increased imports by countries with low wheat production
? A stable market for wheat exporters

Top Wheat-Importing Countries:

  • Egypt
  • Indonesia
  • Turkey
  • The Philippines
  • China

Since India produces a large volume of wheat, exporters can tap into these growing markets and build a steady revenue stream.

2. Competitive Pricing and Cost Advantage

India benefits from lower production costs, making its wheat price more competitive in the global market. Key factors that contribute to cost efficiency:
? Affordable labor compared to Western countries
? Government subsidies for wheat farming
? High domestic production, ensuring a surplus for export

This price advantage helps Indian exporters gain a strong foothold in international markets.

3. Government Support and Trade Policies

The Indian government actively supports wheat exports through policies such as:
? Export incentives and subsidies
? Ease of obtaining export licenses
? Improved logistics infrastructure (ports, storage, transportation)

These initiatives reduce operational costs and increase profitability for wheat exporters.

4. Expanding International Trade Agreements

India has signed various trade agreements with other nations, making wheat exports easier and more profitable. Some agreements reduce tariffs, while others offer tax benefits, helping exporters maximize their profits.

5. Diversified Product Range

Wheat is exported in multiple forms, including:

  • Raw wheat grains
  • Wheat flour
  • Wheat-based processed products (pasta, noodles, biscuits, etc.)

This diversification allows exporters to cater to different market segments and increase revenue.

6. Consistent Market Growth & Future Prospects

With the rising demand for organic and gluten-free wheat, Indian exporters can explore:
? Premium wheat markets
? Value-added wheat products
? Specialized wheat varieties (durum, hard red, etc.)

This diversification ensures sustained profitability in the long run. The wheat export business is highly profitable due to global demand, competitive pricing, government support, and growing trade opportunities. With India’s strong wheat production capabilities, exporters can achieve high margins and business expansion in international markets.

The Indian government, through APEDA, is also doing a lot towards it like building infrastructure, guiding exporters, and refining export policies to make global trade smoother and more profitable. But before you dive in, there is one important step you can’t skip which is obtaining an Import Export Code (IEC) from the Directorate General of Foreign Trade (DGFT). It’s your official permission slip to start trading across borders.

All in all, if you are planning to build a stable business in exports, wheat is one of the safest and most promising options right now with the right paperwork and a bit of planning, you are good to go.

Key Functions of the Import-Export Division in India's Wheat Trade

The Import-Export Division plays a behind-the-scenes but vital role, to make sure India’s wheat and rice trade runs smoothly. Imagine managing not just the shipment of grains, but coordinating with multiple government and logistics agencies like Railways, Ports, and public enterprises to get everything in the right place at the right time. That’s exactly what this division does.

They help shape export policies, track vessel arrivals, monitor how much grain moves in and out of the country, and keep an eye on global prices and demand. Their job ensures that India’s food grain exports, especially wheat, meet international needs while staying in line with national policies. It’s a big responsibility, and they make it look easy by turning complex operations into organized, real-time action.

Key Functions of the DGFT Explained

Here is the key functions of DGFT in India. Let’s learn.

  1. Foreign Trade Policy:

The DGFT is responsible for formulating and implementing India's foreign trade policy, which outlines the rules and regulations governing imports and exports.

  1. IEC Issuance:

It is the authority that issues the Importer-Exporter Code (IEC), a mandatory 10-digit identification number for all businesses engaged in import and export activities.

  1. Trade Facilitation:

The DGFT aims to facilitate trade by providing information, guidance, and services to exporters and importers.

  1. Online Services:

The DGFT offers various online services, including IEC application, e-BRC application for banks, and IEC status verification.

  1. Foreign Trade Development and Regulation:

The DGFT plays a crucial role in the development and regulation of foreign trade in India.

  1. Export Promotion:

The DGFT supports export promotion through various schemes and initiatives.

  1. Trade Statistics:

The DGFT also provides information on trade statistics.

  1. Import Management:

The DGFT also provides services for import management, including import licenses, quotas, and other registrations.

Responsible Authorities for What Export Business

  1. Ministry of Commerce and Industry:

The DGFT operates under the Ministry of Commerce and Industry, which is responsible for overall trade policy and promotion.

  1. Central Board of Indirect Taxes and Customs:

The Department of Revenue's Central Board of Indirect Taxes and Customs handles customs clearance and related matters.

  1. Indian Customs Electronic Data Interchange Gateway (ICEGATE):

This gateway facilitates electronic filing of import and export documents.

  1. Export Promotion Councils:

There are fourteen Export Promotion Councils under the administrative control of the Department of Commerce, which provide advisory and executive functions to exporters.

  1. Federation of Indian Export Organisations (FIEO):

FIEO is an apex body of Indian exporters that provides services to the exporting community.

  1. Indian Institute of Foreign Trade (IIFT):

IIFT provides training to government officials, diplomats, entrepreneurs, exporters, and other stakeholders on international business and trade policy. To learn in detail, contact Online Legal India experts, managing foreign trade.

How to Start a Wheat Export Business in India?

It can be a profitable business to export wheat from India, but it involves some important legal steps and registrations to ensure smooth operation, which are mentioned below.

  1. Company Registration

Before you begin, you need to register a legal business entity in India. The most common options include:

Company registration is done through the Ministry of Corporate Affairs (MCA).

  1. Importer Exporter Code (IEC)

The Importer Exporter Code (IEC) is mandatory for any import or export activity. This is a 10-digit number that is Issued by the Directorate General of Foreign Trade (DGFT), without this 10-digit code, no business can export wheat legally from India. The process is online and fairly simple via the Directorate General of Foreign Trade (DGFT) Portal.

  1. APEDA Registration

Wheat comes under the list of scheduled products under the Agricultural and Processed Food Products Export Development Authority (APEDA). Registration with APEDA is essential to:

  • Export wheat legally
  • Avail benefits under export promotion schemes
  • Participate in trade fairs and buyer-seller meets organized by APEDA

You can apply for APEDA registration through the APEDA government portal.

  1. Open a Business Bank Account

After you register your company, and open a current account in the name of your business. This is required for all export-related financial transactions. Banks will ask for your business documents like PAN, IEC, and proof of registration.

  1. GST Registration

Every exporter must have a Goods and Services Tax (GST) number to legally sell goods and file returns. It also helps claim GST refunds on exported goods, as exports are considered "zero-rated" under Indian tax law. GST registration can be done online through the GST Portal.

  1. ESI & EPF Registration If Applicable

If your wheat export business includes a production or packaging unit with more than 10 employees, you must register under:

  • ESI (Employee State Insurance): Covers medical and sickness benefits for employees.
  • EPF (Employees’ Provident Fund): A retirement benefit plan mandatory for businesses with 20+ employees.

These are monitored by ESIC and EPFO, respectively.

  1. Trademark Registration

To build a strong brand identity, it is wise to register your brand name, logo, or label under the Trade Marks Act, 1999. This prevents others from copying your brand and gives you exclusive legal rights. It also boosts your credibility in international markets.

Once these steps are completed, your business will be legally compliant, ready for exports, and capable of competing globally.

Conclusion

The wheat export business in India is more than just a trade opportunity it’s a reflection of the country’s agricultural strength and growing global presence. As consumer preferences shift and global demand rises, Indian wheat continues to earn its place in international markets.

But success in this field isn’t just about growing or sourcing wheat, it’s about building a strong foundation through proper registrations, compliance, and smart branding. If you stay informed, follow the right processes, and seek professional guidance when needed, you can transform this opportunity into a sustainable export business.

Wheat export is not just for large enterprises, it is also equally promising for small and medium businesses, especially with support from government bodies like APEDA and expert platforms like Online Legal India. Whether you are just starting up or planning to scale up, it is the right time to sow the seeds for a globally competitive business. With dedication and the right support system, your wheat can feed not just homes in India, but the world.

Online Legal India: Expert Help with IEC Registration

This is an exciting step to start a wheat export business, but navigating the regulatory formalities, especially obtaining the Importer Exporter Code (IEC) can feel breathtaking. That’s where Online Legal India comes in. Our team of legal experts and export consultants is here to guide you through every step of the Importer Exporter Code (IEC) registration process.

We handle the documentation, help you avoid common application mistakes, and make sure your submission meets all Directorate General of Foreign Trade (DGFT) requirements. Our support doesn’t stop at paperwork we offer complete handholding until you receive your Importer Exporter Code (IEC) and are ready to take your business global.

Whether you are setting up a new export company or scaling up an existing one, our professionals offer quick, reliable, and affordable solutions. With our help, you won’t just be legally compliant, you will be set up for success in international trade. Let us take care of the formalities while you focus on the business. Start your export journey the right way with the right team by your side. Visit Online Legal India today to get assistance in wheat expert business compliance services.


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