How To Import Foreign Cars To India – Procedure, Guidelines Registration


From Indian celebrities and business tycoons to cricketers, everyone has been in the limelight because of an attractive imported exotic car. Such cars are so amazing that people willingly spend a ton of money to import them into India, a country that has laid down a strict set of rules and regulations for the import of foreign vehicles.

The process of importing foreign vehicles into India is a bit complex as well as time-consuming. But the person who is willing to spend both time and money for this purpose can get the car of his dreams by following the rules and carrying out the side process. In this article, we will discuss how you import a foreign vehicle into India, along with important guidelines that you need to follow with regard to import.



Importing Foreign Cars To India

As mentioned earlier, the guidelines for importing a foreign vehicle into India are quite strict compared to other countries. Only those foreign vehicles will be allowed to ply on Indian roads that meet all the compliance norms. Here is a list of details of different types of exotic cars:


Import condition of foreign cars in India :(Conditions For Importing Foreign Cars To India)


Rules for Importing a New Car:(Rules To Import A New Car)


  • The rules for importing a new vehicle in India are different from the rules for importing an old vehicle. To import a new car, the conditions must be fulfilled:

  • The car must be manufactured or assembled outside India.
  • The car should only be imported from the country where it was made.
  • The car must be new in every sense. It must not have been previously sold, loaned, registered or leased before being imported into India.
  • Vehicle must be right-hand drive.
  • Car headlights should be such that they are suitable for illumination on the left side of the road
  • Speedometer should show speed in kilometers and not in miles


Car importation is possible only through Naval docks located in Mumbai, Chennai and Kolkata. Thus, the car should be brought to India through any of these ports.




Rules for importing a used car

The rules for importing a used car into India are quite strict and the process may take a long time to complete. Here are the guidelines:


  • The manufacturing year of second hand imported cars should not exceed 3 years.
  • Vehicle must be right-hand drive.
  • Car headlights should be such that they are suitable for illumination on the left side of the road.
  • The speedometer should show the speed in kilometers and not in miles.
  • The car must be either loaned, leased, registered or sold.
  • It is important that the vehicle is road worthy. Thus, it should have a roadworthiness certificate and its validity should be at least 5 years



Banned Vehicles:(Banned Vehicles)

Restricted vehicles cannot be imported into India. A person needs to ensure that the vehicle being imported does not have the following specifications:


  • Cars with engine capacity from (1,000cc to 2,500cc.)
  • Heavy duty two wheelers or bikes with engine capacity ranging from (50cc to 500cc.)
  • Scooters whose engine capacity ranges from (250cc to 800cc.)


Transfer of Residence:(Transfer Of Residence)

India allows foreign nationals or non-resident Indians (NRIs) to import a vehicle while permanently relocating to India. The vehicle can be a car or a two wheeler, new or used. Here are the other conditions for import of car/bike under "Transfer of Residence":


Foreign national/NRI should not have resided in India for at least 2 years prior to transfer.

The person must have a plan to reside in India for at least one year after the transfer.

- The person should not have gone through the process of "Transfer of Residence" for at least three years prior to the current transfer process.

Only one member of the family can do this process. He/she will have to fill the Transfer of Residence form for this purpose.

The car/bike must be imported within six months of shifting the base to India.

Sale of imported vehicle is prohibited for at least two years after transfer. Thus, one must wait for 2 years to sell the vehicle.

- There is no restriction if the engine capacity of the vehicle is between 75cc and 500cc then new or used.

- If the engine capacity of the car being imported is more than 1,600cc, it must be registered at least 1 year prior to the import.



Who Can Import Commercial Vehicles To India?(Who Can Import Commercial Vehicles To India)


Commercial vehicles need to meet additional criteria to be imported into India. The rules for commercial vehicles are strict as passengers can travel via imported passenger cars, multi-utility vehicles or jeeps. Here are the set of profiles that can import such vehicles into the country:


Foreign nationals/NRIs who have not resided in India for at least 2 years prior to importation. he has at least 1 year Must have vehicle.


Relatives i.e. legal heirs/heirs of a person who has died abroad and has left a vehicle in their possession.


  •  People who are physically handicapped.
  • Business entities existing in India having foreign equity participation.
  • Foreign business entities having a branch office in India.
  • Religious, missionary or charitable trusts which are legally registered in India and comply with the rules prescribed by the State or Central Government.
  • Any Honorary Consul recommended by the Ministry of External Affairs, Government of India.
  • Any journalist holding a certificate of recognition from the Press Information Bureau, Ministry of Information and Broadcasting, Govt. of India.


Procedure for Import of Foreign Car:(Procedure For Import Of Foreign Car)

There are two ways in which you can get the car imported into India. The vehicle can be imported directly from the manufacturer or through an agent. You need to arrange the required documents and follow the process yourself. On the other hand, an agent will help you to import the car into India and help you till the car is registered in the country.

Paperwork and Documentation:(Paperwork And Documentation)

The following paperwork will be required to import a vehicle into India.


- Vehicle Invoice

-insurance policy

-GATT Declaration

-Bank draft

-Bill of Lading or Sea Waybill

-Import License

-Purchase Order/Letter of Credit

-Test report

- DEEC (Duty Exemption Entitlement Certificate) / DEPB (Duty Entitlement Pass Book) / ECGC (Export Credit Guarantee Corporation of India) or other documents as required.


Note that more documents may be required when actually completing the import process.


Things To Consider Before Importing A Car In India:(Things To Consider Before Importing A Car Into India)

Importing vehicles into India is a time-consuming process, thus it is important to consider a few things before starting the process. Here is a list of things you need to know before importing a vehicle into India:


Import Duty on cars

You may have to pay around (165% )of the cost of the car, car insurance and freight (CIF) value as import duty.


Import Duty on bikes

You may have to pay around (116% )of the cost, insurance and freight (CIF) value of the bike as import duty.

Registration

The vehicle must be registered with the nearest RTO in India. The duties of registration and road tax are not included in the import duty. These charges depend on the type and cost of the vehicle.