
How to Import from Vietnam to India: A Complete Guide for 2025
Vietnam-India trade has crossed $14 billion annually, and Indian businesses are increasingly looking eastward for reliable suppliers. Whether you're sourcing electronics, textiles, agricultural products, or machinery, Vietnam offers competitive pricing, quality manufacturing, and preferential tariff benefits under the ASEAN-India Free Trade Agreement (AIFTA).
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This guide walks you through everything you need to know about importing from Vietnam to India in 2025—from HS codes and duty calculations to documentation and compliance requirements.
Vietnam has emerged as one of India's most important trading partners in Southeast Asia. Here's what makes it attractive for Indian importers:
| Factor | Advantage |
|---|---|
| Preferential Tariff | 0-5% BCD on most products under AIFTA |
| Manufacturing Quality | ISO-certified facilities, competitive with China |
| Geographic Proximity | Shorter shipping times (7-12 days to major Indian ports) |
| FTA Benefits | ASEAN-India Trade in Goods Agreement (AITIGA) |
| Product Range | Electronics, textiles, footwear, machinery, coffee, seafood |
> Pro Tip: Vietnam is particularly strong in electronics manufacturing, textiles, footwear, and agricultural exports like coffee and cashews. If you're in these sectors, Vietnam should be on your radar.
Before anything else, you need to determine the correct Harmonised System (HS) Code for your product. This 8-digit code determines:
| Product Category | HS Code | BCD Rate (Standard) | AIFTA Preferential Rate |
|---|---|---|---|
| Mobile Phones | 8517.12 | 20% | 0% |
| Textiles (Cotton Fabrics) | 5208.11 | 10% | 0% |
| Footwear (Leather) | 6403.20 | 10% | 0% |
| Coffee (Roasted) | 0901.21 | 30% | 5% |
| Cashew Nuts | 0801.32 | 2.5% | 0% |
| Electronics Components | 8541.10 | 0% | 0% |
| Machinery Parts | 8479.90 | 7.5% | 0% |
How to find your HS Code:
> Watch Out: Using the wrong HS code can result in penalties, shipment delays, and incorrect duty payments. When in doubt, request a binding tariff ruling from customs authorities.
Not all products can be imported freely. Depending on your product, you may need:
Here's where the ASEAN-India Free Trade Agreement delivers real savings.
| Component | Rate | Calculation Basis |
|---|---|---|
| CIF Value | — | Cost + Insurance + Freight |
| Basic Customs Duty (BCD) | Varies by HS Code | % of CIF |
| Social Welfare Surcharge (SWS) | 10% of BCD | % of BCD |
| IGST | 18% or 28% | % of (CIF + BCD + SWS) |
Under the ASEAN-India Trade in Goods Agreement (AITIGA), most products from Vietnam attract 0% or significantly reduced BCD—provided you meet the Rules of Origin requirements.
| Cost Component | Without AIFTA | With AIFTA Certificate |
|---|---|---|
| FOB Value | ₹41,50,000 | ₹41,50,000 |
| Freight + Insurance | ₹4,15,000 | ₹4,15,000 |
| CIF Value | ₹45,65,000 | ₹45,65,000 |
| BCD (10% → 0%) | ₹4,56,500 | ₹0 |
| SWS (10% of BCD) | ₹45,650 | ₹0 |
| Assessable Value | ₹50,67,150 | ₹45,65,000 |
| IGST (18%) | ₹9,12,087 | ₹8,21,700 |
| Total Landed Cost | ₹59,79,237 | ₹53,86,700 |
| Your Savings | — | ₹5,92,537 |
> Key Update: As of 2025, India and ASEAN are negotiating upgrades to AITIGA, with discussions on further tariff liberalisation. Monitor DGFT notifications for updates.
To claim preferential duty rates, your Vietnamese supplier must provide:
Requirements:
What to check on the certificate:
> Watch Out: Customs can deny AIFTA benefits if the Certificate of Origin is incomplete or suspicious. Always verify with your supplier before shipment.
Here's your complete checklist:
| Document | Purpose |
|---|---|
| Commercial Invoice | Value declaration |
| Packing List | Contents and weight details |
| Bill of Lading/Airway Bill | Proof of shipment |
| Certificate of Origin (Form AI) | AIFTA benefit claim |
| Insurance Certificate | Risk coverage proof |
| Product-specific certificates | BIS, FSSAI, Phytosanitary as applicable |
| Document | Where to Obtain |
|---|---|
| Import Export Code (IEC) | [DGFT](https://dgft.gov.in/) |
| GST Registration | GST Portal |
| AD Code (Authorised Dealer) | Your bank |
| PAN Card | Income Tax Department |
Once your shipment arrives at an Indian port (Nhava Sheva, Chennai, Visakhapatnam, or Kolkata), here's what happens:
Typical Timeline: 2-5 days for green channel, 7-15 days if examination is required.
Your responsibilities don't end at clearance:
| Challenge | Solution |
|---|---|
| Certificate of Origin rejected | Verify Form AI is correctly filled; ensure 40% value addition |
| HS code disputes | Get advance ruling; use correct 8-digit code |
| Delayed shipments | Choose reliable freight forwarders; track via ICEGATE |
| Quality issues | Conduct pre-shipment inspection; use LC payment terms |
| Currency fluctuation | Hedge with forward contracts |
| Expense Item | Estimated Cost (INR) |
|---|---|
| IEC Code | ₹500 |
| GST Registration | Free |
| Digital Signature (for ICEGATE) | ₹1,500-3,000 |
| CHA Services (per shipment) | ₹5,000-15,000 |
| Freight Forwarder (20ft container) | ₹1,50,000-2,50,000 |
| Insurance (1-2% of CIF) | Variable |
| Compliance Consultant (optional) | ₹25,000-50,000/year |
At Befach International, we specialise in helping Indian businesses navigate the complexities of importing from Vietnam and other ASEAN countries. Our services include:
Contact us for a free consultation on your Vietnam import requirements.
Q: Can I import from Vietnam without an IEC?
No. The Import Export Code (IEC) is mandatory for all commercial imports into India. Apply through DGFT.
Q: How long does shipping from Vietnam to India take?
Sea freight typically takes 7-12 days to major Indian ports (Nhava Sheva, Chennai, Visakhapatnam). Air freight takes 2-4 days.
Q: What if my supplier can't provide Form AI?
You'll pay standard BCD rates, which can be 10-30% higher. Always confirm AIFTA certificate availability before placing orders.
Q: Is Vietnam part of RCEP? Can I benefit from it?
India is not part of RCEP. For India-Vietnam trade, AIFTA/ATIGA is the operative agreement.
Q: Do I need to pay IGST on imports from Vietnam?
Yes, IGST is payable on all imports regardless of origin. However, it's fully creditable against your output GST liability.
Last updated: January 2025. Duty rates and regulations are subject to change. Always verify current rates on [CBIC](https://www.cbic.gov.in/) before importing.
Need help with this process? Befach handles the entire process end-to-end so you can focus on your business. Let us handle it