Do you want to start export business in Pakistan but don’t know how to do it. Don’t worry, I will tell you how to start export business in Pakistan. Starting an export business neither hard nor easy, it’s all about knowledge and dedication. If you are thinking of getting the import export business license to start import export business, then stop thinking. In Pakistan, there is no import export license, but you have to define it in some official document. Keep on reading to know all about how to start export business in Pakistan.
With the new government in Pakistan, Pakistan’s Prime Minister Imran Khan is very determined to raise the image of Pakistan and increase investment in the country and increase the number of jobs. Under the CPEC (China-Pakistan Economic Corridor), Pakistan’s job market will grow, leading to an increase in import and export business in Pakistan.
Now with ongoing development under CPEC Pakistan has gain duty free access to 313 products in China, these products are the major exports of Pakistan. CEPC will benefit a lot in import and export of Pakistan. Many other countries also have the potential for Pakistani products. Pakistan’s top export destinations are China, Germany, UK, USA, and Afghanistan. Pakistan exports 186 products around the world.
So, you need to expand your business by getting into exports. Keep reading, and I will tell you how you can start the export business in Pakistan step by step.
How to Start Export Business in Pakistan
Starting an export business is easy if you know all about your product, how it is performing in other countries, what documents required for the export from Pakistan, and the process you have to go through. Following are the steps you can follow to start the export business in Pakistan.
Step 1: Business Formation
The first step is business formation to export products from Pakistan. Before starting any business, registration is important, and most newcomers lost their energy and passion during this process, but this is not a hard process. There is a different type of business which includes Sole Proprietorship, Partnership, and Corporation. You need to choose what kind of business type you are going to have while registration.
For starting an export business in Pakistan, many people register their business as sole proprietor or partnership. Choose the business name wisely and form a company for the business.
Step 2: Registration of NTN
Nowadays NTN is very important for business and salaried person. FBR has made it compulsory to register for National Tax Number (NTN). There is no registration fee to get NTN in Pakistan. It is not difficult to register yourself as a taxpayer. You can easily apply for NTN registration through an online portal or going to the FBR office in Pakistan. FBR has set up 200 centers to facilitate taxpayers. NTN is used to file income tax in Pakistan.
Step 3: Registration of STRN
Get an STRN (Sales Tax Registration Number) for your business or company. It is the number that is assigned to a person company or AOP by the government of Pakistan for charging sales tax on products. Sales tax registration is important to start import export business in Pakistan. For the STRN you have to physically visit the regional tax office of your city.
The steps that involve in the sales tax registration are, the submission of required documentation, the authorized person must go to the regional tax office in person, biometric verification, submission of a mobile number, and email address. After submitting all the documents, regional tax officers inspect the business area and issue the registration certificate along with login detail of efile portal. This efile portal helps you file the sales tax return.
Step 4: Registration of Chamber of Commerce
The chamber of commerce and industry was built to work for the betterment of the business community. The membership of the chamber of commerce and industries is also necessary for trade purposes. There are two types of membership in almost every Chamber of Commerce and Industries in the country, one is corporate membership, and other is associate membership. The letter of origin that is used in the export business can be obtained from the Chamber of Commerce and Industries. Every major city has its branch of Chamber of Commerce and Industries.
Step 5: Registration of Current Bank Account
A current bank account under the name of the business is required for the import and export business. After the confirmation of export order your client may transfer the payment to the company bank account or you may ask for the L/C payment. L/C is the secure method to get the money from the client. If you don’t know about the L/C payment don’t worry about it because your bank manager will guide you about the L/C payment.
Step 6: Registration of WeBoc
WEBOC account is required to file GD (Goods Declaration) for import and export cargo. It can be used by the importers, exporters, and even by the customs clearing agents. WEBOC is a web based one customs provided by the FBR to facilitate the customs. Nowadays, WEBOC is an important and standard system for filling goods declaration. That’s why the old manual GD filing system is not applicable anymore.