Importing Cars From Bahrain To India: A Comprehensive Guide

Importing a car to India from Bahrain can be a complex and time-consuming process. The guidelines for importing a vehicle to India are strict compared to other countries, and only those vehicles that fulfil every rule of compliance will be allowed on Indian roads. The process of importing a car to India can be done either directly from the manufacturer or through an agent. The car must be manufactured or assembled outside of India and can only be imported from the country where it was assembled or manufactured. The car must be right-hand drive, have headlights that illuminate the left side of the road, and have a speedometer that shows speed in kilometres. It is important to note that importing a car is only possible via naval docks situated in Mumbai, Chennai, and Kolkata.

Importing a new car: rules and regulations

Importing a new car to India involves a complex and time-consuming process, with strict guidelines that must be followed. Here are the rules and regulations you need to know:

Conditions for importing a new car

• The car should be manufactured or assembled outside India.
• The car must be imported from the country where it was built.
• The car must be new and not previously sold, loaned, registered, or leased before being imported.
• The vehicle must be right-hand drive.
• The headlights must be suitable for illuminating the left side of the road.
• The speedometer should show speed in kilometres, not miles.
• Importing a car is only possible through the naval docks in Mumbai, Chennai, and Kolkata.

Procedures for importing a new car

There are two ways to import a new car to India:

• Directly from the manufacturer
• Through an agent

Paperwork and documentation

The following documents are required to import a new car:

• Invoice of the vehicle
• Bill of Lading or Sea Waybill
• Purchase Order/Letter of Credit
• DEEC (Duty Exemption Entitlement Certificate)
• DEPB (Duty Entitlement Pass Book)
• ECGC (Export Credit Guarantee Corporation of India)
• Insurance Certificate
• Homologation and Registration

Import duty on cars in India

The import duty on cars in India depends on the CIF (Cost, Insurance, and Freight) value of the vehicle:

• Cars with a CIF value over USD 40,000 incur a 100% customs tax.
• Cars with a CIF value under USD 40,000 face a 60% import duty.

The overall cost of importing a new car to India will amount to 150 to 200% more than the cost of the car.

Importing a used car: guidelines

Importing a used car to India is a complex and time-consuming process. Here are the guidelines you need to follow:

Conditions for importing a used car to India:

• The manufacturing year of the imported car should not be more than 3 years old.
• The vehicle must be right-hand drive.
• The headlights should be suitable for illuminating the left side of the road.
• The speedometer should show speed in kilometres.
• The car should be imported via the naval docks in Mumbai, Chennai, or Kolkata.
• The car should be loaned, leased, registered, or sold.
• The vehicle should have a roadworthiness certificate with a validity of at least 5 years.
• Banned vehicles cannot be imported. This includes cars with an engine capacity ranging from 1,000cc to 2,500cc, heavy-duty two-wheelers or bikes with an engine capacity of 50cc to 500cc, and scooters with an engine capacity of 250cc to 800cc.

Transfer of residence:

• Foreign nationals or NRIs can import one vehicle when shifting permanently to India, either a car or a two-wheeler, new or used.
• The foreign national/NRI should not have stayed in India for at least 2 years before the transfer and should plan to reside in India for at least 1 year after the transfer.
• The transfer of residence process should not have been carried out by the person for at least 3 years before the current transfer process.
• Only one family member can carry out this process and they need to fill out the Transfer of Residence Form.
• The vehicle should be imported within 6 months of the person shifting base to India.
• The imported vehicle cannot be sold for at least 2 years after the transfer.
• There is no restriction on the vehicle being new or used if the engine capacity is between 75cc and 500cc.
• If the engine capacity of the car being imported is more than 1,600cc, it should be registered for at least 1 year before the import.

Procedure for importing a used car to India:

There are two ways to import a used car to India:

• Directly from the manufacturer
• Through an agent

Paperwork and documentation:

The following paperwork is required for importing a used car to India:

• Invoice of the vehicle
• Bill of Lading or Sea Waybill
• Purchase Order/Letter of Credit
• DEEC (Duty Exemption Entitlement Certificate)
• DEPB (Duty Entitlement Pass Book)
• ECGC (Export Credit Guarantee Corporation of India) or other documents as required

Things to consider before importing a used car to India:

• Importing a vehicle to India is time-consuming, so it is important to consider certain things before beginning the process.
• The import duty on cars in India is 100% for cars with a CIF (Cost, Insurance, and Freight) value over USD 40,000 and 60% for cars with a CIF value under USD 40,000. The used vehicle import tax stands at 125%.
• The vehicle needs to be registered in India at the nearest RTO. The charges for registration and road tax are not included in the import duty.

Transfer of residence: conditions

If you are relocating to India, you may want to bring your vehicle with you. The process for importing a car to India from Bahrain will depend on various factors, and there are several conditions that must be met. Here is some information to help guide you through the process.

Firstly, it is important to note that importing a car can be costly and time-consuming, so it is worth considering whether it is the best option for your situation. If you are not planning to stay in India for a long period, it may be more hassle than it is worth. Additionally, it is a good idea to familiarise yourself with the prices of vehicles in India, as you may be able to purchase a similar car for a lower price.

If you decide to import your car, there are several procedures you must follow. Firstly, you will need to submit an Import Customs Declaration Form (CDF) and provide various documents, including a Traffic Technical Inspection with a Clearance Certificate, an Inspection License Plate from the Traffic Department at the Port, an Export License Plate, vehicle details, a vehicle insurance certificate, and an Identification Card.

It is also important to be aware of the customs laws and procedures. Demurrage charges may apply if your vehicle is left within the Customs Points premises. Customs duty is collected based on the invoice or the valuation price determined by Indian Customs. Only the owner or an authorised party can collect the vehicle, and you will need to provide an authorisation certificate if you are importing four-wheel tractors or two-wheel motorcycles.

When importing through the sea port or air cargo, you must include a delivery order, bill of lading, and a clearance certificate with the customs declaration. You will then need to approach the relevant Indian authorities to obtain an authorisation certificate. Demurrage charges at the sea port are collected by the port authorities.

It is also essential to ensure that your vehicle meets all Indian regulations and standards, as non-compliant vehicles may not be allowed entry. Working with a reputable shipping company that specialises in international vehicle transport can help streamline the process and ensure that all the necessary paperwork and requirements are met.

Who can import commercial vehicles to India?

The rules for importing commercial vehicles to India are strict because passengers may travel in imported passenger cars, multi-utility vehicles, or jeeps. Here are the profiles of those who can import such vehicles into the country:

• Foreign nationals or NRIs who have not resided in India for at least two years before the import. They should own the vehicle for at least one year.
• Legal heirs/successors of a person who died abroad and has left a vehicle in their possession.
• Physically challenged people.
• Multinational business organisations with offices in India.
• Companies operating out of India but dealing with foreign equities.
• Religious, missionary, or charitable trusts that are legally registered in India and follow the rules laid down by the State or Central Government.
• Honorary Consuls that are recommended by the Ministry of External Affairs, Government of India.
• Journalists possessing an accreditation certificate from the Press Information Bureau, Ministry of Information and Broadcasting, Govt. of India.

Procedure for importing a foreign car

Importing a foreign car to India is a complex and time-consuming process. Here is a step-by-step guide to help you navigate the procedure:

• Understand the conditions for importing a foreign car: The rules for importing a new or used car to India vary. For instance, a new car must be manufactured or assembled outside India and imported from the country where it was built. It should also be right-hand drive, with headlights suitable for illuminating the left side of the road, and the speedometer should show speed in kilometres.
• Choose the correct port: Cars can only be imported through the naval docks in Mumbai, Chennai, and Kolkata.
• Select the correct import method: You can import a car either directly from the manufacturer or through an agent. If you choose to import through an agent, they will help you with the registration process and handle the necessary documentation.
• Prepare the required documentation: The following documents are typically required for importing a vehicle to India: invoice of the vehicle, bill of lading or sea waybill, purchase order/letter of credit, and specific certificates such as the Duty Exemption Entitlement Certificate (DEEC) or Duty Entitlement Pass Book (DEPB).
• Be aware of additional considerations: Importing a vehicle to India is a lengthy process, and there are several other factors to consider. For example, the import duty on cars in India is 100% for vehicles with a CIF (Cost, Insurance, and Freight) value over USD 40,000, and 60% for those under USD 40,000. Additionally, the vehicle will need to be registered in India, and there may be registration and road tax charges.

Frequently asked questions