Country guide

Export from India to Japan: Complete Guide

Everything Indian exporters need to know about selling to Japan. CEPA preferential tariffs, JIS/JAS/PSE compliance, consumption tax, shipping logistics, and high-growth market opportunities.

By Aaryan Kakani · · Updated · 7 min read

Why export to Japan from India?

Japan is India's 12th-largest trading partner, with bilateral merchandise trade exceeding $20 billion annually. The India-Japan CEPA (Comprehensive Economic Partnership Agreement), in force since August 2011, provides preferential tariff access covering approximately 90% of tariff lines, making Japan a strategically important market for Indian exporters.

What does India export to Japan?

CategoryKey ProductsApprox. Share
Petroleum ProductsRefined petroleum, naphtha, diesel~25%
Gems & JewelryCut diamonds, precious stones, silver articles~12%
ChemicalsOrganic chemicals, dyes, agrochemicals~10%
Marine ProductsFrozen shrimp, squid, fish fillets~9%
Textiles & ApparelCotton fabrics, synthetic textiles, garments~8%
Iron & SteelFlat-rolled products, ferro-alloys, pig iron~7%
PharmaceuticalsGeneric drugs, APIs, formulations~5%

Which shipping routes connect India and Japan?

Indian PortJapanese PortTransit Time (Sea)
JNPT (Nhava Sheva)Tokyo / Yokohama16-18 days
JNPT (Nhava Sheva)Osaka / Kobe14-16 days
ChennaiTokyo / Yokohama14-16 days
ChennaiOsaka / Kobe12-14 days

What documents do I need to export to Japan?

Japan Customs is highly efficient but strict. Documentation must be precise. Discrepancies between the commercial invoice and the CEPA certificate of origin are the most common cause of preferential tariff denial.

DocumentPurposeRequired By
Commercial InvoiceGoods description, quantity, value (FOB/CIF), HS codesBoth sides
Packing ListItemized contents with weights and dimensions per packageBoth sides
Bill of Lading / Airway BillContract of carriage; title document for sea freightBoth sides
CEPA Certificate of OriginMandatory for preferential tariff rates under India-Japan CEPAJapan Customs
Shipping BillIndian customs export declaration filed via ICEGATEIndian Customs
IEC (Import Export Code)10-digit code from DGFT; mandatory for all exportersIndian Customs
JIS Compliance CertificateCertifies product meets Japanese Industrial Standards (product-specific)Japan Customs / buyer
Phytosanitary CertificateCertifies plant/food products are pest-free; issued by NPPO IndiaMAFF (food/agri only)
Food Sanitation Act CertificateImport notification for food products; quarantine inspection at portMHLW (food only)

What are Japan's import duties and tariffs?

Japan's customs duties are governed by the Japan Customs Tariff Schedule. India receives MFN (Most Favored Nation) rates by default, but the India-Japan CEPA provides significantly lower preferential rates on most product categories.

What is Japan's de minimis threshold?

Japan's de minimis threshold is JPY 10,000 (approximately $65-70 USD). Shipments with a CIF value at or below this threshold enter duty-free with simplified customs procedures.

How do MFN and CEPA duty rates compare?

Product CategoryMFN RateCEPA RateSavings
Petrochemicals3-6.5%0%Full elimination
Gems & Cut Diamonds0-5.4%0%Full elimination
Organic Chemicals3-6.5%0-3%Up to 100%
Marine Products (shrimp)3.5-10%0-1%Up to 100%
Textiles (cotton)5-12%0-5%50-100%
Iron & Steel0-6%0%Full elimination
Auto Parts0-5%0%Full elimination
Pharmaceuticals (APIs)0-5%0-3%Up to 100%
Leather Goods8-16%0-8%50-100%
Agricultural Products3-30%VariesPartial; many excluded

How does Japan's consumption tax work?

Japan levies a consumption tax (shouhizei) on all imported goods, functioning similarly to VAT. This is charged in addition to customs duties at the point of import.

RateApplies ToBreakdown
10%Standard rate. Most goods and services7.8% national + 2.2% local
8%Reduced rate. Food and non-alcoholic beverages (takeout/delivery only)6.24% national + 1.76% local

How is import consumption tax calculated?

Taxable value = CIF value + customs duty + excise tax (if any) Consumption tax = Taxable value x 10% (or 8% for food) Example: CIF value JPY 1,000,000 + customs duty JPY 50,000 = JPY 1,050,000 Consumption tax = JPY 1,050,000 x 10% = JPY 105,000 Total landed cost = JPY 1,155,000

What compliance standards does Japan require?

Japan's regulatory landscape is detailed and strictly enforced. Non-compliant goods are refused entry or destroyed at the port. Understanding which standards apply to your product category is essential.

5.1 What are JIS standards and do I need them?

JIS Requirements

  • Scope. Covers building materials, industrial goods, machinery, chemicals, and consumer products. Over 10,000 standards.
  • Technically voluntary. But effectively mandatory for market acceptance. Japanese buyers and distributors will not stock non-JIS products in most industrial categories.
  • JIS Mark certification. Requires factory audit by a registered certification body and ongoing quality surveillance. Foreign manufacturers can apply directly.
  • Testing. Must be performed by accredited labs (JNLA or equivalent). Some Indian labs have mutual recognition agreements.

5.2 Do I need JAS certification for food exports?

JAS certification is mandatory for products marketed as "organic" in Japan. Covers fresh produce, processed foods, animal feed, and forestry products. Foreign producers must be certified by a MAFF-registered certification body. The JAS organic mark must appear on packaging.

5.3 Do I need a PSE mark for electrical products?

The PSE (Product Safety of Electrical Appliances and Materials) mark is legally mandatory for electrical products sold in Japan.

CategoryPSE TypeRequirements
Specified products (116 items)Diamond PSE (mandatory third-party certification)Power tools, cables, heaters, lithium batteries
Non-specified products (341 items)Circle PSE (self-declaration with conformity testing)LED lights, chargers, small appliances, AV equipment

5.4 What does Japan's Food Sanitation Act require?

  • Import notification must be filed with the quarantine station at the port of entry for every food shipment. MHLW (Ministry of Health, Labour and Welfare) conducts inspections.
  • Pesticide residue limits. Japan applies the "positive list" system. Any residue above 0.01 ppm for non-listed substances triggers rejection. Far stricter than Codex Alimentarius or EU MRLs.
  • Additive restrictions. Only additives on Japan's approved list may be used. Many additives permitted in India are prohibited in Japan.
  • Labeling. Must be in Japanese, including ingredients, allergens (mandatory for 8 items: shrimp, crab, wheat, buckwheat, egg, milk, peanuts, walnuts), origin, and expiry date.

5.5 How do I get PMDA approval for pharma exports?

The Pharmaceuticals and Medical Devices Agency (PMDA) regulates drugs, medical devices, and in-vitro diagnostics. Foreign manufacturers must appoint a Marketing Authorization Holder (MAH) in Japan. Generic drug approval requires bioequivalence studies conforming to Japanese guidelines. Medical devices require premarket approval based on risk classification (Class I-IV).

5.6 What are Japan's textile labeling requirements?

Under Japan's Household Goods Quality Labeling Act, textile products must carry labels in Japanese specifying fiber composition (percentages), care instructions (using ISO 3758 symbols), country of origin, and the name/address of the responsible importer or distributor in Japan.

How do I ship from India to Japan?

MethodTransit TimeCost (approx.)Best For
Sea Freight (FCL)14-18 days ,800-$3,500 per 20ft containerBulk shipments, industrial goods, raw materials
Sea Freight (LCL)18-25 days$40-$70 per CBMSmaller volumes, samples, trial shipments
Air Freight7-8 hours (direct)$3.5-$7 per kgHigh-value goods, perishables, pharma, urgent orders
Express Courier3-5 days$7- 2 per kgSamples, documents, small e-commerce orders

Which Japanese ports should I ship to?

PortRegion ServedNotes
Tokyo / YokohamaKanto region (Tokyo, Yokohama, Saitama)Japan's largest port complex; best for consumer goods
Osaka / KobeKansai region (Osaka, Kyoto, Kobe)Key industrial hub; auto and chemical imports
NagoyaChubu region (Toyota headquarters area)Auto parts and industrial machinery hub
Hakata (Fukuoka)Kyushu regionGrowing port; semiconductor and electronics corridor

Which Incoterms work best for Japan trade?

IncotermSeller's ResponsibilityCommon Use Case
FOBDelivery to Indian port; export customs clearanceMost B2B exports; Japanese buyer arranges freight
CIFFreight + insurance to Japanese portCommon for new trading relationships
CFRFreight to Japanese port; buyer arranges insuranceWidely used in Japan; buyer prefers own marine insurance

How do I get paid by Japanese buyers?

MethodFX CostSpeedBest For
SWIFT (JPY)0.5-2% FX spread + 5-$40 wire fee2-4 business daysB2B trade, large orders
Letter of Credit (LC)1-2.5% of LC value (bank charges)5-10 days after document submissionHigh-value B2B; risk mitigation; very common in Japan trade
Telegraphic Transfer (TT)0.5-1.5% FX spread + flat fee1-3 business daysEstablished relationships, advance payments
Documents against Payment (D/P)Bank collection charges ($50- 50)On document presentationModerate-risk buyers; balance between LC and open account

How do I manage JPY currency risk?

The JPY/INR rate can fluctuate 8-12% annually. If you price in JPY (common for Japanese buyers), consider forward contracts to lock in rates for 60-90 day payment cycles. Indian banks offer JPY forward contracts through their treasury desks. Alternatively, price in USD if your buyer accepts it. This shifts the FX risk but may lose you the deal with smaller Japanese firms.

How do I claim India-Japan CEPA benefits?

The India-Japan CEPA (effective August 1, 2011) is one of the most comprehensive FTAs India has signed. It covers goods, services, investment, and movement of professionals.

What does CEPA cover?

Japan has committed to eliminating tariffs on 90% of tariff lines from India over a 10-year period (most reached 0% by 2021). India has committed to eliminating tariffs on 80% of tariff lines from Japan. Approximately 17,000 tariff lines are covered.

What are the CEPA rules of origin?

To qualify for CEPA preferential rates, goods must satisfy product-specific rules of origin (PSR). The general rule requires either:

  • Wholly obtained. Products entirely grown, mined, or manufactured in India
  • Change in Tariff Classification (CTC). Imported inputs undergo sufficient transformation (typically change at HS 4-digit or 6-digit level)
  • Value addition. Minimum 35% qualifying value content (QVC) in India, calculated as: (FOB price - non-originating materials) / FOB price x 100

How do I claim CEPA preferential rates?

  1. Verify your product qualifies under the CEPA tariff schedule and meets the product-specific rules of origin.
  2. Obtain a CEPA Certificate of Origin from an authorized issuing body: Export Inspection Council (EIC), FIEO, or designated chambers of commerce.
  3. Submit the CoO to your Japanese importer, who presents it to Japan Customs at the time of import declaration.
  4. Japan Customs verifies the CoO and applies the preferential CEPA rate instead of MFN rate.

Which product categories have 0% CEPA duty?

CategoryCEPA Status
Petroleum & petrochemicals0% (immediate or by 2021)
Iron & steel products0% (phased by 2021)
Auto parts & components0% (phased by 2021)
Organic chemicals0% (most items)
Gems & cut diamonds0% (immediate)
Textiles (select items)0-5% (partial elimination)
Marine products (shrimp)0% (phased by 2021)
Rice, wheat, dairyExcluded from CEPA

What are the best products to export to Japan?

Japan's aging population, supply chain diversification from China, and strong bilateral political ties create growing opportunities for Indian exporters.

Is there demand for Indian auto parts in Japan?

Japan's auto manufacturers (Toyota, Honda, Suzuki, Nissan) are actively diversifying supply chains. Indian auto component manufacturers already supply to Tier 1 Japanese suppliers. CEPA provides 0% duty on most auto parts. India's auto component exports to Japan are growing at 12-15% annually. Focus areas: forged parts, castings, rubber components, wiring harnesses, and precision machined parts.

Can I export generic drugs to Japan?

Japan's government actively promotes generic drug adoption (target: 80%+ generic utilization by volume). Indian pharma companies like Sun Pharma, Lupin, and Zydus already have significant presence. Entry requires PMDA approval and a Japanese MAH partner, but the market is large (~$90 billion) and growing for generics.

What IT service opportunities exist in Japan?

Japan faces a projected shortage of 790,000 IT professionals by 2030. Indian IT companies (TCS, Infosys, Wipro) have deep presence in Japan. The CEPA includes provisions for movement of IT professionals. Growing demand for AI/ML, cloud migration, cybersecurity, and legacy system modernization in Japanese enterprises.

Is there a market for Indian food in Japan?

Indian cuisine is growing rapidly in Japan. Over 5,000 Indian restaurants operate across the country (up from ~2,000 a decade ago). This drives demand for Indian spices, basmati rice, ready-to-eat curries, naan flour, and condiments. The vegetarian/vegan trend in Japan creates additional opportunities. Marine products (especially shrimp) enjoy 0% CEPA duty.

Can I export gems and jewelry to Japan?

Japan is a major market for cut and polished diamonds (Surat-to-Tokyo is a well-established trade corridor). CEPA provides 0% duty on gems and cut diamonds. Silver jewelry and fashion jewelry from Jaipur and Mumbai are gaining traction with Japanese buyers. Japan's luxury consumer market, while mature, remains one of the world's largest.

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Update history

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