How to Export to South Korea from India — Complete Guide

South Korea is a high-value, technology-driven export destination for Indian businesses. India exported $3,568.54 million in goods to South Korea in 2024-25, with machinery, organic chemicals, and iron and steel forming the backbone of this trade relationship. The India-Korea Comprehensive Economic Partnership Agreement (CEPA), in force since January 2010, eliminates or reduces tariffs on approximately 85% of tariff lines — making South Korea one of the most commercially accessible markets in Asia for Indian exporters who understand how to use preferential trade agreements.

South Korea is the world's thirteenth-largest economy, home to 52 million consumers with high purchasing power and sophisticated tastes. It is also the headquarters of some of the world's most powerful industrial conglomerates — Samsung, Hyundai, LG, SK Group, and POSCO — whose global supply chains represent enormous opportunities for Indian component and raw material suppliers. For Indian MSMEs, the challenge is not market size but market access: penetrating Korean chaebol supply chains requires patience, quality certifications, and a willingness to invest in long-term relationships.

India–South Korea Trade Overview

India's goods exports to South Korea totalled $3,568.54 million in 2024-25, a significant correction from the $6,359.28 million recorded in 2023-24, which itself was an anomalous spike compared to the $3,215.30 million in 2022-23. The 2023-24 figure was inflated by exceptional demand in specific commodity categories, particularly metals and chemicals, driven by post-pandemic restocking and supply chain realignment. The 2024-25 figure represents a normalisation to the underlying growth trajectory, which remains positive when viewed over a five-year horizon.

The India-Korea CEPA, signed in 2009 and effective from 1 January 2010, has been the primary enabler of this trade relationship. The agreement provides for tariff elimination or reduction on approximately 85% of South Korean tariff lines for Indian goods, with phased reductions over 10-15 years now largely complete. South Korea is also a key partner in India's Act East Policy, and bilateral economic engagement extends beyond goods trade into services, investment, and technology cooperation.

What India Exports to South Korea

The top product categories exported from India to South Korea in 2024-25:

Rank	HS Chapter	Product Category	Export Value (USD Million)
1	84	Machinery	$797.38
2	29	Organic chemicals	$542.28
3	72	Iron and steel	$390.28
4	87	Vehicles and parts	$142.59
5	52	Cotton	$136.54
6	85	Electrical equipment	$123.75
7	23	Animal feed and residues	$112.37
8	38	Chemical products	$85.29
9	78	Lead	$82.55
10	25	Salt, sulphur and stone	$79.03
11	74	Copper	$78.98
12	76	Aluminium	$76.36

Machinery dominates at $797.38 million, reflecting India's growing role as a supplier of industrial equipment and components to South Korean manufacturing. Organic chemicals at $542.28 million underscores India's strength in pharmaceutical intermediates and specialty chemicals — South Korea's pharmaceutical and electronics industries are voracious consumers of these inputs. Iron and steel at $390.28 million positions India as a significant metals supplier to Korean steel processors and shipbuilders.

The metals story is particularly notable. South Korea is the world's sixth-largest steel producer (POSCO being one of the global leaders), and Korean steelmakers import substantial quantities of semi-finished steel, ferroalloys, and scrap from India for further processing. Lead ($82.55M), copper ($78.98M), and aluminium ($76.36M) further reinforce the metals and materials theme — South Korea's electronics and automotive industries require enormous quantities of non-ferrous metals.

Cotton exports at $136.54 million reflect India's role as a raw material supplier to South Korea's textile industry, while animal feed and residues ($112.37M) supply the country's livestock sector. Vehicles and parts at $142.59 million indicate growing automotive supply chain integration, though this is still modest compared to the India-Japan auto trade.

Regulatory and Customs Framework

South Korea's regulatory system is modern, transparent, and increasingly digitalised. The Korea Customs Service operates an efficient electronic clearance system, and regulatory requirements, while strict, are clearly documented and consistently applied.

Korea Customs Service (KCS)

The Korea Customs Service administers all import and customs procedures. Key requirements:

• Import declaration must be filed electronically through the UNI-PASS system — South Korea's single-window customs clearance platform
• Customs valuation: Based on CIF (Cost, Insurance, Freight) value, consistent with WTO customs valuation principles
• Pre-clearance examination: KCS offers advance import declaration, allowing customs processing before the vessel arrives at port
• Risk-based inspection: KCS uses data analytics for risk profiling. Compliant traders with a track record receive expedited clearance. First-time exporters should expect more detailed scrutiny on initial shipments.
• Authorised Economic Operator (AEO): Korean importers with AEO status enjoy faster clearance — partnering with an AEO-certified Korean importer accelerates your entry process

Korea Food and Drug Administration (KFDA)

KFDA — now officially the Ministry of Food and Drug Safety (MFDS) — regulates food, pharmaceuticals, medical devices, and cosmetics imports.

Food imports:

• All food products require prior notification to MFDS before import
• Food must comply with the Korean Food Code and Food Additives Code
• Pesticide residue testing follows the Positive List System (PLS), implemented since 2019, which sets a default MRL of 0.01 ppm for pesticides not explicitly listed — similar to Japan's system and equally strict
• Korean labelling requirements are mandatory: all food products must have Korean-language labels with nutritional information, ingredients, allergen declarations, country of origin, and manufacturer details
• Halal certification is not required but growing in relevance due to South Korea's increasing Muslim tourist population

Pharmaceuticals and medical devices:

• Regulated by MFDS with a rigorous registration and approval process
• Pharmaceutical products require Korea Good Manufacturing Practice (KGMP) compliance
• Medical devices follow the Korean Medical Device Act classification system (Class I-IV)
• Registration timelines: 6-18 months depending on product classification and novelty

Korean Agency for Technology and Standards (KATS)

KATS oversees industrial standards and product safety:

• KC mark (Korea Certification): Mandatory safety certification for a wide range of consumer and industrial products including electrical appliances, electronics, telecommunications equipment, construction materials, and children's products. The KC mark replaced multiple previous certification marks and is now the unified national certification
• KS mark (Korean Standards): Voluntary but highly valued. KS-marked products enjoy strong market preference among Korean industrial buyers and government procurement agencies
• Products requiring KC certification must be tested at KATS-accredited laboratories, either in South Korea or at recognised international labs

Key Standards and Certifications

KC Certification Mark

The KC mark is South Korea's mandatory product safety certification. It applies to:

• Electrical and electronic products: Household appliances, IT equipment, audio/video equipment, power supplies, batteries, and LED lighting
• Telecommunications equipment: All wireless and wired communication devices
• Construction materials: Fire safety, structural materials, and insulation
• Children's products: Toys, children's furniture, and child care articles
• Personal protective equipment: Safety helmets, goggles, and protective clothing

Indian exporters of consumer electronics, electrical components, or industrial products must obtain KC certification before shipment. The process involves product testing at an accredited laboratory, factory inspection (for some categories), and application to the relevant Korean certification body. Plan for 2-4 months for initial certification.

Korean Industrial Standards (KS)

KS standards cover over 20,000 industrial specifications. While technically voluntary, KS compliance is effectively mandatory for:

• Government procurement contracts (KS-marked products receive preference)
• Sales to major Korean corporations (chaebols routinely require KS compliance from suppliers)
• Construction and infrastructure projects

Korean Business Culture and Chaebol Supply Chains

South Korea's economy is dominated by chaebols — large family-controlled conglomerates such as Samsung, Hyundai, LG, SK, and Lotte. Understanding chaebol procurement is essential for Indian exporters:

• Supplier qualification is rigorous: Chaebols maintain approved vendor lists. Getting on the list requires samples, factory audits, quality certifications, and often a trial period of 6-12 months with small orders
• Relationship building (Inhwa): Korean business culture emphasises harmony and personal relationships. Face-to-face meetings in South Korea are expected. Business dinners, often involving soju (Korean rice spirit), are common and serve as relationship-building rituals — declining to participate can be perceived as a lack of commitment
• Hierarchy matters: Korean organisations are hierarchical. Address the most senior person first, present business cards with both hands, and show deference to seniority
• Speed of execution: Once a decision is made, Korean companies expect rapid execution. Unlike the slow consensus process of Japanese business, Korean decision-making can be fast and top-down — be prepared to respond quickly to orders and specification changes

Tariff Structure and Trade Agreements

India-Korea CEPA

The Comprehensive Economic Partnership Agreement between India and South Korea, effective since 1 January 2010, provides substantial tariff preferences for Indian goods.

Key provisions:

• Tariff elimination on approximately 85% of South Korean tariff lines for Indian goods, phased over 10-15 years with most reductions now fully implemented
• Immediate zero duty on most industrial goods including machinery, chemicals, iron and steel, and base metals
• Phased reduction for sensitive products including textiles, agricultural goods, and certain processed foods
• Rules of Origin: Generally 35-40% qualifying value content (QVC) or change in tariff classification (CTC), with product-specific rules for sensitive categories

Current CEPA preferential tariff rates (indicative):

Product Category	CEPA Rate	MFN Rate
Machinery (84xx)	0%	0-8%
Organic chemicals (29xx)	0%	0-6.5%
Iron and steel (72xx)	0%	0-5%
Vehicles/parts (87xx)	0-5%	8-10%
Cotton (52xx)	0-5%	8-13%
Electrical equipment (85xx)	0%	0-8%
Chemical products (38xx)	0%	0-6.5%
Lead (78xx)	0%	3%
Copper (74xx)	0%	3-5%
Aluminium (76xx)	0%	3-5%

How to claim CEPA preferences:

1. Verify your product qualifies under the India-Korea CEPA tariff schedule
2. Ensure compliance with the applicable Rule of Origin (product-specific rules may apply)
3. Obtain a Certificate of Origin in the prescribed CEPA format from DGFT or an authorised chamber of commerce
4. Your Korean importer presents the CoO to the Korea Customs Service at import

Use the Duty Calculator to check the exact CEPA rate for your HS code. Many Indian exporters leave money on the table by shipping without a CEPA Certificate of Origin — on a $500,000 machinery shipment, even a 5% tariff saving is $25,000.

Logistics and Shipping

Shipping Routes and Transit Times

• JNPT/Nhava Sheva to Busan: 14-18 days
• Chennai to Busan: 12-16 days
• Mundra to Busan: 14-18 days
• Kolkata to Busan: 10-14 days
• Air freight (Delhi/Mumbai to Incheon): 6-8 hours direct

Major South Korean Ports

• Busan — South Korea's largest port and the world's seventh-busiest container port. Handles approximately 75% of South Korea's container traffic. This is the primary gateway for Indian exports, with excellent connectivity to Seoul, Ulsan, and the southern industrial belt.
• Incheon — Serves the Seoul metropolitan area (26 million people). Growing container volumes, particularly for consumer goods and food products. Also home to Incheon International Airport, South Korea's primary air cargo hub.
• Gwangyang — South Korea's second-largest container port. Strong for bulk cargo, industrial materials, and chemicals. Located near the Yeosu-Gwangyang industrial complex.
• Pyeongtaek/Dangjin — Serves the central-western region and the automotive industrial zone. Key port for auto components.

Freight Costs (Indicative)

• 20-ft container to Busan: $1,200-$2,500
• 40-ft container to Busan: $2,000-$4,500
• Air freight to Incheon: $3.50-$6.00 per kg
• Bulk cargo (iron, steel, metals): Rates negotiated per shipment based on volume and commodity

Korean Customs Clearance

The UNI-PASS system makes Korean customs clearance efficient and predictable:

• Standard clearance: 1-2 business days for compliant shipments
• Express clearance: Available for AEO-certified importers — same-day clearance is possible
• Inspection rates are relatively low for established trade routes and compliant shippers
• Food and pharmaceutical imports: Require separate MFDS clearance in addition to customs clearance. Allow 3-5 additional business days for first-time food shipments pending laboratory analysis.

Documentation Requirements

1. Commercial Invoice (in English, with full detail of goods, unit prices, and total value)
2. Packing List (with exact weights, dimensions, and carton counts)
3. Bill of Lading or Airway Bill
4. Certificate of Origin — CEPA format for preferential tariff claims (critical — do not omit)
5. KC certification documentation (for products requiring mandatory Korean certification)
6. MFDS import notification (for food, pharmaceutical, cosmetic, and medical device imports)
7. Phytosanitary Certificate (for plant and agricultural products)
8. Health Certificate (for food and seafood, issued by EIC/FSSAI/MPEDA)
9. Test reports (pesticide residue, heavy metals, or safety testing as applicable)
10. Korean-language product labels (mandatory for consumer products — must be affixed before customs clearance)
11. Shipping Bill (filed via ICEGATE)
12. Insurance Certificate

Payment and Banking

Common Payment Methods

• T/T Wire Transfer: The dominant payment method in India-Korea trade. Korean companies are generally reliable payers, though payment terms can be more aggressive than Japanese buyers — 60-90 day terms are common for established relationships.
• Letters of Credit: Used for first-time transactions and large orders. Korean banks are well-capitalised and LC confirmations are straightforward.
• Open Account (30-90 days): Increasingly common for established supply relationships. Korean buyers expect competitive payment terms — be prepared to negotiate.
• Documentary Collection (D/P, D/A): Used for medium-value transactions with established buyers.

Currency

Trade is denominated in USD or KRW (South Korean Won). Most India-Korea trade settles in USD, though some Korean buyers — particularly for regular commodity purchases — may prefer KRW invoicing. The Korean Won can be volatile; for large contracts, hedge your currency exposure through forward contracts.

Key Korean Banks

• Kookmin Bank (KB) — South Korea's largest retail bank
• Shinhan Bank — Major commercial bank with extensive trade finance operations
• Hana Bank — Strong in corporate banking and trade services
• Korea Exchange Bank (KEB) — Specialist in international trade and foreign exchange (now merged with Hana)
• Industrial Bank of Korea (IBK) — Focused on SME banking, useful if your Korean buyer is a small or mid-sized company

Common Mistakes

Not claiming India-Korea CEPA preferences. This is the single most expensive mistake Indian exporters make. The CEPA provides zero or reduced duty on approximately 85% of tariff lines. Shipping without a Certificate of Origin means your Korean importer pays full MFN tariff — making your products less competitive against suppliers from countries without a Korean FTA. On $300,000 of organic chemicals, a 6.5% tariff saving is nearly $20,000. Always obtain the CEPA CoO from DGFT before shipment.

Ignoring Korean-language labelling requirements. All consumer products sold in South Korea must carry Korean-language labels. For food products, this includes nutritional information, ingredients, allergens, manufacturer details, and country of origin — all in Korean (Hangul). Shipping products without Korean labels means they will be held at customs until compliant labels are affixed, causing delays and additional warehousing costs. Prepare Korean labels before shipment.

Underestimating KC mark requirements. The KC certification mark is mandatory for a wide range of products. Indian exporters of electrical appliances, electronics, telecommunications equipment, and children's products often discover the KC requirement only after their goods arrive in Korea — at which point it is too late. Verify KC applicability early in your export planning, and budget 2-4 months for the certification process.

Approaching chaebols without preparation. Samsung, Hyundai, LG, and other chaebols have rigorous supplier qualification processes. Cold-calling a chaebol purchasing department rarely works. Instead, attend industry-specific trade fairs in Korea (KOTRA organises these regularly), work through Korean trade intermediaries, or leverage KOTRA's Invest Korea and Buy Korea platforms to connect with potential buyers.

Failing to adapt to Korean business communication style. Korean business culture values speed, directness (more so than Japan), and responsiveness. Korean buyers expect prompt email replies (within 24 hours), quick sample dispatch, and immediate attention to quality issues. Delayed responses are interpreted as lack of interest or capability. Maintain responsive communication channels with your Korean partners.

Neglecting the Positive List System for food exports. South Korea adopted the Positive List System (PLS) for pesticide residues in 2019. Like Japan, the default MRL is 0.01 ppm for any pesticide not explicitly listed. Indian spice, tea, and agricultural exporters must test their products against Korea's PLS database — not Indian or Codex MRL standards.

Key Takeaways

• India exported $3,568.54 million to South Korea in 2024-25, led by machinery ($797.38M), organic chemicals ($542.28M), and iron and steel ($390.28M)
• The India-Korea CEPA provides zero or reduced duty on approximately 85% of tariff lines — always claim preferences with the correct Certificate of Origin
• KC certification mark is mandatory for electrical, electronic, telecommunications, and children's products — plan 2-4 months for initial certification
• Korean-language labelling is mandatory for all consumer products — prepare labels before shipment, not after arrival
• The Positive List System for pesticides (0.01 ppm default MRL) is as strict as Japan's — test food products against Korea-specific MRLs
• Chaebol supply chains represent the largest opportunity but require patient supplier qualification processes
• Korean business culture values speed and responsiveness — reply quickly, deliver samples promptly, and address quality issues immediately
• KOTRA (Korea Trade-Investment Promotion Agency) is the primary government agency supporting trade — use their platforms and events for market entry

Next Steps

1. Identify your HS code with the HS Code Finder and check South Korea's CEPA tariff rate using the Duty Calculator
2. Verify KC certification requirements — check if your product category falls under mandatory KC mark regulations via the KATS website
3. Prepare Korean-language labels and documentation for consumer products before shipment
4. Test food and agricultural products against South Korea's Positive List System MRLs
5. Explore Korean market demand with the Market Finder
6. Connect with KOTRA — the Korea Trade-Investment Promotion Agency has offices in India (New Delhi, Mumbai, Chennai) and organises regular buyer-seller meets
7. Attend Korea-focused trade fairs — major events include the Seoul International Trade Fair, Korea Electronics Show, and Korea International Auto Parts Expo
8. Explore other export markets to build a diversified export portfolio across Asia and beyond

South Korea is a market that rewards quality, speed, and relationship investment. The India-Korea CEPA has created a strong tariff framework, and South Korea's industrial giants are actively diversifying supply chains beyond China — positioning India as a natural partner. Indian MSMEs that obtain the right certifications, prepare Korean-language documentation, and demonstrate consistent quality and responsive communication will find South Korea to be a lucrative and strategically important export destination.