NIC Code For Udyam Registration
NIC code is a unique classification code that is used to identify different businesses in the country. Government-supplied NIC codes classify businesses. This code also tracks micro, small, and medium-sized enterprises.
Additionally, the NIC code is assigned to track organisations' commercial operations precisely. Additionally, NIC is the standard industrial categorization used by Indian Industrial Statistics and is extensively used by government agencies, industry groups, and academics for administrative, analytical, and research purposes.
At the moment, the NIC code list has 21 main parts, or business operations, numbered from A to U. These are followed by 99 divisions and groups. If you run a small or medium-sized business, you need to know the NIC code list. So, let’s explore it more in the article below.
What is NIC?
The National Industrial Classification code is a way to group businesses based on what they do for a living. Instead of the old NIC 1987 code, the new NIC 2008 code has been used since 2014, and all companies in India are categorized by this number. The NIC code helps with safety and is used when registering a business
The NIC code for udyam registration is what the government calls a statistical standard for making and keeping a database of similar data based on economic activities. People who are working, the different types of work, the number of economically involved people, and other economic facts like national income are all put into these groups.
History of the NIC code
The first effort to group industries together was made in 1962. It was called Standard Industrial Classification (SIC). In the SIC, there were 9 divisions, 55 big groups, 284 groups, and 753 subgroups. The classification had 4 numbers.
In 1962, SIC had to be changed because of big changes in how businesses were organized and structured. In 1970, the National Industrial Classification (NIC), which is a new classification, was finished.
As with the changes made to India's MSME classification (which is a mixed classification based on yearly revenue and investment in plant and machinery), the NIC has also been changed many times since then to keep up with the changing business and economic climate. NIC code 2008 is the most recent change to the labeling method that is used.
Role of NIC Code Does for Udyam Registration
The role of NIC code for udyam registration includes:
- Grouping of Business Activities: When a business registers with Udyam, it has to choose the NIC code that best describes its main business activity. This description helps make it clear what kind of business it is and how it works
- Benefit Eligibility: The NIC code is needed to find out if a business is eligible for several government programs and benefits that are designed just for MSMEs. Businesses can get the right rewards, grants, and support programs if they are correctly classified.
- Data Analysis and Policy Making: The NIC code list makes it easier for the government to collect and analyze data in a structured way, which is very important for making good policies for the MSME sector. It helps find growth patterns, business trends, and places that need help or action.
- Compliance and Legal Recognition: Following the rules and laws when registering is made easier when you use the NIC code correctly. It gives the business a clear name, which is necessary for legal security and recognition under different laws. Access to Financial Services: Tax authorities and banks use the NIC code to figure out how risky and likely to succeed a business is that wants to borrow money or get credit. Businesses may be able to get more money from banks and other financial institutions if they are correctly classified.
Why the NIC code is important for Udyam registration?
The importance of NIC code for udyam registration includes:
- Correct Business Classification: The NIC code makes sure that a company is put in the right category based on what it does for a living. This correct description helps to find the exact industry in which the business works, which makes it easier to organize and be known in the field.
- Eligibility for Government Benefits: Correctly classifying a business with a NIC code is essential for figuring out its eligibility for several government programs, grants, and rewards that are meant just for MSMEs. Businesses can use these help programs and get the most out of them if they use the right NIC code.
- Data gathering and analysis: Data gathering and analysis are made easier by the NIC code, which lets the government collect and analyze data in a more organized way. This information is very important for keeping up with industry trends, knowing what's going on in the economy, and making smart choices about how to make and apply policies for the MSME sector.
- Legal Compliance and Recognition: Businesses can follow the law and regulations more easily when they use the right NIC code during Udyam Registration. As a result, the business has a clear and public character that protects it legally under different laws.
- Better access to financial services: The NIC code is often used by banks to figure out how risky and viable a business is when it applies for loans or credit lines. Giving a business the right title can boost its reputation and help it get money from banks and other financial institutions.
- Help with Making Policies and Allocating Resources: The NIC code helps the government figure out what different MSME sectors need and how to meet those needs. It helps make sure that resources are used well, policies are focused, and sector-specific support measures are put in place to encourage healthy economic growth.
How do I get my NIC code?
NIC numbers are needed to register an MSME, a Udyam, a Udyog Aadhaar, a company, or an LLP. When you fill out the form to register your business, you will be asked for your NIC code for Udyam. This will help the government figure out what kind of business you have.
You need to know your NIC code before you can apply for any of the above applications. You can find the MSME NIC code list on the Udyam site, where you can also download the full list of NIC codes for MSMEs.
NIC Code List
| Section A | Agriculture, Forestry, and Fishing |
|---|---|
| Division 01 | Crop and animal production, hunting, and related service activities |
| Group 011 | Growing non-perennial crops |
| Group 012 | Growing perennial crops |
| Group 013 | Plant propagation |
| Group 014 | Animal production |
| Group 015 | Mixed farming |
| Group 016 | Support activities for agriculture and post-harvest crop activities |
| Group 017 | Hunting, trapping, and related service activities |
| Division 02 | Forestry and logging |
| Group 021 | Silviculture and other forestry activities |
| Group 022 | Logging |
| Group 023 | Gathering of non-wood forest products |
| Group 024 | Support services to forestry |
| Division 03 | Fishing and aquaculture |
| Group 031 | Fishing |
| Group 032 | Aquaculture |
| Section B | Mining and Quarrying |
| Division 05 | Mining of coal and lignite |
| Group 051 | Mining of hard coal |
| Group 052 | Mining of lignite |
| Division 06 | Extraction of crude petroleum and natural gas |
| Group 061 | Extraction of crude petroleum |
| Group 062 | Extraction of natural gas |
| Division 07 | Mining of metal ores |
| Group 071 | Mining of iron ores |
| Group 072 | Mining of non-ferrous metal ores |
| Division 08 | Other mining and quarrying |
| Group 081 | Quarrying of stone, sand, and clay |
| Group 089 | Mining and quarrying n.e.c. |
| Division 09 | Mining support service activities |
| Group 091 | Support activities for petroleum and natural gas mining |
| Group 099 | Support activities for other mining and quarrying |
| Section C | Manufacturing |
| Division 10 | Manufacture of food products |
| Group 101 | Processing and preserving of meat |
| Group 102 | Processing and preserving of fish, crustaceans, and molluscs |
| Group 103 | Processing and preserving of fruit and vegetables |
| Group 104 | Manufacture of vegetable and animal oils and fats |
| Group 105 | Manufacture of dairy products |
| Group 106 | Manufacture of grain mill products, starches, and starch products |
| Group 107 | Manufacture of other food products |
| Group 108 | Manufacture of prepared animal feeds |
| Division 11 | Manufacture of beverages |
| Group 110 | Manufacture of beverages |
| Division 12 | Manufacture of tobacco products |
| Group 120 | Manufacture of tobacco products |
| Division 13 | Manufacture of textiles |
| Group 131 | Spinning, weaving, and finishing of textiles |
| Group 139 | Manufacture of other textiles |
| Division 14 | Manufacture of wearing apparel |
| Group 141 | Manufacture of wearing apparel, except fur apparel |
| Group 142 | Manufacture of articles of fur |
| Group 143 | Manufacture of knitted and crocheted apparel |
| Division 15 | Manufacture of leather and related products |
| Group 151 | Tanning and dressing of leather; manufacture of luggage, handbags, saddlery and harness; dressing and dyeing of fur |
| Group 152 | Manufacture of footwear |
| Division 16 | Manufacture of wood and products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials |
| Group 161 | Sawmilling and planing of wood |
| Group 162 | Manufacture of products of wood, cork, straw and plaiting materials |
| Division 17 | Manufacture of paper and paper products |
| Group 170 | Manufacture of paper and paper products |
| Division 18 | Printing and reproduction of recorded media |
| Group 181 | Printing and service activities related to printing |
| Group 182 | Reproduction of recorded media |
| Division 19 | Manufacture of coke and refined petroleum products |
| Group 191 | Manufacture of coke oven products |
| Group 192 | Manufacture of refined petroleum products |
| Division 20 | Manufacture of chemicals and chemical products |
| Group 201 | Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics, and synthetic rubber in primary forms |
| Group 202 | Manufacture of other chemical products |
| Group 203 | Manufacture of man-made fibers |
| Division 21 | Manufacture of pharmaceuticals, medicinal chemicals and botanical products |
| Group 210 | Manufacture of pharmaceuticals, medicinal chemicals and botanical products |
| Division 22 | Manufacture of rubber and plastics products |
| Group 221 | Manufacture of rubber products |
| Group 222 | Manufacture of plastics products |
| Division 23 | Manufacture of other non-metallic mineral products |
| Group 231 | Manufacture of glass and glass products |
| Group 239 | Manufacture of non-metallic mineral products n.e.c. |
| Division 24 | Manufacture of basic metals |
| Group 241 | Manufacture of basic iron and steel |
| Group 242 | Manufacture of basic precious and other non-ferrous metals Group 243 Casting of metals |
| Division 25 | Manufacture of fabricated metal products, except machinery and equipment Group 251 Manufacture of structural metal products, tanks, reservoirs, and steam generators |
| Group 252 | Manufacture of weapons and ammunition |
| Group 259 | Manufacture of other fabricated metal products; metalworking service activities |
| Division 26 | Manufacture of computer, electronic, and optical products |
| Group 261 | Manufacture of electronic components |
| Group 262 | Manufacture of computers and peripheral equipment |
| Group 263 | Manufacture of communication equipment |
| Group 264 | Manufacture of consumer electronics |
| Group 265 | Manufacture of measuring, testing, navigating, and controlling equipment; watches and clocks |
| Group 266 | Manufacture of irradiation, electromedical, and electrotherapeutic equipment |
| Group 267 | Manufacture of optical instruments and equipment |
| Group 268 | Manufacture of magnetic and optical media |
Udyam Registration Process
The following steps will help you do udyam aadhar free registration:
- Visit https://udyamregistrations.org
- Enter all information on the Registration Form.
- Check and submit forms.
- Pay the registration fees.
- After verification, the Udyam Registration Certificate is issued. Your registered email will get this certificate.
Conclusion
NIC code for udyam registration is needed for different types of business transactions in the MSME sector. To help the business people that keep the economy going, the Indian government has already announced several programs in this area. By going to https://udyamregistrations.org, you can get all the information you need about the NIC Code in the MSME industry.
Apply For UDYAM Registeration