NIC Code for Udyam registration

The business of India is shaped by its Micro, Small, and Medium Enterprises (MSMEs). These businesses help the economy, create jobs, and make more things. One thing that the Indian government has done to help their growth is the Udyam Registration process. Key to this process are the National Industrial Classification (NIC) numbers. This piece talks about NIC code for udyam registration, including how they are structured, how they are used, and how they affect MSMEs.

What is Udyam Registration?

Udyam Registration is a scheme run by the Indian Ministry of Micro, Small, and Medium Enterprises (MSME). The registration process is made easier for MSMEs, who get a license and an ID number. This registration proves that the business exists and lets it get help and funding from the government. Some of the benefits of it include:

To make it easy for MSMEs to get registered and recognized by the government.
For MSMEs to get grants, rewards, and loans with low interest rates.
To get accurate data on MSMEs so that policies and resources can be better used.
To make regulations easier, increase market access, and make it easier for MSMEs to do business.
Registered MSMEs get authority and exposure, which may help them win contracts, bids, and partnerships in their home country and abroad.
For financial help, registered small businesses usually get lower interest rates and easy access to loans from banks and other financial institutions.

What is the NIC code?

The National Industrial Classification (NIC) code statistically groups economic operations. The NIC code is meant to make statistics on economic activity more consistent and easy to compare across fields. Businesses, universities, and government agencies use it for management, scientific, and political purposes.

The Indian NIC system was first made in 1962, and it has been changed many times to keep up with changes in the economy. NIC-2008 was changed to meet international norms, such as the International Standard Industrial Classification. India's system of categories is the same as those used worldwide, making it possible for foreign trade and economic research.

Applications with NIC Codes

Some of the applications of NIC code for udyam registration include:

Helps the government make policies and programs that are specific to the field.
For study, planning, and analysis, economic analysis shows how economic action is spread out.
It is used to register businesses and make sure they follow the rules
It is important to gather and present data correctly for statistical research and making decisions.

Levels of Classification

NIC code for udyam registration hierarchically lets exact economic activity definition. With this tiered method, businesses and subsectors are put into groups. The different levels of categorization are:

Sections: The largest groups, which represent important economic areas (for example, industry, services, and farmland). One letter stands for a section.
Divisions: For more knowledge, divisions show important groups within each part. Divisions are marked with two-digit codes.
Groupings: List the specific industries that are part of each section. Groups are identified by three-digit codes.
Classes: Give a more thorough breakdown of the tasks that fall into each group. Four-digit numbers show what class it is.
Sub-classes: The most detailed classification sub-classes show what tasks are included in each class. Subclasses are identified by five-digit codes.

Example of NIC Code Structure

Section C: Manufacturing (Broad sector)
Division 29: Manufacture of Motor Vehicles, Trailers, and Semi-trailers (Major group)
Group 291: Manufacture of Motor Vehicles (Specific industry group)
Class 2910: Manufacture of Motor Vehicles (Individual class)
Sub-class 29101: Manufacture of Motor Vehicles (Specific activity)

List of NIC CODE

Division 01	Crop and animal production, hunting, and related service activities
Division 01	Crop and animal production, hunting, and related service activities
Group 011	Growing of non-perennial crops
Group 012	Growing perennial crops
Group 013	Plant propagation
Group 014	Animal production
Group 015	Mixed farming
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 of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials
Group 161	Sawmilling and planning 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
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 planning of wood
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
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 26	Manufacture of computer, electronic, and optical products
Group 261	Manufacture of electronic components
Group 262	Manufacture of computers and peripheral equipment
Group 272	Manufacture of batteries and accumulators
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 control equipment; watches and clocks
Group 273	Manufacture of wiring and wiring devices
Group 274	Manufacture of electric lighting equipment
Group 275	Manufacture of domestic appliances
Group 279	Manufacture of other electrical equipment
Division 28	Manufacture of machinery and equipment n.e.c.
Group 281	Manufacture of general-purpose machinery
Group 282	Manufacture of special-purpose machinery
Division 29	Manufacture of motor vehicles, trailers and semi-trailers
Group 291	Manufacture of motor vehicles
Group 292	Manufacture of bodies (coachwork) for motor vehicles; manufacture of trailers and semi-trailers
Group 293	Manufacture of parts and accessories for motor vehicles
Division 30	Manufacture of other transport equipment
Group 301	Building of ships and boats
Group 302	Manufacture of railway locomotives and rolling stock
Group 303	Manufacture of air and spacecraft and related machinery
Group 304	Manufacture of military fighting vehicles
Group 309	Manufacture of transport equipment n.e.c.
Division 31	Manufacture of furniture
Group 310	Manufacture of furniture
Division 32	Other manufacturing
Group 321	Manufacture of jewellery, bijouterie, and related articles
Group 322	Manufacture of musical instruments
Group 323	Manufacture of sports goods
Group 324	Manufacture of games and toys
Group 325	Manufacture of medical and dental instruments and supplies
Group 329	Other manufacturing n.e.c.
Section I	Accommodation and Food service activities
Division 55	Accommodation
Group 582	Software publishing
Division 59	Motion picture, video, and television program production, sound recording, and music publishing activities
Group 591	Motion picture, video, and television programme activities
Group 592	Sound recording and music publishing activities
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 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 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
Division 60	Broadcasting and programming activities
Group 981	Undifferentiated goods-producing activities of private households for their own use
Group 982	Undifferentiated service-producing activities of private households for their own use
SECTION U	Activities Of Extraterritorial Organizations And Bodies
Division 99	Activities of extraterritorial organizations and bodies
Group 990	Activities of extraterritorial organizations and bodies

Why NIC Code for Udyam Registration is Important?

Udyam NIC code list is very important. It is very important to group businesses by what they do for a living. This grouping is important for many reasons:

The NIC code helps figure out what kind of business is going on. This is important for policy creation because it lets the government come up with sector-specific programs and help.
The right categorization sends government grants, rewards, and resources to the right businesses. It stops wrong distribution and makes sure people who need help get it.
The NIC code makes it easier to collect data on business activity. This information is very important for planning, studying, and researching the economy. It helps the government figure out how economic activity is spread out across the country and make smart decisions.
Using the right udyam code from Udyam NIC code list helps to meet the rules and needs of a certain sector. It keeps businesses out of trouble with the law and makes following the rules easier.
Correct labeling makes it easier to analyze and find things in a market. It helps businesses figure out who their target market is, how strong their competitors are, and how to best position themselves in the market.

Choosing the Right NIC Code: A Step-by-Step Guide

Choosing the correct Udyam code from Udyam NIC code list is important for classifying a business and getting the right benefits. How to pick the right NIC code for your business, step by step:

The most important thing for your business is the action that makes the most money. Your main business action should help you choose a NIC code.
The latest version of the NIC-2008 guide gives a lot of information about how to classify economic activity. You can look it up online. Activities are broken down into parts, divisions, groups, classes, and subclasses in the manual.
Udyam Registration lets you look for a NIC code. Type in terms that are related to your main business to find the right numbers. The tool gives you easy search and category browsing.
Once you've found possible NIC numbers, connect them to what your business does. Carefully read the statements to make sure they do a good job of describing your business.
Ask a professional or go to an MSME assistance center for help picking out a NIC code. They point the way and put things into clear groups.
For your business's most important secondary operations, choose extra NIC codes. This shows how your business works in its entirety
Before you finish, make sure that the NIC numbers you picked work with how your business works. If you are misclassified, it could affect your ability to get benefits and participate in programs, so check.

Conclusion

The Udyam NIC code list is very important for Udyam Registration to help classify MSMEs. Choosing the right NIC code for udyam registration protects government benefits and makes planning and resource sharing better. MSMEs are very important to India's economic growth, so it's important that they can be registered quickly and put into the right economic category. The government thinks that by making changes and giving help regularly, MSMEs will grow and do well, which will help the economy.