The National Industrial Classification Code, commonly referred to as the NIC Code, serves as a vital statistical standard aimed at developing and maintaining a comparable database for various economic activities. Developed by the government, the NIC code plays a crucial role in assessing and analyzing the contribution of each economic activity towards national wealth.
Introduction to NIC Code
The NIC code operates as a classification system primarily based on the activities conducted by businesses. It serves as a means for the government to classify and identify businesses according to their specific activities. Each business activity is assigned a unique 5-digit code, with the first two digits representing the sector and the subsequent digits identifying the sub-sector of the business activity.
Transition to NIC 2008
In a significant move, the Department of Policy and Promotion, through Press Note 4 (2014 series) dated 26 June 2014, mandated the transition from NIC 1987 to NIC 2008. Since then, all Indian companies are required to adhere to NIC 2008 standards. This transition was undertaken to align with the international system of classification, ensuring smoother compliance processes for registration.
Applications of NIC Code
The NIC code finds extensive usage across various domains, including:
- Udyam Registration: Under the Micro, Small, and Medium Enterprise Development Act, 2006, businesses seeking registration as micro, small, or medium-sized enterprises must apply on the Udyam portal. The submission of a NIC code is mandatory during the registration process.
- Company Registration/LLP Registration: When incorporating a company or a Limited Liability Partnership (LLP), registration on the Ministry of Corporate Affairs (MCA) Portal is required. During this registration process, the NIC code corresponding to the business activity is essential.
Download Below list of NIC codes
Click here to download detailed list
Examples of NIC Codes
Here are some examples of NIC codes along with their respective business activities:
- Raising of swine/pigs: NIC Code – 0145
- Retail sale of pharmaceuticals, medical and orthopedic goods and toilet articles: NIC Code – 47721
- Sale of motor vehicle parts and accessories: NIC Code – 45300
- Hotels and restaurants: NIC Code – 55101
- Manufacture of articles of concrete, cement and plaster: NIC Code – 2395
- Wholesale of pharmaceutical and medical goods: NIC Code – 46497
- Weaving, manufacture of wool and wool mixture fabrics: NIC Code – 13123
- Manufacture of chemical products or preparations of a kind used in the textiles, paper, leather, and like industries: NIC Code – 20297
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