NIC code or the National Industrial Classification code is a unique identification number given to different industries present in the country. This number determines the type of business you own including the main sector and the sub sector your company belongs to.
The government labels the NIC code as a statistical standard for developing and maintaining comparable data base according to economic activities. It is used to classify economically active population, statistics of industrial production and distribution, the different fields of labour statistics and other economic data such as national income.
The first attempt to classify industries was in 1962 and was called Standard Industrial Classification (SIC). The SIC was a 4-digit classification and consisted of 9 divisions, 55 major groups, 284 groups and 753 sub-groups. The significant changes in the organisation and structure of the industries called for the revision of SIC in 1962. The revised classification called National Industrial Classification (NIC) was completed in 1970.
Like the revisions made to MSME classification, the NIC has had multiple revisions since then to keep it aligned to the changing business and economic environment. The latest amendments to the classification system were made during 2008.
NIC Code 2008
Under the new code all activities are grouped into several ‘activity groups’ or ‘tabulation categories’ in a hierarchical manner.
- Activities are first grouped into a ‘section’ alphabetically coded from A through U
- Sections are divided into ‘divisions’ with 2-digit numeric code
- Divisions are further categorised into a ‘group’ with 3-digit numeric code
- Groups are divided into a ‘class’ with 4-digit numeric code and every 4-digit class into 5-digit ‘sub-class’
- The five-digit sub class that identifies your business activity is your NIC code
Here is an example for better understanding:
| Level | Description |
| Section C | Manufacturing |
| Division 13 | Manufacture of textiles |
| Group 131 | Spinning, weaving and finishing of textiles |
| Class 1311 | Preparation and spinning of textile fibres |
| Sub-Class 13111 | Preparation and spinning of cotton fibre including blended cotton |
How do I find my NIC code for MSME registration?
NIC codes are used in MSME registration, Udyam registration, Udyog Aadhaar registration and company registration/ LLP registration. Applicants This code will be asked while filling in the registration form of your company and will help the government determine the nature of your business.
Before applying for any of the registrations mentioned above, you need to know your NIC code. If you are looking for the MSME NIC code list, you can head over to the government’s career services website (https://www.ncs.gov.in/Documents/NIC_Sector.pdf) and download the complete list.
Given below are a few examples of NIC code classifications:
1. NIC code list for services
Have a look at the NIC code list for services like computer programming, consultancy and related activities.
Computer programming, consultancy and related activities are included in Section J, Division 62, Group 620 and Class 6201. Class 6201 is subdivided into three sub classes.
- 62011 – Writing, modifying, testing of computer program to meet the needs of a particular client excluding webpage designing
- 62012 – Webpage designing
- 62013 – Providing software support and maintenance to the clients
2. NIC code for retail shops
This is the NIC code for retail shops for Udyam registration:
Retail trade except for the trade of motor vehicles and motorcycles comes under Section G, Division 47, Group 471. Group 471 branches into multiple classes.
| Group | Class | Subclass | Description |
| 471 | 4711 – Retail sale in non-specialised stores | 47110 | Retail sale in non-specialized stores with food, beverages or tobacco
predominating |
| 4719 – Other retail sale in non-specialised stores | |||
| 4721 – Retail sale of food, beverages and tobacco in specialised stores | 47190 | Other retail sale in non-specialised stores | |
| 47211 | Retail sale of cereals and pulses, tea, coffee, spices and flour | ||
| 47212 | Retail sale of fresh or preserved fruit and vegetables | ||
| 47213 | Retail sale of meat, meat products, poultry products, fish, other seafood and
products thereof |
||
| 47214 | Retail sale of bakery products, dairy products and eggs | ||
| 47215 | Retail sale of sugar confectionery and sweetmeat | ||
| 47219 | Retail sale of other food products n.e.c. | ||
| 4722 – Retail sale of beverages in specialised stores | 47221 | Retail sale of alcoholic beverages not consumed on the spot | |
| 47222 | Retail sale of non-alcoholic beverages including ice cream not for
consumption on the premises |
The above–mentioned classifications of both NIC code for trading and computer consultancy activities are just a few sub classes. There are many more classes and sub classes. To get a full list of codes for services download the NIC code for services pdf from the National Career Services website.
