Benefits of RCMC

Obtaining a Registration Cum Membership Certificate (RCMC) offers several benefits to exporters. Some of these benefits include:

• Access to export promotion schemes and benefits - RCMC is a mandatory requirement for availing export promotion schemes and benefits such as Duty Drawback, Merchandise Export from India Scheme (MEIS), and Market Access Initiative (MAI).
• Facilitation in import and export - RCMC makes it easier for exporters to import or export restricted goods as the certificate validates the exporter's authenticity and products' authenticity.
• Easier customs clearance - RCMC reduces the time and effort required for customs clearance as it proves the exporter's membership with a recognized authority and their compliance with government regulations.
• Enhances credibility - RCMC enhances the credibility of the exporter as it is a testament to their compliance with government regulations and standards.
• Access to market information - RCMC enables exporters to stay updated with the latest market information and developments through export promotion activities and programs organized by Export Promotion Councils and Commodity Boards.

RCMC Registering Authorities

The DGFT empowers Export Promotion Councils, Commodity Boards, and Export Development Authorities to issue the RCMC Certificate, promoting and developing India's export industry. These organizations, totaling 35 authorized bodies, including 27 Export Promotion Councils, 6 Commodity Boards, and 2 Development Authorities, focus on facilitating the import/export of restricted items and promoting specific product groups.

• Export promotion councils

  These authorities are categorized based on the type of products they deal with. Each of India's Export Promotion Councils and commodities boards categorizes itself according to the Type of products.

  List of Export Promotion Councils, Commodity Boards, and Development Authorities in India:

  Diverse Specializations: Various councils and boards specialize in different sectors like agriculture (APEDA), apparel (AEPC), chemicals (CHEMEXCIL), textiles (TEXPROCIL), and more.

  Export Promotion: They promote India's exports through sector-specific strategies, market research, and trade facilitation initiatives.

  Government Authorization: Authorized by the DGFT, they facilitate exports by providing certifications like RCMC, ensuring compliance with trade regulations.

• Commodity Boards

  • Coir Board
  • Coffee Board
  • Rubber Board
  • Spices Board
  • Tea Board of India
  • Tobacco Board

• Development Authorities

  Electronics Industries Development of India (ELCID)

  National Centre for Trade Information (NCTI)

  If an export product is not covered by any Export Promotion Council or Commodity Board, the exporter can obtain the RCMC from the Federation of Indian Exporters Organization (FIEO).

  Multi-product exporters can obtain RCMC from FIEO nationwide or from Shellac & Forest Products Export Promotion Council for North Eastern States, except for products managed by APEDA, Spices Board, and Tea Board.

  For exporters of handicrafts and handloom products from Jammu & Kashmir, the Director of Handicrafts, Government of Jammu & Kashmir, is authorized to issue the RCMC.

Validity of RCMC

The RCMC remains valid starting from the issuance date on the 1st of April of the licensing year and is valid for five years, concluding on the 31st of March.

Documents Required for RCMC

The application form for RCMC must be accompanied by several mandatory documents, including:

• Documentation Requirements: To obtain an Importer Exporter Code (IEC) number, various documents are necessary, including PAN, MOA for corporate entities, partnership deed for partnerships, and trust deed for trusts.
• Additional Documentation: A certificate from the Registrar of Companies for the registered office change, certified data on foreign exchange earnings, and a GST registration certificate are also required.
• Authority Verification: A board resolution or power of attorney is needed if the signing authority's name is not specified in the initial documents (IEC, MOA, partnership deed, or trust deed).

Types of Exporters/Importers Covered - RCMC

The online RCMC application process is available for various types of exporters and importers, including:

• Membership Types:Membership options include Ordinary, Associate, Premier Trading House (PTH), Star Export House (SEH), and Trading House (TH), catering to varying levels of experience and business scale in the export-import sector.
• Criteria for Each Membership: Membership eligibility ranges from basic entry for new businesses (Ordinary) to recognition for substantial export contribution (PTH, SEH) and large-scale trading operations (TH).
• Benefits and Requirements: Each membership tier offers specific benefits and requires different criteria such as export growth, turnover thresholds, and duration in the industry, reflecting varying levels of commitment and achievement in international trade.

Compliance with RCMC

Compliance with the Registration cum Membership Certificate (RCMC) is mandatory for exporters who wish to participate in various government schemes and programs related to exports. Some of the important compliance requirements related to RCMC are as follows:

• RCMC Renewal and Compliance: Ensure timely renewal of RCMC every five years to maintain compliance with export-import policy guidelines and DGFT conditions.
• Annual Export Data Submission:Submit annual export data to the DGFT as mandated to avoid suspension or cancellation of RCMC and ensure adherence to customs and foreign trade regulations.
• Quality Standards and Record-Keeping:Adhere to importing countries' quality standards, maintain meticulous export transaction records, and comply with DGFT record-keeping requirements to uphold regulatory compliance and avoid penalties.