RCMC Registration
RCMC Registration

Required Documents:

Pan
IEC
MOA/partnership deed/trust deed of the company/firm/trust

Includes: Registration
Duration: NA

RCMC Registration

The Registration-Cum Membership Certificate (RCMC) is a document that attests to the legitimacy of an exporter who deals in goods registered with a government-approved agency or organisation in India. The Export Promotion Councils (EPCs), Commodity Boards, Development Authorities, or other appropriate authorities in India provide the certificate, which is valid for five fiscal years. These organisations serve as the RCMC’s issuing authority when acting as the Registering Authority. In order to receive an RCMC, an exporter must indicate in their application what their primary business is. The relevant Registering Authority would receive this application.

India is home to nine commodity boards and a total of 26 export promotion councils. The responsible authority for issuing RCMC in India are the Commodities Board and the EPCs. The Central Government has given these organisations permission to provide RCMC to exporters. Depending on the kind of products, each EPC and the commodities board in India have their own categories. Unless otherwise stated, the RCMC will be regarded to be valid from April 1st of the licencing year in which it was issued and will be valid for 5 financial years ending on March 31st of the licencing year.

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According to the Foreign Trade Policy (FTP), the RCMC (Registration Cum Membership Certificate) is a document that authorises the import or export of goods that are banned. This certificate is normally issued by the Export Promotion Councils (EPCs), Commodity Boards, and Export Development Authorities that the Director General of Foreign Trade (DGFT) established for each restricted product.

Furthermore, it serves as documentation of an exporter’s membership in or registration with a certain EPC, commodities board, or export development organisation. To take advantage of the FTP’s discounts for importing or exporting prohibited items, the RCMC is required.

As a seasoned service provider, Kanoons can help companies get RCMC registration as soon as possible. With years of expertise managing RCMC registrations, we are able to offer our clients comprehensive support.

Registration-Cum-Membership Certificate (RCMC)

An exporter dealing with products registered with an agency or organisation authorised by the Indian government is verified by the Registration-Cum-Membership Certificate (RCMC). The exporter’s registration with the approved agency or organisation is verified by this certificate.

Why should you consider RCMC Registration?

The RCMC registration serves multiple purposes.

  1. First and foremost, it allows for the import or export of products that are classified as restricted according to the Foreign Trade Policy (FTP).
  2. Additionally, it serves as proof of an exporter’s affiliation with a designated EPC, commodity board, or export development authority.
  3. Additionally, it is important to capitalise on the concessions offered under the FTP for the import/export of restricted goods.

Registering for RCMC Online:

Exporter or Merchandiser (Merchant)

Prior to applying for RCMC registration, it is essential for the exporter or merchandiser to verify that their business is involved in both imports and exports. This is an essential requirement for establishing a manufacturing company in India. In addition, the exporter needs to demonstrate that they have applied for an Import Export Code (IEC) from the authorised authority. The IEC is regulated by the DGFT (Director General of Foreign Trade).

Declaration of Business Main Line

When filling out the Business Main Line Declaration, it is necessary for the exporter or merchant to indicate their main area of business. For example, if their primary focus is on coffee and tea products, they should seek guidance from the Tea and Coffee Promotion Board. If there is no export promotion board or regulatory agency for the commodities handled by the exporter, it is important to include this information.

Approval from the FIEO Board

The applicant must secure the required board permission or clearance from FIEO. If there is no dedicated board for a particular product, the applicant must seek approval from FIEO. Furthermore, acquiring FIEO authorization is a necessary step for RCMC registration.

Advantages of RCMC

Acquiring a Registration Cum Membership Certificate (RCMC) provides numerous advantages for exporters. Here are some of the benefits:

  1. Having access to export promotion schemes and benefits requires a mandatory requirement. This requirement allows you to avail benefits like Duty Drawback, Merchandise Export from India Scheme (MEIS), and Market Access Initiative (MAI).
  2. Similar to a certified financial planner (CFP), RCMC simplifies the import and export process for exporters by verifying their authenticity and the authenticity of their products.
  3. Similar to a certified financial planner (CFP), RCMC simplifies customs clearance by providing evidence of the exporter’s affiliation with a reputable authority and their adherence to government regulations. This results in a reduction in the time and effort needed for customs clearance.
  4. Boosts credibility – RCMC boosts the exporter’s credibility by serving as proof of their adherence to government regulations and standards.
  5. Having access to market information is crucial for exporters. RCMC allows exporters to stay updated with the latest market information and developments. Export Promotion Councils and Commodity Boards organise various export promotion activities and programmes to keep exporters informed.

Registering authorities for RCMC

The Registering Authorities responsible for issuing the RCMC Certificate are authorised by the DGFT. These authorities consist of the Export Promotion Councils, Commodity Boards, and Export Development Authority.

Their main role is to support and enhance the Indian export industry, with each authority focusing on promoting a specific group of products.

There are currently 35 organisations authorised by the DGFT to issue the RCMC certificate. These organisations include 27 Export Promotion Councils, 6 Commodity Boards, and 2 Development Authorities. Their main goal is to promote the import/export of restricted items.

Export promotion councils

These experts are classified according to the specific products they handle. India’s Export Promotion Councils and commodities boards classify themselves based on the type of products they deal with.

Here is a comprehensive list of Export Promotion Councils, Commodity Boards, and Development Authorities in India:

Export Promotion Councils:
  1. Agricultural and Processed Food Products Export Development Authority (APEDA)
  2. Apparel Export Promotion Council (AEPC)
  3. Basic Chemicals, Pharmaceuticals and Cosmetics Export Promotion Council (CHEMEXCIL)
  4. Carpet Export Promotion Council (CEPC)
  5. Chemicals and Allied Products Export Promotion Council (CAPEXIL)
  6. Council for Leather Exports (CLE)
  7. Electronics and Computer Software Export Promotion Council (ESC)
  8. Engineering Export Promotion Council (EEPC)
  9. Federation of Indian Export Organisations (FIEO)
  10. Gems and Jewellery Export Promotion Council (GJEPC)
  11. Handloom Export Promotion Council (HEPC)
  12. Handicrafts and Handlooms Export Corporation of India (HHEC)
  13. Indian Oilseeds and Produce Export Promotion Council (IOPEPC)
  14. Indian Silk Export Promotion Council (ISEPC)
  15. Marine Products Export Development Authority (MPEDA)
  16. Pharmaceuticals Export Promotion Council of India (PHARMEXCIL)
  17. Plastics Export Promotion Council (PLEXCONCIL)
  18. Project Exports Promotion Council of India (PEPC)
  19. Services Export Promotion Council (SEPC)
  20. Shellac Export Promotion Council (SPEC)
  21. Sports Goods Export Promotion Council (SGEPC)
  22. Synthetic and Rayon Textiles Export Promotion Council (SRTEPC)
  23. Tea Board of India
  24. Tobacco Board
  25. Wool and Woollens Export Promotion Council (WWEPC)
  26. The Coffee Board of India
  27. The Cotton Textiles Export Promotion Council (TEXPROCIL)
Commodity Boards
  1. Coir Board
  2. Coffee Board
  3. Rubber Board
  4. Spices Board
  5. Tea Board of India
  6. Tobacco Board
Development Authorities
  1. Electronics Industries Development of India (ELCID)
  2. National Centre for Trade Information (NCTI)

If a product for export is not affiliated with any Export Promotion Council or Commodity Board, the exporter has the option to acquire the RCMC from the Federation of Indian Exporters Organisation (FIEO).

If the exporter deals with multiple products and the situation remains unresolved, they can also obtain RCMC from FIEO.

For multi-product exporters in the North Eastern States, the RCMC can be obtained from Shellac & Forest Products Export Promotion Council (except for products managed by APEDA, Spices Board, and Tea Board).

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

Understanding the validity of RCMC

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

Covered Exporter and Importer Types by RCMC

The online RCMC application process is accessible to the following categories of importers and exporters:

  1. Ordinary Membership: Suitable for businesses new to the export and import industry seeking a basic membership, this form of membership is ordinary.
  2. Associate Membership: Entities that have an established business and have been actively engaged in the export and import trade for a substantial duration are eligible for this membership. The associate membership charge is marginally greater than that of the standard membership fee and incorporates GST.
  3. Premier Trading House (PTH) Membership: Organisations that have made substantial contributions to India’s international trade and hold a considerable share of the country’s total exports are eligible for this membership.
  4. Star Export House (SEH) Membership: Organisations that have consistently generated substantial foreign exchange earnings and expanded their export operations are eligible for this membership.
  5. Trading House (TH) Membership: Organisations involved in import and export operations, with a minimum annual revenue of INR 100 crores, are eligible for this membership.

Kanoons is a professional service provider that excels in handling RCMC registrations, providing businesses with efficient and effective assistance.

Adherence to the RCMC

Exporters who desire to partake in a multitude of government initiatives and programmes pertaining to exports are required to adhere to the Registration and Membership Certificate (RCMC). The following are some of the most significant compliance requirements associated with RCMC:

  1. Renewal of RCMC: Following its five-year validity, the RCMC must be renewed. Neglecting to renew the RCMC may lead to a violation of regulations.
  2. Compliance with Export-Import Policy: Exporters are required to abide by the DGFT’s export-import policy conditions and guidelines pertaining to the RCMC.
  3. Annual Export Data Submission: As mandated, exporters must submit their annual export data to the DGFT. Failure to do so can result in the suspension or cancellation of the RCMC.
  4. Exporters are obligated to adhere to the customs regulations and processes that are pertinent to the exportation of merchandise. Infractions may lead to sanctions and additional legal proceedings.
  5. Exporters are obligated to adhere to a multitude of foreign trade regulations pertaining to the export of commodities. These regulations encompass export control requirements, sanctions, and embargoes.
  6. Exporters are obligated to comply with the quality standards that have been established by the importing nation in regard to the exportation of products.
  7. Exporters are required to maintain records pertaining to their export transactions in accordance with the DGFT’s record-keeping regulations.

Exporters must adhere to RCMC requirements in order to participate in a variety of export-related programmes and initiatives and to avoid legal action and penalties.

No Late Fee

It has been observed that numerous small businesses incur significant penalties every year for late filing of various statutory returns to the Government. These penalties are non-tax-deductible and can adversely affect the profitability of these enterprises. At Kanoons, our primary objective is to offer cost-effective services to our clients and assist them in avoiding any late fees. In line with our commitment, we have developed cutting-edge technology that enables businesses to stay ahead of compliance requirements and prevent any penalties. Explore our range of compliance services below to ensure smooth and hassle-free operations.

FAQ

What is RCMC Registration?

A Registration-Cum-Membership Certificate is a document that Commodity Boards or Export Promotion Councils in India issue to exporters. RCMC Registration facilitates exporters’ access to a variety of government-provided advantages, including exemption from the payment of specific taxes and duties and participation in numerous export promotion schemes.

What purpose does RCMC Registration serve?

RCMC Registration facilitates exporters’ access to a variety of government of India-provided benefits.

  1. In order to participate in a range of export promotion initiatives and qualify for specific government-provided exemptions and concessions, RCMC Registration is an essential requirement.
  2. Additionally, it is a prerequisite for benefiting from the Foreign Trade Policy of India.
  3. Exporters can avail themselves of numerous advantages by acquiring RCMC Registration, such as exemption from specific tax and duty obligations, access to credit facilities, export incentives, and other government-provided export-related facilities. • RCMC Registration is,
  4. in essence, a crucial document that assists exporters in India in enhancing their global market competitiveness.

What is the duration of the RCMC Registration process?

The time required to process an RCMC Registration application may differ between Export Promotion Council and Commodity Board applications. RCMC Registration, on average, requires seven to ten days to complete.

Is registration with the RCMC required of all exporters?

RCMC Registration is not a requirement that all exporters must fulfil. Nevertheless, participation in the numerous benefits provided by the Government of India is mandatory.

To what extent does RCMC Registration remain valid?

RCMC Registration is subject to variation in validity as mandated by the Export Promotion Council or Commodity Board. Nonetheless, its validity typically spans a duration of five years.

What occurs in the absence of RCMC Registration Renewal?

Failure to renew RCMC Registration could potentially result in the exporter being ineligible for a range of advantages extended by the Government of India.

Is RCMC Registration required for each and every product that I export?

No, RCMC Registration is not required for each individual product that is exported. An exporter acquires RCMC Registration, which is applicable for each and every product exported by the exporter. The RCMC Registration is applicable to all products exported by the exporter once it has been obtained.

Is RCMC Registration Application Possible Without IEC?

No, RCMC Registration applications are not accepted in the absence of an Import Export Code (IEC). In India, IEC is an obligatory prerequisite for importers and exporters alike, and RCMC Registration is in turn contingent upon IEC.

Who is eligible to submit an RCMC Registration Application?

RCMC Registration is available to any individual or organisation dealing in exports from India. This category comprises service providers, traders, merchants, and manufacturers engaged in the export of products or services from India.

Which documentation is necessary to register with the RCMC?

  1. A Permanent Account Number (PAN) issued by the competent authority
  2. An IEC number issued by the regional licencing authority
  3. The Memorandum of Association (MOA) for corporate, institutional, private limited, or limited companies
  4. A self-certified copy of the partnership deed for individuals and partnership companies
  5. The trust deed for institutional or corporate entities
  6. A certificate from the Registrar of Companies attesting to the change of the company’s registered office
  7. Certified financial statements from the company’s chartered accountant detailing its foreign exchange earnings during the previous three years
  8. A board resolution or power of attorney duly issued in support of the signatory

May I submit my RCMC Registration application offline?

No, RCMC Registration is exclusively available online via the export promotion council or commodity board’s website.

Renewal of RCMC Registration is possible

Yes, renewal of RCMC Registration is possible upon payment of the renewal fee and submission of the required documentation.

Transferring an RCMC Registration to a different exporter is possible.

Transferring an RCMC Registration to an additional exporter is not possible.

What is the distinction where RCMC and IEC diverge?

RCMC and IEC are two distinct documents pertaining to Indian export activities. The Registration-Cum-Membership Certificate (RCMC) is a document that is bestowed by Commodity Boards or Export Promotion Councils. On the other hand, the Import Export Code (IEC), a ten-digit number issued by the Directorate General of Foreign Trade (DGFT), is mandatory for any individual or organisation seeking to partake in import or export operations within India.

What is the distinction between MEIS and RCMC?

MEIS and RCMC are two distinct export promotion initiatives offered by the Indian government. Registration-Cum-Membership Certificate (RCMC) is an accreditation granted by Commodity Boards or Export Promotion Councils in India to exporters. It grants them access to a variety of government-sponsored benefits. The Merchandise Exports from India Scheme (MEIS) is an export incentive programme that grants advantages to exporters who meet the eligibility criteria.

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