What is the Registration Cum Membership Certificate (RCMC)?

RCMC Registration in India

The Registration Cum Membership Certificate (RCMC) is a vital document for exporters in India, issued by the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce and Industry (MoCI). This certificate, obtained from Export Promotion Councils (EPCs), Commodity Boards, or other authorized bodies, is essential for accessing various trade benefits and complying with regulatory requirements.

The DGFT, operating through its 38 regional offices, plays a key role in facilitating and promoting foreign trade. It oversees the issuance of authorizations to exporters and enforces India’s Foreign Trade Policy (FTP). The FTP aims to streamline trade procedures, ensuring transparency and efficiency, thereby boosting economic growth and creating job opportunities. The Customs Tariff Act and the Central Excise Tariff Act further govern the imposition of Customs and Excise duties on trade activities.

What is an RCMC Certificate?

The e-Registration Cum Membership Certificate (e-RCMC) is a digital certification that validates an exporter’s status as a legitimate exporter of specific products. Issued by authorized entities such as Export Promotion Councils (EPCs) and Commodity Boards, this certificate provides proof of registration and eligibility to benefit from various trade incentives and schemes.

Typically valid for five years, the RCMC is issued upon application by exporters who declare their primary business activities. India has 26 Export Promotion Councils and 9 Commodity Boards authorized to issue RCMCs, each specializing in different product categories. The certificate is effective from April 1st of the issuance year and remains valid until March 31st of the fifth year, unless otherwise specified.

To qualify for an e-RCMC, exporters must possess an active Importer-Exporter Code (IEC), an updated IEC profile, and a linked Digital Signature Token or Aadhaar e-Signature.

Why is RCMC Required?

1. Authorization for Restricted Items: RCMC grants permission for exporting or importing restricted items, ensuring compliance with government regulations.
2. Access to FTP Benefits: It allows exporters to claim benefits outlined in the Foreign Trade Policy, enhancing global market competitiveness.
3. Customs and Excise Benefits: RCMC helps in availing benefits provided by customs and excise departments, simplifying export processes.
4. Diversified Export Opportunities: Exporters can expand their product range by exporting products across different categories.
5. Export Incentives and Subsidies: With an RCMC, exporters can access incentives and subsidies under schemes like MEIS, RoSCTL, RoDTEP, and SEIS.
6. GST Compliance: It enables the issuance of a Letter of Undertaking (LUT) under GST for duty-free exports, easing financial burdens.
7. FTP Advantages: Exporters can leverage additional benefits under the Foreign Trade Policy, enhancing market presence.

In essence, the RCMC Registration is more than a regulatory requirement; it is a strategic tool for exporters to maximize benefits, streamline processes, and grow their international trade footprint.

List of Export Promotion Councils (EPCs) and Authorities Issuing RCMC

1. Carpet Export Promotion Council (CEPC)
2. Cashew Export Promotion Council of India
3. Cotton Textile Export Promotion Council (TEXPROCIL)
4. Coffee Board of India
5. Electronic and Computer Software Export Promotion Council
6. Gems and Jewellery Export Promotion Council (GJEPC)
7. Export Promotion Council for Handicrafts (EPCH)
8. Handloom Export Promotion Council
9. Handicrafts and Handloom Export Corporation
10. Department of Handloom Development Commissioner
11. Rubber Board
12. Spices Board of India
13. Export Promotion Council for Synthetic and Rayon Textiles
14. Tea Board of India
15. Wool and Woolens Export Promotion Council (WWEPC)

These councils and boards, under the DGFT, issue RCMCs to facilitate exporters’ participation in international trade and provide various government-supported benefits.

FAQs on RCMC Certificates

Q1. What documents do I need to provide for registration with the Council?

• Completed application form.
• Self-attested copy of Importer Exporter Code (IEC).
• Partnership deed (for partnership firms).
• Certificate of incorporation (for Pvt. Ltd, Public Ltd, Corporation, or Co-operative society).
• Resolution regarding signing authority.
• Export House Certificate (if applicable).
• For manufacturer exporters: Self-attested copy of MSME Udhyam or IEM Certificate, and self-declaration on company letterhead regarding manufacturing of handicrafts.

Q2. Do I need to register with the Council to export handicraft products?

• No, it is not mandatory but facilitates access to Council services and benefits under the Foreign Trade Policy.

Q3. Is an Importer Exporter Code necessary for obtaining RCMC?

• Yes, it is essential.

Q4. What distinguishes a merchant exporter from a manufacturer exporter?

• Merchant exporter: Acquires and exports products from manufacturers or other sources.
• Manufacturer exporter: Manufactures products in its own or other units and exports them.

Q5. Do you need an MSME Udyam Certificate or an Industrial Entrepreneur Memorandum (IEM) Certificate to register as a manufacturer exporter?

• Yes, it is compulsory for registering as a manufacturer exporter.

Q6. What is the procedure to renew RCMC?

• Submit the original RCMC along with any required documents, such as a valid MSME Udyam certificate and self-declaration for manufacturer exporters.

Q7. Is there any format for self-declaration for manufacturers of handicrafts?

• Yes, provide a self-declaration on company letterhead, detailing the product types and NIC number, signed and stamped.

Q8. What if the RCMC expires?

• Renew the RCMC within the financial year of expiration by submitting the original RCMC.

Q9. Is there a need to pay subscription fees annually even with a five-year RCMC?

• Yes, the annual membership fee is required.

Q10. What documents are required if there is a change in partnership or directors?

• For partnership changes: New partnership deed and amended IEC.
• For director changes: Amended IEC, form-DIR-12, board resolution, and MCA Master data.

Q11. What if there is a change in the company’s status or name?

• Submit updated IEC, relevant forms, and any other required documents, such as the certificate of incorporation.

Q12. How to obtain a duplicate RCMC?

• Provide an affidavit on Rs 10 stamp paper declaring the loss of the original RCMC Registration.

Q13. What to do if discontinuing membership?

• Submit a consent letter signed by all relevant company members along with the original RCMC.

Q14. How to check RCMC application status?

• Check through the e-RCMC Platform or relevant DGFT portal.

The RCMC is crucial for exporters seeking benefits under the Foreign Trade Policy, ensuring they adhere to procedures and leverage various trade advantages.