RCMC Registration

Registration-Cum-Membership Certificate (RCMC)

In India’s dynamic export landscape, compliance and recognition by government-authorised export promotion bodies are vital for businesses to gain credibility and access benefits. One such mandatory compliance for exporters is obtaining a Registration-Cum-Membership Certificate (RCMC). An RCMC is a certificate issued by Export Promotion Councils (EPCs) or Commodity Boards, recognised under the Foreign Trade Policy (FTP) of India. It serves as proof that an exporter is registered with the council or board relevant to their line of products or services. This registration is crucial for availing of various benefits, incentives, and support offered by the Directorate General of Foreign Trade (DGFT), the Ministry of Commerce and Industry, and other government agencies.

Whether you are a manufacturer, merchant exporter, service provider, or a startup exploring overseas markets, an RCMC is often the gateway to export incentives under schemes like RoDTEP (Remission of Duties and Taxes on Export Products), Advance Authorisation, EPCG, and SEIS. Additionally, the certificate helps establish the exporter’s bona fides in the global market. 

What is an RCMC?

The Registration-Cum-Membership Certificate (RCMC) is a certificate issued to Indian exporters by Export Promotion Councils (EPCs), Commodity Boards, or Authorities such as the Federation of Indian Export Organisations (FIEO). It serves as proof that the exporter is registered with a specific Council or Board relevant to their product or service. The certificate is issued under India's Foreign Trade Policy (FTP) and is regulated by the Directorate General of Foreign Trade (DGFT).

Why is RCMC Important for Exporters?

1. Legal Compliance:

RCMC is a legal proof that an exporter is registered with an authorized Export Promotion Council (EPC) or Commodity Board. To avail of authorizations under the Foreign Trade Policy, exporters must obtain RCMC.

2. Access to Export Incentives:

RCMC is mandatory for availing the benefits under the various promotion schemes, like:

• Remission of Duties and Taxes on Exported Products (RoDTEP)
• Merchandise Exports from India Scheme (MEIS)
• Service Exports from India Scheme (SEIS)
• Export Promotion Capital Goods (EPCG)
• Rebate of State and Central Taxes and Levies (RoSCTL)

3. Mandatory for Restricted Goods:

An RCMC is required to export or import restricted items, ensuring adherence to India's trade regulations.

4. Participating in Trade Events:

RCMC holders can participate in trade fairs, buyer-seller meets, and exhibitions organized by EPCs, facilitating networking and market development.

5. Facilitate Export Finance:

RCMC registration can aid in securing export credit and insurance from institutions like the Export Credit Guarantee Corporation of India (ECGC), which provides financial stability to exports.

Who Needs RCMC?

RCMC is needed by the following:

1. Exporters of Goods and Services:
   • Merchant Exporters, i.e., the businesses that purchase goods domestically and sell them overseas.
   • Manufacturer Exporters that export goods overseas
   • Service Exporters that export services such as IT, consulting, professional services, etc.
2. Importer or Exporter of Restricted goods such as defence‐related goods, certain chemicals, or high-value electronics
3. Claimant of Export Promotion Schemes such as Merchandise Exports from India Scheme (MEIS), Rebate of State and Central Taxes and Levies (RoSCTL), Remission of Duties and Taxes on Export Products (RoDTEP), and Service Exports from India Scheme (SEIS)
4. Specialized Commodity Exporter, i.e., the products not covered by mainstream EPC, such as forest products, niche agro-commodities, or handicrafts.

Types of RCMC Memberships

1. Ordinary Membership

This membership is ideal for new or prospective exporters entering the export sector.

• Purpose: It provides basic access to export promotion schemes and serves as an initial step into international trade.
• Fee Structure: Generally lower compared to other membership types.

2. Associate Membership

This membership is best for established businesses with a significant track record in exports.

• Purpose: It provides enhanced benefits, including greater access to trade information, promotional events, and policy advocacy.
• Fee Structure: It is higher than the Ordinary Membership.

3. Premier Trading House (PTH) Membership

This membership is reserved for companies that contribute a substantial share to India’s total exports and international trade.

• Purpose: It recognizes and supports major exporters and provides them with additional privileges and recognition.
• Fee Structure: The fee structure of this membership is the highest among membership types.

4. Star Export House (SEH) Membership

This certificate is essential for those business entities that have demonstrated consistent export growth and earned significant foreign exchange.

• Purpose: It acknowledges consistent performers in the export sector and provides them with benefits like priority treatment.

5. Trading House (TH) Membership

Companies engaged in import and export activities with an annual turnover of at least INR 100 crores are eligible for this certificate.

• Purpose: It supports large-scale trading entities by providing them with specific advantages under the Foreign Trade Policy.

Authorities Issuing RCMC

Three categories of authorities formally issue RCMC: Export Promotion Councils (EPCs), Commodity Boards, and specialized Development Authorities.

1. Federation of Indian Export Organisations (FIEO):

It is the apex coordinating body of all the government-recognized EPCs, Commodity Boards, and Development Authorities in India.

2. Export Promotion Councils (EPCs):

There are 26 Export Promotion Councils empowered to issue RCMCs for specific product categories, some of them are:

• Agricultural & Processed Food Products Export Development Authority (APEDA) for agriculture‐processed foods
• Apparel Export Promotion Council (AEPC) for readymade garments
• Basic Chemicals, Pharmaceuticals & Cosmetics EPC (CHEMEXCIL) for dyes, chemicals, cosmetics, etc.
• Engineering Export Promotion Council (EEPC India) for engineering goods
• Gem & Jewellery Export Promotion Council (GJEPC) for diamonds, gemstones, and jewellery
• Textile Councils such as Cotton Textiles EPC (TEXPROCIL), Handloom EPC (HEPC), Wool & Woollens EPC (WWEPC)

3. Commodity Boards:

These are the boards authorized to issue RCMCs for primary and processed commodities that are not covered by EPCs, such as the Tea Board, Coffee Board, Spices Board, Rubber Board, and Tobacco Board.

4. Specialized Export Development Authorities such as:

• Marine Products Export Development Authority (MPEDA)
• Floriculture Export Development Authority (notified under APEDA Act)

Eligibility for RCMC Registration

To apply for RCMC Registration, the applicant needs to fulfil the following eligibility criteria:

• The applicant needs to have a valid Import-Export Code (IEC) before applying for e-RCMC.
• Applicants must have a Class-II or Class-III DSC token registered on their IEC profile.
• The applicant must be actively engaged in exporting or importing goods/services from India. It is worth noting that dormant or purely business entities are not eligible to apply for RCMC Registration.
• Exporters must register with the EPC or Commodity Board associated with their principal line of business, such as APEDA or SEPC.
• If there is no dedicated council or board established governing your product, you must obtain membership from the Federation of Indian Export Organisations (FIEO) before applying for RCMC.