NEW DELHI: The government has introduced exemption from the requirement of Registration-cum-Membership Certificate (RCMC) or Certificate of Registration for small-value export consignments up to Rs 3 lakh, according to a Commerce Ministry statement issued on Wednesday.
The measure is aimed at reducing the compliance burden for new and small exporters and facilitating exports through postal, courier as well as e-commerce and other emerging channels.
The Directorate General of Foreign Trade (DGFT) has amended Para 2.57 of the Foreign Trade Policy, 2023 to provide that RCMC or Certificate of Registration will not be required for export consignments having a free-on-board (FOB) value of up to Rs 3 lakh, wherever such certificate is otherwise required under the Foreign Trade Policy.
Export consignments exceeding Rs 3 lakh will continue to require a valid RCMC or Certificate of Registration, wherever applicable, the statement said.
Historical data for the last five years (2021-22 to 2025-26) indicates that low-value exports account for a significant share of shipping bills but a very small proportion of the overall export value.
Consignments up to $3,000, for instance, account for 43 per cent of shipping bills but only 0.86 per cent of India's total merchandise export value. The exemption is, therefore, expected to cover a substantial number of small-value export transactions while having only a marginal impact on the overall value of exports.
At present, exporters are generally required to obtain an RCMC or Certificate of Registration from the relevant Export Promotion Council or Commodity Board, wherever applicable under the Foreign Trade Policy.
For new or occasional exporters undertaking small-value consignments, this involves an additional compliance step, including identifying the appropriate registering body, submitting the prescribed documents and completing the registration process before undertaking exports. The measure provides MSMEs, artisans, small businesses and first-time exporters with a simpler entry point into international markets by removing the requirement to obtain an RCMC upfront for eligible small-value consignments. This will enable emerging exporters to test overseas markets and establish an export track record with lower initial compliance requirements. (IANS)
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