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RCMC Registration - How To Apply Online?

  • Posted By SuperCA
  • On 29 August

RCMC Registration - How To Apply Online?

 

RCMC or Registration-cum-Membership Certificate is a membership certificate issued for 5 years by Export Promotion Councils/Commodity board/Development authority or other competent authority as prescribed in FTP or HBP Vol 1. This certificate is issued as proof that any particular exporter is registered with the council/Board.

According to the Foreign Trade Policy, an (RCMC) is required for exporters in order to avail benefits under the policy. Holding the certificate can also help exporters in availing benefits with respect to Customs and Excise.

 

What are Export Promotion Councils (EPCs)/Commodity Boards?

Export Promotion Councils (EPCs)/Commodity Boards are organizations of exporters that are set up for promoting and developing Indian exports. Each Council/Board is responsible for the promotion of a particular group of products/ projects/services as given in Appendix 2T of Appendices and Aayat Niryat Forms (AANF). They are also eligible to function as Registering Authorities which are notified by DGFT in this regard to issue RCMC to its members. There are 28 Export promotion councils and 9 commodities boards in India. Each of the Export Promotion Councils and commodities boards in India categorizes itself according to the type of products, hence when applying for RCMC, an exporter has to declare the mainstream business. For example, If a person is running a coconut business, the person comes under the Coconut Development Board. Likewise, Council for Leather Exports is responsible to look after the exports of Leather and Leather products.

Further, if the person does not belong to any mentioned export promotion council, or if the stream of business is yet to be confirmed, then the person can directly apply for the certificate at FIEO (Federation of Indian Exporters Organization) which is is the Apex Body controlling all the Export Promotion Councils, Commodity Boards, and Export Development Authorities.

 

Documents Required for RCMC Registration

Each Registering Authority has its own requirements of documents for obtaining RCMC. However, some of the common documents required by all Authorities are-

* Aadhar & PAN Card
* Articles and Memorandum of Association (For Corporate/institutional/Private Limited/ Limited company), Partnership Deed (in case of Partnership firms and LLPs), or Trust Deed (in case of Trusts).
* GST registration certificate.
* Self-certified copy of the IEC Number
* In the case of a service exporter already in business, three years’ services export data certified by the exporter’s CA has to be provided. Proof of payment of membership fee to the Services Export Promotion Council (SEPC) also has to be provided.

 

Application Procedure

Step 1: Visit the FIEO* (Federation of Indian Export Organizations) website at fieo.org

Step 2: Select the Tab “Membership”  

Step 3: Click on Apply for RCMC/Membership, Renewal, and Endorsement online. The applicant will then be directed to a different website that requires credentials.

Step 4: Fill in the details like “IEC Number, Company Name (Min 3 Letters) & Organization Name (FIEO)”.

Step 5: Select the tab “Login Using”-

* Digital Signature Certificate

* Password

Step 6: After filling in the details clicks on “Log In”.

Step 7: The person needs to provide all the vital and mandatory information in the membership application section like the Name of the firm, type of entity, 

Step 8: The applicant has to provide a letter of authority. This letter will indicate who is the authority representing the applicant in the FIEO on the application. Providing such information is mandatory for the applicant.

Step 9: The final step is the payment of fees. The membership Fees for New RCMC holders are given in the table below. On successful verification, RCMC will be issued to the applicant.

*RCMC Registration is the same as FIEO Registration.

RCMC Registration Fees (For FIEO RCMC Registration)

Category of Registration

Fees

Individual Exporter

Rs. 6,250/-

Multi-Products Group

Rs. 6,250/-

Multi-Products Group

Rs 7,000/-

Service Providers

Rs. 6,250/-

FTZ units/EOUs

Rs. 9,375/-

One Star Export House

Rs. 9,375/-

Two Star Export House

Rs.12,500/-

Three Star Export House

Rs.25,000/-

Four Star Export House

Rs.50,000/-

Five Star Export House

Rs.93,750/-

 State Export Organization

Rs. 6,250/-

 

Validity of RCMC

RCMC is valid from 1st April of the licensing year when it is issued and is valid for five years that ends on 31st March of the licensing year. Having a certificate makes an exporter eligible for all the benefits of the respective parent organization.

 

Advantages

* The exporter/importer will get concessions and schemes under the Foreign Trade Policy of the Country by obtaining RCMC like Advance Authorization for annual requirement Scheme, Duty-Free Import Authorization (DFIA) Scheme, Duty Drawback of Customs/Central Excise Duties/Service Tax, Rebate of Service tax through all industry rates and Zero duty EPCG scheme
* Subsidies and financial assistance for their export promotion activities like taking part in exhibitions abroad/trade fairs/business delegations/buyer-seller meets organized by respective EPC
* An entity or company that secures this registration would be compliant with the rules and bylaws of the government.
* This registration will directly increase exports on an international scale.

Further, the registered company or firm that exports can benefit from various schemes offered by the FIEO. This wouldn't be the case for businesses that aren’t registered.

 

 

Conclusion

Violation of the terms and conditions of registration may render your business de-registered for a particular period. However, there may be no form of penalties for not registering the business, the deregistration of the business is possible if the exporter has not defended them against a violation claim even after a reasonable opportunity is provided. RCMC is not mandatory, however, keeping in mind all the benefits associated with an RCMC Certificate, it becomes indirectly mandatory to hold an RCMC for export. In a nutshell, we would recommend you get an RCMC Certificate if you are serious about taking your export business to new heights.

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