Government Eases RCMC Rules for Small Exports
DGFT has exempted export consignments with an FOB value of up to INR 3 lakh from the RCMC or Certificate of Registration requirement, reducing compliance for small and first-time exporters.
The Government has eased compliance requirements for small-value exports by introducing a de minimis exemption from the Registration-cum-Membership Certificate (RCMC) or Certificate of Registration requirement for consignments valued at up to INR 3 lakh.
The Directorate General of Foreign Trade (DGFT) has amended Para 2.57 of the Foreign Trade Policy, 2023, providing that exporters will not need an RCMC or Certificate of Registration for consignments with a Free-on-Board (FOB) value of up to INR 3 lakh, wherever such certification would otherwise be required under the policy.
Export consignments valued above INR 3 lakh will continue to require the relevant registration or membership certificate wherever applicable under the existing framework.
The change is aimed at lowering the initial compliance burden faced by small businesses and first-time exporters, while making it easier to send goods overseas through postal, courier and other emerging export channels.
Government data covering 2021-22 to 2025-26 shows the significance of low-value shipments by volume. Export consignments valued at up to USD 3,000 accounted for 43 per cent of shipping bills, while representing only 0.86 per cent of India’s total merchandise export value during the five-year period.
Under the existing system, exporters are generally required to obtain an RCMC or Certificate of Registration from the relevant Export Promotion Council or Commodity Board, wherever applicable. New and occasional exporters may therefore need to identify the appropriate registering organisation, submit the necessary documentation and complete registration before exporting.
The latest exemption will allow MSMEs, artisans, small businesses and first-time exporters to undertake eligible low-value shipments without obtaining an RCMC upfront. The measure could also facilitate e-commerce exports and smaller consignments moving through postal and courier networks.
Exporters whose consignments subsequently cross the INR 3 lakh threshold will continue to obtain membership or registration from the relevant Export Promotion Councils or Commodity Boards wherever required. They can also access the export promotion and market-access initiatives offered by these organisations.
The Government said the measure is intended to simplify export compliance, widen participation in international trade and improve accessibility for emerging exporters, while retaining the existing certification framework for higher-value consignments.