Introduction

The Registration-Cum-Membership Certificate (RCMC) is a crucial document for businesses involved in the export and import of regulated goods in India. Issued by Export Promotion Councils (EPCs), Commodity Boards, or other competent authorities, the RCMC validates an exporter’s membership with these bodies and is essential for accessing various government incentives and schemes.

Purpose of RCMC Registration

RCMC registration serves multiple functions essential to international trade in India:

1. Authorization for Trade of Restricted Goods: The Foreign Trade Policy outlines specific guidelines for the import and export of restricted goods. The RCMC certificate is a mandatory compliance requirement for businesses dealing in these goods.
2. Access to Government Schemes and Incentives: With an RCMC, exporters can benefit from various government schemes aimed at promoting exports, including the Duty Drawback Scheme, Merchandise Export from India Scheme (MEIS), and Market Access Initiative (MAI).
3. Enhanced Business Credibility: Holding an RCMC signifies that the exporter has met the standards set by a recognized trade promotion body, thereby enhancing their credibility in the international market.

Eligibility Criteria for RCMC Registration

To qualify for RCMC registration, businesses need to meet specific eligibility requirements:

1. Exporter or Merchant Status: The business must be an exporter or merchant actively engaged in the trade of goods.
2. Business Main Line Declaration: Businesses need to specify their primary area of trade.
3. Consent from FIEO: For products that do not fall under any specific board, exporters must secure approval from the Federation of Indian Export Organisations (FIEO).

Legal Requirements and Documents Needed for RCMC Registration

The following documents are required for RCMC registration:

1. Import Export Code (IEC): An active IEC is mandatory for applying for RCMC.
2. Updated IEC Profile: The IEC profile must be updated and linked with a Digital Signature token or Aadhaar e-Signature.
3. Business Main Line Declaration: A declaration specifying the primary business line of the exporter.
4. Consent from FIEO: Approval from FIEO for products not covered by any specific board.
5. Application Form: The application form must be filled out and submitted to the relevant Registering Authority.

Application Process for RCMC Registration

1. Apply through DGFT’s e-RCMC Platform: Exporters need to apply for RCMC through the Directorate General of Foreign Trade (DGFT) e-RCMC platform.
2. Document Verification: The submitted documents will be verified by the relevant authorities.
3. Issuance of RCMC Certificate: Upon successful verification, the RCMC certificate will be issued, valid for five financial years.

Compliance and Renewal Requirements

RCMC holders must ensure compliance with the guidelines set by the issuing authority. The certificate is valid for five financial years and must be renewed before the expiry date to continue enjoying the benefits and incentives.

Conclusion

Obtaining an RCMC is a vital step for businesses involved in the export and import of regulated goods in India. It not only ensures compliance with the Foreign Trade Policy but also provides access to various government schemes and enhances business credibility in the international market.