The RCMC Journey: From DGFT to Export Promotion Councils

In the international trade universe, the RCMC certificate (Registration-cum-Membership Certificate ) is an instrumental document. The aspiring and established entrepreneurs can create a distinctive framework for their export house by leveraging government schemes. At the same time, the RCMC license serves not merely as a document but as a crucial access point for availing the benefits and schemes established by the government. However, here is a catch- the journey of the export registration certificate is not direct. However, it begins with the Directorate General of Foreign Trade Promotion Council (DGFT) and ultimately leads to the relevant leading body, the Export Promotion Councils (EPCs). Let’s take a look at this guide to understand the role of each organization with its specific roles and the goods or services that come under its control. 

The Function of DGFT: The RCMC License’s guiding light

Under the Ministry of Commerce and Industry, the Directorate General of Foreign Trade (DGFT) operates. It is the principal department of the Directorate General of Foreign Trade. The agency is responsible for setting rules and managing India’s foreign trade policy.  DGFT is the primary agency that works for India’s export-import operation management. The designed framework by this agency encourages and supports those businesses that trade internationally. 

What are the key Functions of DGFT?

1. Policy Implementation: The Directorate General of Foreign Trade (DGFT) is responsible for making decisions or implementing the Foreign Trade Policy (FTP) across India. Comprehensively, it guides the importers and exporters.
2. Improve Foreign Trade: The policy implementation encourages and supports the business. A pillar for a supportive foundation for export houses. 
3. RCMC Approval: For the exporters and importers, DGFT serves as the licensing department. It is responsible for issuing the important approvals and certificates.
4. Promotes Indian exports: By introducing the new schemes and incentives, the regulatory authority enforces for Indian export production. It works on trade-related information, enhances specific economic zones, and supports exporters in international markets.

For obtaining the RCMC certificate, DGFT represents the initial step. This is the place where the exporters obtain a mandatory Import-Export Code (IEC). It demonstrates, DGFT approval is important for the IEC number, which is required during RCMC registration. Well, since the single-window digital platform has been introduced, the registration process has become easier. 

What is the Role of the RCMC Certificate for the Export House?

The RCMC license acts as the identifier that verifies the exporter’s membership with the appropriate Export Promotion Council. The significance of this certificate extends beyond this point. But it is a vital document that is used by businesses to claim many benefits and schemes under FTP. From the relief with taxes to duties, all benefits are included with this certificate. By reducing the goods costs, it can shine in the international markets. Having the export registration certificate helps to gain the trust of buyers and creates a professional image in global markets. 

Export Promotion Councils- EPC Membership Certificate

Once the exporters get an IEC number (Import-Export Code) from DGFT, their next move is an EPC. In India, several councils are subject to specific categories of products. On the other hand, EPCs are government-sponsored non-profit organizations. Its primary function is to facilitate the export of specific, categorized goods. After getting the EPC membership certificate, the exporters can utilize the various services, including market research, getting approval for international trade, and many more.

The List of Export Promotion Councils (EPCs)

In the current time, there are fourteen Export Councils, which are listed below with website names:

The List of Commodity Boards 

There are five commodity boards, which are listed with the Department of Commerce. These follow as:

The Federation of Indian Export Organizations (FIEO)

The EPCs and Commodity Boards only manage a specific category of products. But what if an exporter manages multiple goods for foreign trade? Let’s understand it by taking an example. If you are dealing with both textiles and handicrafts. In this context, the exporter needs to secure a separate RCMC certificate. That’s where the Federation of India Organization (FIEO) serves a crucial role. FIEO can be mentioned as the apex body of all Export Promotion Councils and Commodity Boards in India. On the other hand, the Federation of Indian Export Organizations’ headquarters is located in Delhi.

FIEO issues the RCMC certificate to those businesses that deal with multiple products for foreign trade. Through it, the journey of RCMC becomes more seamless. With it, the exporters can focus on their business growth, rather than solving registration complexity. 

Wrapping Up | Export Promotion Council Certificate 

For the export houses, the journey from DGFT to the Export Promotion Council might seem daunting at first. But, when you analyze it, it is well-structured and has been designed to help exporters, saving time and energy. By navigating this journey, the exporters can represent their products on the global stage. Start the RCMC registration process by identifying the product’s relevant EPC or commodity board. Streamline your journey by getting the RCMC registration consultant. At LegalRaasta, we solve your doubts and challenges

User Query: RCMC Application Form ANF-2C for Export Promotion

Still have questions? Browse our FAQs or contact support.

1. What is RCMC in DGFT?

Ans. DGFT (Directorate General of Foreign Trade) is the department introduced by the Indian government that grants RCMC certificate approval to exporters and importers.

2. What is the role of DGFT for export promotion?

Ans. DGFT is responsible for boosting the export 

3. What is the RCMC registration time period?

Ans. The validity timeline for the RCMC  ( Registration-Cum-Membership Certificate) is for five years. The license renewal is crucial for the continued export benefits.

4. How long does it take to get the RCMC approval?

Ans. Typically, the registration processing for RCMC approval takes between 7 and 10 working days. 

5. Can I export without RCMC?

Ans. Obtaining the RCMC license is optional, but if an exporter wants to avail the government-introduced schemes and benefits, then they need to apply for an export registration certificate.