New Delhi: The Government has introduced a de minimis exemption from the requirement of Registration-cum-Membership Certificate (RCMC) or Certificate of Registration for small-value export consignments with a Free-on-Board (FOB) value of up to ₹3 lakh.
The measure is aimed at reducing the compliance burden for new and small exporters while facilitating exports through Postal, Courier 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 a Registration-cum-Membership Certificate (RCMC) or Certificate of Registration will not be required for export consignments having an FOB value of up to ₹3 lakh, wherever such certification is otherwise required under the Foreign Trade Policy.
However, export consignments exceeding ₹3 lakh will continue to require a valid Registration-cum-Membership Certificate (RCMC) or Certificate of Registration, wherever applicable.
Registration-cum-Membership Certificate Exemption for Small-Value Exports
Historical data for the last five years, covering 2021-22 to 2025-26, indicates that low-value exports account for a significant share of shipping bills but represent a very small proportion of the overall export value.
Consignments valued at up to USD 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 from the Registration-cum-Membership Certificate (RCMC) requirement 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 Registration-cum-Membership Certificate (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 requirement involves an additional compliance step. This includes identifying the appropriate registering body, submitting prescribed documents and completing the registration process before undertaking exports.
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Lower Compliance Burden for MSMEs and First-Time Exporters
The new 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 Registration-cum-Membership Certificate (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.
The Registration-cum-Membership Certificate (RCMC) exemption is particularly relevant for small manufacturers, artisans, entrepreneurs and emerging exporters looking to explore international markets through low-value consignments.
As exporters expand their operations and their consignments move beyond the ₹3 lakh threshold, they can obtain membership of the relevant Export Promotion Councils or Commodity Boards and access export promotion, market access and other institutional support services.
The measure lowers the entry barrier for new exporters by allowing first-time and occasional exporters to undertake eligible small-value exports without obtaining an Registration-cum-Membership Certificate (RCMC) upfront.
Support for E-Commerce and Emerging Export Channels
The exemption is also expected to facilitate e-commerce and other emerging export channels. It will support low-value exports through Postal, Courier and other emerging channels that are increasingly enabling businesses to reach international customers.
For MSMEs and small businesses, the removal of the upfront Registration-cum-Membership Certificate (RCMC) requirement for eligible consignments provides a simpler route to explore overseas demand and establish an export track record.
The measure will support the gradual integration of emerging exporters into global markets.
As exporters scale up and undertake higher-value consignments, they can obtain Registration-cum-Membership Certificate (RCMC) membership and access the wider range of export promotion and institutional support provided through Export Promotion Councils and other prescribed bodies.
RCMC Requirement Continues for Larger Consignments
At the same time, the existing framework for larger exports remains unchanged.
The exemption is limited to small-value consignments, while the requirement of Registration-cum-Membership Certificate (RCMC) or Certificate of Registration will continue for consignments exceeding ₹3 lakh, wherever otherwise applicable.
The measure will also help broaden the base of Export Promotion Councils and Commodity Boards by encouraging greater participation of MSMEs in exports.
By lowering the initial compliance barrier, more MSMEs will be able to enter international markets.
As their export operations scale beyond the ₹3 lakh threshold, they can obtain Registration-cum-Membership Certificate (RCMC) and become members of the relevant EPCs or Commodity Boards to access export promotion activities, market access initiatives and other institutional support.
The measure reinforces the Government’s commitment to reducing the compliance burden, broadening participation in exports and making international trade more accessible to MSMEs, first-time exporters and emerging businesses.
