Registration certificate not mandatory for exporters seeking benefits

10-Oct-2024 01:57 PM

New Delhi. Directorate General of Foreign Trade (DGFT), a subordinate body of the Union Commerce Ministry, has clarified that registration-cum-membership certificate is not mandatory for exporters seeking benefits of schemes like duty drawback and savings from provincial level levies.

According to the foreign trade policy, exporters must have a registration-cum-membership certificate to avail the facilities and savings available under this policy.

Obtaining the certificate can also help exporters in getting benefits in relation to customs and excise duty. This certificate is issued by export promotion councils and commodity boards.

The Directorate General of Foreign Trade (DGFT) has said that schemes like Duty Drawback, Rebate of State and Central Taxes and Levies and Remission of Duties and Taxes on Export Products (RODTAP) fall under the category of remission based schemes and the objective of these schemes is to provide exemption from duty or tax or duty on export goods/products.

Registration cum Membership Certificate (RCMC) is not required for these schemes. DGFT has said in a trade notice that exporters can claim benefit under these schemes even without obtaining any RCMC. This is expected to provide great relief to exporters.

In a separate order, the Directorate General has clarified that import/re-import of exhibits and samples for demo, display, exhibition and participation in trade fairs or other events held in India and abroad will be regulated under the specific rules of the Foreign Trade Policy.

For this, it will be exempted from the requirement of registration or import authorization under the import monitoring mechanism.