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India’s DGFT proposes RCMC exemption for small export consignments

India’s DGFT proposes RCMC exemption for small export consignments



India’s DGFT proposes RCMC exemption for small export consignments

India’s Directorate General of Foreign Trade (DGFT) has proposed easing compliance requirements for low-value exports by exempting consignments with a free-on-board (FOB) value of up to ₹10,000 (~$104) from the requirement to obtain a Registration-cum-Membership Certificate (RCMC) or Certificate of Registration under the Foreign Trade Policy (FTP) 2023. The proposed amendment aims to promote small-value exports, particularly through postal, courier and other emerging export channels.For the textile and apparel sector, the proposed relaxation could benefit micro, small and medium enterprises (MSMEs), artisan groups, handicraft producers, home textile exporters and direct-to-consumer (D2C) brands that frequently ship low-value orders to overseas buyers through courier and postal channels. By removing the requirement to obtain an RCMC for consignments worth up to ₹10,000, the proposal is expected to reduce compliance costs and administrative formalities for first-time and small exporters. However, exporters seeking to claim benefits for higher-value shipments or dealing in restricted items would still be required to obtain an RCMC under the FTP.

India’s DGFT has proposed exempting export consignments with an FOB value of up to ₹10,000 from the requirement to obtain an RCMC under the Foreign Trade Policy 2023.
It aims to promote small-value exports through postal and courier channels by reducing compliance costs for MSMEs, artisans and D2C brands.
It will not apply to restricted goods, and stakeholders have been invited to submit comments.

In a trade notice issued on July 20, 2026, the DGFT invited comments and suggestions from exporters, industry associations, Export Promotion Councils (EPCs), DGFT Regional Authorities and other stakeholders on the proposed amendment to Paragraph 2.57 of the FTP 2023. Stakeholders have been asked to submit their inputs within 10 days.

An RCMC is a registration issued by an Export Promotion Council, Commodity Board or another designated authority that establishes an exporter as a registered member of the relevant export promotion body. Under the FTP 2023, exporters are generally required to obtain an RCMC or Certificate of Registration to avail themselves of authorisations, incentives, benefits, and concessions under the policy.

The DGFT has proposed inserting a new Paragraph 2.57(c) into the FTP 2023. Under the draft amendment, exporters would not be required to obtain an RCMC or Certificate of Registration while applying for an authorisation to import or export under the FTP, or for any other benefit or concession available under the policy, if the export consignment has an FOB value of ₹10,000 or less. However, the exemption will not apply to goods classified as ‘Restricted’ under the Indian Trade Classification (Harmonised System), or ITC (HS).

The proposed amendment has been formulated under the stakeholder consultation framework provided in Paragraph 1.07A of the FTP 2023, which mandates public consultation during the formulation and amendment of the policy.

According to the draft notification accompanying the trade notice, the de minimis exemption is intended to encourage small-value exports by reducing procedural requirements for exporters using postal, courier and other emerging logistics channels. If notified, the amendment will take effect immediately.

Fibre2Fashion News Desk (KUL)



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