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For a small business testing its first overseas order, even one additional registration can feel like a lot of work for a relatively small shipment. The Government has now addressed that issue by easing the Registration-cum-Membership Certificate, or RCMC, requirement for low-value export consignments.
As per the Press Information Bureau release dated 16 September 2026, the Directorate General of Foreign Trade has made changes in Para 2.57 of the Foreign Trade Policy, 2023. As per the amendment, RCMC or a certificate of registration will not be needed for export shipments having a value of FOB up to 3 lakh rupees where such registration is needed.
That does not mean RCMC has disappeared from the export framework. If the value of the consignment goes above 3 lakh rupees, the existing requirement continues wherever it applies. For MSMEs, artisans, first-time exporters and smaller businesses, the real benefit is that they can begin with smaller export orders without completing this particular registration step upfront.
| Particular | Details |
| Issuing Ministry | Ministry of Commerce & Industry |
| Relevant authority | Directorate General of Foreign Trade (DGFT) |
| Policy involved | Foreign Trade Policy, 2023 |
| Relevant provision | Para 2.57 |
| Nature of change | Relaxation from RCMC/Certificate of Registration requirement for eligible small-value exports |
| Value limit | FOB value up to 3 lakh rupees per export consignment |
| Main beneficiaries mentioned | MSMEs, artisans, small businesses, first-time, occasional and emerging exporters |
| Consignments above 3 lakh rupees | Existing RCMC/registration requirement continues wherever applicable |
| Export channels highlighted | Postal, Courier, e-commerce and other emerging channels |
| PIB release date | 16 September 2026 |
| Exact effective date | Not separately stated in the PIB release |
| Main purpose | Reduce the initial compliance burden and make smaller exports easier |
The most important point in this table is the basis of the 3 lakh rupees limit. It is linked to the FOB value of the export consignment, not the turnover of the company or its total annual exports.
The new position is easier to understand if you look at the transaction first.
Where an exporter would normally have to obtain an RCMC or Certificate of Registration under the Foreign Trade Policy, that requirement will not apply to an eligible export consignment whose FOB value is up to 3 lakh rupees.
In practice, this implies:
So, this is not a blanket exemption for every exporter.
It is also not a permanent exemption given to a particular business merely because it is an MSME or a first-time exporter.
The focus is on the qualifying consignment.
RCMC stands for Registration-cum-Membership Certificate.
Exporters may need to obtain an RCMC or Certificate of Registration from the relevant Export Promotion Council, Commodity Board or other prescribed body, depending on the applicable Foreign Trade Policy requirement and the nature of the export.
Before the relaxation, a new or occasional exporter undertaking a small transaction could still have to spend time identifying the correct registering body, arranging the required papers and completing the registration process before proceeding with an export where RCMC was applicable. The PIB release specifically recognises this additional compliance step.
For a regular exporter dealing in larger consignments, such registration may form part of the normal business setup. But for somebody testing one small overseas order, the same requirement can become an entry barrier.
That is the gap the new exemption tries to address.
RCMC can remain useful as the business grows. Membership with an Export Promotion Council or other relevant body may also give exporters access to market-access programmes, export-promotion activities and institutional support offered by that body.
Foreign Trade Policy 2023
The Foreign Trade Policy, 2023 provides the broad policy framework under which several import and export requirements are administered in India. The present development relates specifically to Para 2.57. The PIB release says DGFT has amended this paragraph to provide the exemption for low-value export consignments.
The release explains the policy effect but does not reproduce the full wording of the operative DGFT amendment. For that reason, businesses dealing with a borderline or unusual situation should check the actual DGFT instrument rather than relying only on a summary.
Role of DGFT
The Directorate General of Foreign Trade functions under the Ministry of Commerce & Industry and handles important areas of India's foreign trade policy and administration.
Its role becomes relevant for matters such as:
For this update, DGFT is the authority identified as having amended Para 2.57.
Earlier Position
The Government release explains that exporters were generally required to obtain an RCMC or Certificate of Registration from the relevant Export Promotion Council or Commodity Board wherever such registration was applicable under the Foreign Trade Policy.
That meant even a small first-time export could involve a registration exercise before shipment.
The latest amendment removes that requirement for eligible consignments within the 3 lakh rupees FOB-value limit.
The easiest way to understand the amendment is to compare the earlier position with the revised one.
| Compliance Area | Earlier Position | Revised Position | What It Means for Business |
| Small-value export consignment | RCMC/Certificate of Registration could be required wherever applicable | Not required for qualifying consignments up to 3 lakh rupees FOB value | Smaller exporters get relief from one upfront registration |
| Value threshold | No 3 lakh rupees exemption described in the earlier position explained by PIB | 3 lakh rupees FOB value | Relief is linked to the particular consignment |
| Consignment above 3 lakh rupees | Existing RCMC rules applied wherever relevant | Same requirement continues | Larger shipments remain outside this exemption |
| First-time exporter | Could have to register before a small export | Can use exemption where applicable | Easier entry into exports |
The amendment therefore changes the starting point for smaller transactions without removing the wider RCMC framework.
The Government has specifically highlighted smaller and newer exporters as the main beneficiaries.
These include:
There is an important distinction here.
These are the groups the Government expects to benefit most from the policy. That does not automatically mean the legal exemption is available only to businesses falling into one of these labels.
Based on the release, the main qualifying condition is connected with the FOB value of the export consignment and whether RCMC or a Certificate of Registration would otherwise have applied.
Which Consignments Fall Within the Relief?
The announced relief applies to export consignments having an FOB value of up to 3 lakh rupees.
If that threshold is crossed, the small-value relaxation no longer applies to the transaction.
Does Every Exporter Need to Use This Exemption?
No.
Suppose RCMC was not required for a particular export in the first place. In that situation, the 3 lakh rupees relief does not create a separate exemption or application process.
The relaxation matters only where an RCMC or Certificate of Registration would otherwise be required.
FOB stands for Free on Board.
For this update, the key point is that the Government has linked the RCMC relaxation to the consignment's FOB value.
The 3 lakh rupees figure is not:
It applies to the value of the export consignment covered by the exemption.
The PIB release does not explain how split consignments, multiple related shipments or other aggregation questions will be treated. Businesses facing such cases should check the exact DGFT amendment instead of assuming that each shipment can automatically be treated separately.
The relaxation has a clear boundary.
When the Consignment Exceeds 3 Lakh rupees
For export consignments above 3 lakh rupees, the existing requirement for a valid RCMC or Certificate of Registration continues wherever applicable.
That means a business using the exemption for small orders cannot automatically continue without an RCMC once it starts taking larger orders.
When the Business Starts Scaling
A first-time exporter may begin with an order of 1 lakh rupees or 2 lakh rupees and later move to higher-value transactions.
As soon as consignments move outside the exemption, the business needs to re-check its RCMC position.
At that point, the exporter may need to identify:
When Membership Is Needed for Other Purposes
RCMC may also remain relevant where the exporter wishes to participate in programmes or support initiatives offered by an Export Promotion Council or other prescribed body.
The Government release itself notes that exporters may obtain membership as their operations expand and use export-promotion, market-access and institutional-support services.
The distinction matters because the relief is limited, not permanent.
| Situation | Earlier Position | Current Position Under the Announced Relaxation |
| Qualifying consignment up to 3 lakh rupees | RCMC could apply wherever required | RCMC/Certificate of Registration not required under the exemption |
| Consignment above 3 lakh rupees | RCMC applicable wherever required | Existing requirement continues |
| New exporter testing the market | Registration could be needed before small exports | Lower initial compliance burden |
| Exporter scaling to bigger orders | RCMC requirement applied where relevant | RCMC becomes relevant once transaction falls outside exemption |
The Government's reasoning is closely linked to the experience of smaller exporters.
For a business making only one or two small shipments, the effort involved in getting an RCMC before exporting can be disproportionately high compared with the value of the transaction.
The release says the exemption is intended to reduce this initial burden and make it easier for smaller businesses to enter overseas markets.
The stated objectives include:
This is especially relevant for businesses that are still deciding whether exporting can become a regular sales channel.
The PIB release also gives useful data to explain why the Government has focused on low-value consignments.
For the period from 2021-22 to 2025-26, consignments valued up to USD 3,000 accounted for around:
This tells us something interesting.
A large number of export transactions fall into a relatively low-value segment, but those shipments make up only a very small share of India's total merchandise export value.
In other words, a compliance requirement can affect many transactions even where the financial value of those transactions is comparatively modest.
3 Lakh rupees and USD 3,000 Are Not the Same Threshold
These two figures should not be mixed.
3 lakh rupees is the FOB-value threshold announced for the RCMC exemption.
USD 3,000 is the category used by the Government while presenting historical export data.
The USD figure is there to show the scale of low-value export activity. It is not the legal value limit for the exemption.
Less Paperwork at the Beginning
For a business trying exports for the first time, the first transaction is often more about testing demand than building a full export operation.
If that business had to complete an RCMC registration just for one small consignment, the process could discourage it from proceeding.
The exemption removes that particular hurdle for qualifying shipments.
A Chance to Test Overseas Demand
A small manufacturer, artisan or online seller can use smaller export orders to understand:
The RCMC relaxation makes that initial test easier from a registration perspective.
Better Fit for Occasional Exporters
Some businesses do not plan regular exports.
They may receive one international enquiry or a one-off order.
For such exporters, completing a membership registration before a relatively small shipment may not make commercial sense. The new exemption is particularly relevant in this situation.
Easier Entry for MSMEs
MSMEs operate with smaller groups and reduced compliance capacity. Eliminating one stage of registration will make the process of exporting easier for them, especially when their order value is also relatively low.
The Government has specifically mentioned e-commerce, Postal and Courier channels in the release.
That matters because these channels are often used for smaller international orders.
Postal Exports
Artisans, small businesses and individual sellers may use Postal channels for comparatively small overseas shipments.
Where the export qualifies for the exemption, the exporter does not need to complete RCMC solely for that low-value consignment.
Courier Exports
Courier exports are also commonly used for smaller packages and time-sensitive international deliveries.
Businesses using this route can benefit where the shipment falls within the announced value limit and RCMC would otherwise have been required.
E-Commerce Exports
Cross-border e-commerce allows Indian sellers to reach customers without beginning with bulk orders.
A business can start with a few small transactions, see how customers respond and then decide whether to expand.
The RCMC relaxation fits this pattern because it reduces the initial compliance requirement for qualifying smaller orders.
This relief does not remove other requirements applicable to Postal, courier, or e-commerce exports.
Once the FOB value of the consignment exceeds 3 lakh rupees, the announced exemption is no longer available for that transaction.
The exporter should then check whether RCMC or a Certificate of Registration is required.
A developing exporter would want to consider this point prior to having larger orders become standard. Questions that may help in practice are:
The PIB release does not prescribe a specific advance period, such as 15 or 30 days, for obtaining an RCMC. Such a timeline should not be invented.
One point that can easily be misunderstood is the difference between getting an exemption and deciding whether membership itself is useful.
A business may not need RCMC for a qualifying small-value consignment, but that does not mean membership has no future value.
As exporters expand, membership of the relevant Export Promotion Council or Commodity Board may provide access to:
The exact services can differ from one council or board to another.
For a small exporter, the practical path may now look more gradual: start with eligible smaller transactions, learn the export process, and take up formal membership once export activity grows.
Does the 3 Lakh rupees Exemption Remove Other Export Rules?
No.
It removes only the RCMC or Certificate of Registration requirement covered by this relaxation.
An exporter may still have to look at several other issues depending on the product and transaction, including:
So, an export consignment below 3 lakh rupees does not mean the shipment is free from all other legal requirements.
| Stakeholder | Likely Effect | What They Should Watch |
| MSMEs | Easier entry into low-value exports | Consignment value and other product requirements |
| First-time exporters | One less upfront registration in eligible cases | Whether RCMC would otherwise apply |
| Artisans | Easier route for small overseas orders | Product and destination requirements |
| Small manufacturers | Can test overseas demand with smaller consignments | Threshold and future RCMC need |
| E-commerce sellers | Helpful for lower-value cross-border orders | Courier/Postal and Customs requirements |
| Regular exporters | Limited relief if most consignments exceed 3 lakh rupees | Existing RCMC obligations |
| EPCs/Commodity Boards | New exporters may join as they scale | Membership requirements |
1. Lower Initial Compliance Load
The business has one less registration to complete for an eligible small-value consignment.
2. Easier First Export
Businesses can test the export process without immediately taking on every compliance formality that applies to larger consignments.
3. Useful for Small Trial Orders
The trial order will be placed by the buyers before placing an order for purchase on a commercial basis. This exemption will make the process of such orders much easier under RCMC.
4. Better Support for Small Export Channels
Postal, courier, and e-commerce shipments are often relatively low in value, so the measure is particularly relevant to these routes.
5. Gradual Compliance as the Business Grows
Businesses can start small and move into the full RCMC framework once their exports grow beyond the threshold.
The relaxation makes one part of the process easier. It does not remove the need to plan properly.
Keeping Track of the 3 Lakh rupees Limit
Businesses relying on the exemption should know the FOB value of each relevant consignment. A growing exporter can cross the limit sooner than expected.
Knowing When to Register
If larger orders start coming in, the exporter should check the RCMC requirement before proceeding with a transaction for which registration is applicable.
Finding the Correct Council or Board
Different export sectors can fall under different Export Promotion Councils or Commodity Boards. Choosing the correct body can therefore be an important part of the registration process.
Checking Other Export Rules
A low consignment value does not remove product-specific or destination-specific requirements. The product still needs its own export compliance check.
For a small or first-time exporter, the practical benefit is clear: there is less paperwork before a qualifying low-value shipment.
That can make a difference where the overseas order is too small to justify going through a membership process at the very beginning.
The measure also suits businesses that enter international markets through e-commerce, Courier or Postal channels rather than large commercial consignments.
At the same time, the relaxation has a clear limit.
Once the business starts handling consignments above 3 lakh rupees, the existing RCMC requirement again becomes relevant wherever applicable.
For that reason, this reform is better understood as an easier entry point into exporting, not as the end of RCMC.
The change may make it more practical for smaller businesses to experiment with international demand. Some of the areas where this can help include:
The exemption lowers an entry barrier. Whether the export becomes commercially successful will still depend on the product, market, pricing, logistics and customer demand.
The Government has not prescribed a separate application process for claiming the relief in the PIB release.
Businesses can, however, carry out a few practical checks.
Check the FOB Value
First, confirm whether the particular consignment falls within the 3 lakh rupees limit.
Check Whether RCMC Would Otherwise Apply
If RCMC was not required in the first place, the exemption does not create any additional compliance advantage.
Review the Product's Export Status
Make sure the product is not subject to another licence, restriction or approval.
Identify the Relevant EPC for the Future
Even if registration is not needed today, knowing the appropriate Export Promotion Council can save time when the business starts receiving larger orders.
Keep Proper Records
Maintain clear commercial and export records supporting the nature and value of the consignment.
Watch Future Order Values
A business may begin with small orders and quickly move beyond the exemption.
These are practical business checks, not a new statutory procedure created by the PIB release.
Existing RCMC holders should not rush to cancel or ignore their registration. Their certificate may continue to be useful or necessary for:
Nothing in the release says that existing RCMC certificates should be surrendered or cancelled.
The better approach is to review whether the registration continues to serve the business's export activity.
Step 1: Check the Value of the Proposed Shipment
Look at the FOB value first.
If the export consignment is over 3 lakh rupees, the small-value exemption will not apply.
Step 2: Confirm the RCMC Position
Find out whether RCMC or a Certificate of Registration would normally apply to that export.
Step 3: Check the Formal DGFT Amendment
The PIB release explains the Government's decision. Businesses relying on the relief should also refer to the operative DGFT document for exact legal wording.
Step 4: Review Product-Specific Requirements
Check whether the product itself requires another licence, approval or restriction review.
Step 5: Plan Ahead for Larger Orders
If export values are increasing, do not wait until after the threshold is crossed to understand the RCMC process.
Step 6: Identify the Relevant EPC or Commodity Board
Knowing the correct body will make future registration easier.
Step 7: Maintain Consistent Export Records
Keep invoices and other relevant documents organised so that the transaction value and export activity can be properly supported.
The 3 lakh rupees exemption makes the starting point easier, but many exporters still face a basic question: Do I need RCMC for my export activity, and if yes, where should I register?
This is where professional RCMC registration services can be useful, especially for first-time exporters, MSMEs and businesses moving from small shipments to larger commercial orders.
1. RCMC Applicability Assessment
Not every exporter is in the same position. Corpseed can assist businesses in reviewing:
An applicability review can help prevent businesses from applying for a registration they do not need or, on the other hand, overlooking RCMC when larger shipments begin.
2. RCMC Registration Services
Where registration is applicable, Corpseed can support exporters with the RCMC process. The assistance may include:
These RCMC registration services are particularly relevant to exporters whose consignments have begun to exceed the 3 lakh rupees exemption limit.
3. Export Promotion Council Registration Support
A common difficulty for new exporters is identifying the right Export Promotion Council. Corpseed can assist in reviewing the export activity and determining which council or Commodity Board may be relevant. This can help exporters avoid approaching an unrelated registration body.
4. DGFT Registration Services
RCMC is only one part of the DGFT compliance framework. Through DGFT registration services, Corpseed can help businesses understand the requirements that apply to their specific import or export activities.
The scope should depend on the product, transaction and applicable policy, rather than treating every exporter the same way.
5. DGFT Compliance Consulting
Businesses expanding their export operations often need more than a one-time registration. A DGFT compliance consultant can help the business review:
6. Export Compliance Gap Assessment
A business may already be exporting but still be unsure whether it has covered all relevant requirements. Corpseed's export compliance services can include a gap review of the business's current export setup. Depending on the activity, this may involve reviewing:
7. Export Documentation Review
Documentation is another area where first-time exporters often need support. Corpseed can help review relevant compliance documents so that the business understands whether its records align with the regulatory requirements connected with the export.
8. Ongoing Export Compliance Support
A business that starts with a few consignments below 3 lakh rupees may later move into regular exports. At that stage, its compliance needs can change. Ongoing support can help the exporter review RCMC, DGFT and related regulatory requirements as shipment size and frequency increase.
Businesses preparing for larger export orders can use RCMC registration services, DGFT registration services and export compliance services to understand what applies before committing to the transaction.
The DGFT relaxation is more beneficial for companies operating in the beginning stages of exporting. In case a consignment qualifies on the basis of its FOB value being less than 3 lakh rupees, there is relief from having to file the RCMC or Certificate of Registration.
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