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Carpet Export Promotion Council: Membership and benefits
Carpet Export Promotion Council is an export promotion council that works towards the promotion of carpet exports from India. Learn more about CEPC in the blog.
In this blog, understand the role and importance of the Carpet Export Promotion Council — a government organization that promotes Indian carpets — and learn how to export carpets, rugs and floor coverings from India.
Indian carpets and rugs are known worldwide for their intricate designs, expert craftsmanship, and unmatched quality. According to the Ministry of Commerce and Industry, 85-90% of the carpets manufactured in India are exported. In terms of volume and value, India is the world’s largest producer and exporter of handmade carpets, contributing about 40% to the total worldwide export of handmade carpets. 1
The Carpet Export Promotion Council (CEPC) was established to promote this industry and support medium and small carpet exporters. The CEPC promotes carpet exports from India and supports carpet exporters with information on the latest trends, trade policies, sustainable export practices, and export documents. In this blog post, we will discuss what the CEPC is, its role, benefits, membership criteria, registration process, and more.
Indian carpets and rugs are known worldwide for their intricate designs, expert craftsmanship, and unmatched quality. According to the Ministry of Commerce and Industry, 85-90% of the carpets manufactured in India are exported. In terms of volume and value, India is the world’s largest producer and exporter of handmade carpets, contributing about 40% to the total worldwide export of handmade carpets. 1
The Carpet Export Promotion Council (CEPC) was established to promote this industry and support medium and small carpet exporters. The CEPC promotes carpet exports from India and supports carpet exporters with information on the latest trends, trade policies, sustainable export practices, and export documents. In this blog post, we will discuss what the CEPC is, its role, benefits, membership criteria, registration process, and more.
What is the Carpet Export Promotion Council (CEPC)?
The Carpet Export Promotion Council (CEPC) is a not-for-profit organization established in 1982 by the Ministry of Textiles, Government of India. The CEPC is dedicated to promoting the Indian carpet industry on the global stage and assists exporters in marketing their products, accessing market information, and engaging in trade shows and fairs. It also helps exporters obtain a Registration-cum-Membership Certificate (RCMC), mandatory for exporting carpets from India. CEPC membership allows exporters to avail various promotional schemes, subsidies and facilities offered by the government.2
Role of the Carpet Export Promotion Council
Some key roles and functions of the CEPC are as follows:
Organizes fairs and exhibitions
CEPC organizes international trade fairs and exhibitions like the Indian Carpet Expo to help members showcase Indian carpets globally, build customer relationships, and explore new markets.
Communicates with the government
To maintain transparency between exporters and the government, CEPC facilitates timely interactions and acts as a bridge between the two. It ensures exporters’ concerns reach the government and offers guidance on policy issues and export-import regulations.
Educates exporters through seminars
CEPC educates members on new policies, tech trends, and market insights through seminars, reports, and market intelligence tools.
Provides visa recommendations
CEPC also helps registered members with visa recommendation letters to foreign embassies for international fairs, export promotion, and other related activities.
Offers training and upgradation
CEPC runs training programs to enhance members' skills, focusing on technical advancements, quality standards, and business improvement.3
Documents required to become a Carpet Export Promotion Council (CEPC) member
To apply for CEPC membership, exporters must submit an application and some supporting documents. Application forms are available for download on the CEPC website or at their offices in New Delhi, Bhadohi, and other locations. Some documents needed to complete the application are as follows:
● Completed membership application form.
● A proof of membership fee paid.
● Self-attested photocopy of partnership deed or Memorandum of Association in case of Limited companies.
● Self-attested copy of IEC.
● Self-attested copy of PAN card, GST registration number, and Aadhaar card.
● Proof of manufacturing facility (self-attested copy of DIC/ Udhyog Adhaar/ MSME certificate).
● Chartered accountant's certificate detailing item-wise export performance for the past 3 years.
● Affidavit on Rs.10/- non-judicial paper, notarized, confirming no blacklisting by any government agency, agreement to the Council’s Code of Conduct on child labor, and that no partners/directors are linked to firms with unpaid Child Welfare Fund contributions for 1995-1997.4
● A proof of membership fee paid.
● Self-attested photocopy of partnership deed or Memorandum of Association in case of Limited companies.
● Self-attested copy of IEC.
● Self-attested copy of PAN card, GST registration number, and Aadhaar card.
● Proof of manufacturing facility (self-attested copy of DIC/ Udhyog Adhaar/ MSME certificate).
● Chartered accountant's certificate detailing item-wise export performance for the past 3 years.
● Affidavit on Rs.10/- non-judicial paper, notarized, confirming no blacklisting by any government agency, agreement to the Council’s Code of Conduct on child labor, and that no partners/directors are linked to firms with unpaid Child Welfare Fund contributions for 1995-1997.4
Eligibility for Carpet Export Promotion Council (CEPC) membership
When the necessary paperwork is ready, you can register with CEPC and get an RCMC by following these steps:
How to register with the Carpet Export Promotion Council?
As an MSME or a seller, you can take your handmade carpets and home textile products across the world through ecommerce exports. Amazon Global Selling is an ecommerce exports program that enables exporters to sell internationally in 18+ international marketplaces without setting up a physical store or warehouse abroad. With Global Selling, you can export from your manufacturing unit or office and reach millions of international customer shopping on Amazon USA, UK, Australia, UAE, Singapore, Canada and more. To assist you in international shipping, Amazon provides fulfillment (Amazon FBA) and other logistic services.
Step 1: Apply for RCMC
To apply for an RCMC, visit the DGFT website and complete the application via the e-RCMC module. After submission, the application will be received by the CEPC through the DGFT portal.
Step 2: Send necessary documents to CEPC
The next step is to send hard copies of self-attested documents and the original affidavit to CEPC’s New Delhi address. This includes the IEC, PAN, GST certificate, Udyam certificate (for Manufacturers/Merchant-cum-Manufacturers), and the original affidavit.
For Partnership firms, provide the Partnership Deed; for LLPs, the Limited Liability Deed; and for Pvt Ltd companies, the M & AOA or List of Directors from the Ministry of Corporate Affairs.
For more details on application process for RCMC, click here. Once you receive an RCMC from the CEPC, you can export your products from India without any hindrances.
For Partnership firms, provide the Partnership Deed; for LLPs, the Limited Liability Deed; and for Pvt Ltd companies, the M & AOA or List of Directors from the Ministry of Corporate Affairs.
For more details on application process for RCMC, click here. Once you receive an RCMC from the CEPC, you can export your products from India without any hindrances.
Benefits of Carpet Export Promotion Council registration
Registering with the Carpet Export Promotion Council offers many benefits that can boost exporters’ global operations. Some of these are as follows:
Training:
The CEPC has training centers for weavers, artisans, and small exporters across India.
Design support:
CEPC offers design development training to enhance international competitiveness.
Exposure:
Exporters and artisans can showcase their products at national and international events.
Access to industry insights:
Exporters can leverage the CEPC’s export statistics and market intelligence reports to formulate business plans.
Market access:
The CEPC identifies and explores new export markets for handmade carpets.
Trade dispute support:
CEPC assists members with trade disputes through Indian Missions.
Visa recommendations:
The council also issues visa recommendation letters for business and promotional activities.7
Schemes that require CEPC membership
Membership with the Carpet Export Promotion Council can help exporters claim benefits under various government schemes. Some of these are as follows:
Zero Duty Export Promotion Capital Goods (EPCG) scheme:
Export Promotion Capital Goods (EPCG) scheme ensures that exporters can import capital goods at a lower tariff rate, which in turn makes the overall cost of production lower and hence more competitive. The scheme offers zero duty on capital goods with a 6x export obligation to be fulfilled within 6 years.
Merchandise Exports from India Scheme (MEIS):
The MEIS merges previous schemes (Focus Product, Focus Market, and Market Linked Focus Product) into one comprehensive scheme, providing up to 5% duty credit scrip for notified handmade carpets.
Market Access Initiative (MAI) scheme:
The MAI scheme offers grants to support market access, such as involvement in international trade fairs, market research, and trade missions.
Duty Drawback scheme
Under Duty Drawback scheme, exporters can claim a refund of the customs duties, excise duties, and service taxes paid on imported input materials used in manufacturing goods for export.
Interest Equalization Scheme
Provides 3% interest rate support on pre and post-shipment rupee export credit for manufacturer exporters, benefiting labor-intensive sectors like handmade carpets.8
Amazon Global Selling: Easy e-commerce exports and hassle-free shipping
If you are a business owner and you want to sell your products to the world, Amazon Global Selling enables you to list and sell ‘Made in India’ products on 18 Amazon global marketplaces. As an e-commerce export program, Amazon Global Selling provides support and guidance at every step of your export journey, connecting you to Amazon’s Service Provider Network for tailored compliance, payments, and logistics support.
Registered sellers can choose to ship their products by themselves through Merchant Fulfilled Network (MFN) or they can opt for Fulfillment by Amazon (FBA) and outsource order fulfillment to Amazon including packing, storage, delivery, and returns. Amazon Global Selling simplifies the process of international shipping to the world, helping businesses navigate customs and reach a vast audience.
Registered sellers can choose to ship their products by themselves through Merchant Fulfilled Network (MFN) or they can opt for Fulfillment by Amazon (FBA) and outsource order fulfillment to Amazon including packing, storage, delivery, and returns. Amazon Global Selling simplifies the process of international shipping to the world, helping businesses navigate customs and reach a vast audience.
More blogs on Export Promotion Councils
Frequently Asked Questions
How frequently do I need to renew my membership with CEPC?
Exporters have to renew their CEPC membership every year by paying the membership fee. The Registration-cum-Membership Certificate issued to the exporter by the CEPC is valid for five years, subject to annual renewal of CEPC membership.
How do you export a rug?
You can export carpets and rugs from India with Amazon Global Selling – an e-commerce exports program that helps you reach millions of customers in 200+ countries and territories. Without setting up a physical store or warehouse abroad, you can use Amazon’s simple listing and hassle-free international shipping tools to export easily.
What are the documents required to export rugs and carpets?
To export rugs and carpets from India, you must obtain a set of export documents like IEC, AD bank code, GST Letter of Undertaking and Importer of Record, along with other compliance requirements like labelling as per Government of India guidelines.
What is the fee for CEPC registration?
The fee structure of CEPC registration differs depending on the form, nature, and size of the business. In general, it may comprise a subscription fee and other charges. For more details, refer to the membership details on the CEPC website.
Published on March 21, 2022.
Sources:
1. https://www.ibef.org/exports/carpet-industry-in-india.aspx#:~:text=Export%20of%20carpets%20from%20India,it%20was%20US%24%20838.40%20million.&text=US,-Germany
2. http://cepc.co.in/industry-at-a-glance
3. http://cepc.co.in/services/key-function
4. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
5. http://cepc.co.in/services/key-function
6. http://cepc.co.in/rcmc-application
7. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
8. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
Sources:
1. https://www.ibef.org/exports/carpet-industry-in-india.aspx#:~:text=Export%20of%20carpets%20from%20India,it%20was%20US%24%20838.40%20million.&text=US,-Germany
2. http://cepc.co.in/industry-at-a-glance
3. http://cepc.co.in/services/key-function
4. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
5. http://cepc.co.in/services/key-function
6. http://cepc.co.in/rcmc-application
7. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
8. http://cepc.co.in/wp-content/uploads/2018/12/Benefits-of-Becoming-a-member-of-cepc.pdf
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