India is home to thousands of export businesses that sell a range of products internationally every day. With the export industry growing by leaps and bounds, the government has continued to introduce policies that govern and assist entrepreneurs. This is where export promotion councils come into picture.
What are Export Promotion Councils?
Export promotion councils are facilitating organizations aimed at promoting Indian exports by providing technical support and industry insights. For different product categories, various export councils of India have been established. Currently, there are 26 export councils that promote specific products1. For instance, the Gem & Jewellery Export Promotion Council (GJEPC), as the name suggests, promotes gems and jewellery exports. Similarly, Council for Leather Exports (CLE) promotes leather exports.
Although each export promotion council has a set of founding principles, there are a few common benefits that sellers can get by registering with these bodies.
What are the benefits offered by Export Promotion Councils?
» Export promotion councils help exporters become aware of any new government schemes that have been introduced to boost exports.
» The councils collect export and import data, which helps members understand and analyze industry trends.
» For members looking for advice, export promotion councils provide support on different aspects such as quality, technology and international standards of products.
» Timely market intelligence reports from export promotion councils help exporters make better business decisions.
» Export promotion councils also organize events such as trade fairs and exhibitions that help exporters meet prospective buyers across the world.
» Export promotion councils serve as a bridge for communication between the government and exporters and also helps resolve concerns.
» Certain export promotion councils also provide visa recommendation letters and branding benefits to their members as well.
How to register with an Export
Step 1: Choose an Export Promotion Council
Out of the 26 export councils of India, each agency promotes a specific set of products. Depending on the products you export, you can choose an appropriate export promotional council.
Step 2: Submit required documents
While applying to an export promotion council, there is a list of documents that you have to submit.
● A digital signature certificate
● A copy of your Importer-Exporter Code (IEC)
The IEC is a unique 10-digit number that is required to do import-export business in India.
● A certificate from your chartered accountant, verifying your export turnover.
The turnover refers to the Free on Board or Freight on Board (FOB) value in Indian rupees.
● A full list of partners/directors in your export business, along with their residential addresses.
● A cancelled cheque.
● Your MSME registration certificate, if any.
Additionally, different export promotional councils may have their own requirements. For example, a few of them may require documentary evidence (e.g., a certificate from the excise department) of production figures.
Step 3: Submit an Application
You have to submit an application to register with your relevant export promotion council. If you are exporting multiple products falling under different export promotion councils, you have to send different applications to each of them.
Step 4: Pay fees
In addition to the documents, you need to pay a fee, which varies with each export promotion council. You can know more about the fees by logging on to the website of the export promotion council. Most export councils of Indiaama charge a nominal membership fee, which also depends on the exports' turnover in the particular financial year.
Step 5: Collect the RCMC
Once admitted into an export promotion council, members receive a Registration Cum Membership Certificate (RCMC). The RCMC makes members eligible for all the benefits offered by the respective export promotion council.
How to start an export business from India?
Once you register, you are well-placed to start your export business. As a first step, you should decide your target markets. Get the necessary documentation such as PAN and Importer-Exporter Code (IEC). Next, you should find international marketplaces for listing your products online. One of the easiest ways to start exporting is by joining Amazon Global Selling
Amazon Global Selling enables sellers to start an export business online. Exporters can get access to customers from over 200+ countries and territories by listing their products online.
As of 2021, more than 70,000 sellers are successfully exporting with Amazon Global Selling. In addition to providing sellers with access to millions of users on Amazon international marketplaces, the ecommerce exports program also provides fulfilment services for shipping your products internationally.
You can choose to register as a seller in different markets across the globe. The Amazon eligibility criteria does not require any export promotion council membership. However, if you are a member of one, you can add this detail while describing your seller information on the website.
Here are a few benefits of exporting with Amazon Global Selling:
Grow your business globally
Why limit to India when you can acquire new international customers? Amazon Global Selling takes your business to millions of customers across the world.
Diversify your sales all year round
Not just Diwali, make the most of international peak selling seasons & sale events like Prime Day, Christmas, Black Friday, and Ramadan, among others. Choose from 30+ categories to sell globally.
Use Amazon's tools for easy expansion
You can focus on your business while Amazon helps you with international logistics like Fulfillment by Amazon (FBA) and customer service, among others.
Published on April 25, 2021.