India relaxes export entry rules for small consignments of up to Rs 3 lakh

The Indian government has eased key export entry requirements for consignments valued at up to Rs 3 lakh, aiming to reduce compliance costs and support micro, small and medium-sized enterprises in entering international markets more easily.

India has eased a key entry requirement for small exporters, exempting consignments worth up to Rs 3 lakh from the need for a Registration-cum-Membership Certificate or Certificate of Registration, according to a statement from the Commerce Ministry. The change is designed to cut compliance costs for new and smaller sellers and to make it easier to ship goods through postal, courier, e-commerce and other newer channels.

The Directorate General of Foreign Trade has amended paragraph 2.57 of the Foreign Trade Policy, 2023, so that the certificate will not be required for export consignments with a free-on-board value of up to Rs 3 lakh, where it would otherwise apply. Exporters sending consignments above that threshold will still need the relevant registration, the ministry said.

The move is aimed particularly at micro, small and medium-sized enterprises, artisans, first-time exporters and occasional sellers that often face the most friction when entering overseas markets. The ministry said the exemption removes an extra administrative step, such as identifying the right export promotion council or commodity board and completing registration before shipping small consignments.

Government data cited in the announcement suggests the measure could affect a large number of transactions without materially changing export values. Over the past five years, consignments of up to $3,000 accounted for 43% of shipping bills but only 0.86% of India’s merchandise export value, indicating that the policy is meant to ease paperwork where the trade value is relatively small.