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An Overview of CHEMEXCIL Registration

Basic Chemicals, Cosmetics & Dyes Export Promotion Council (also known as CHEMEXCIL) was first established in 1963 by the Indian Government to promote the exports of various items from India to various countries aboard. To understand the importance of cosmetics & chemicals in the Indian & International Markets, the Ministry of Commerce & Industry of the Government of India has established CHEMEXCIL. Currently, the membership strength that includes small & large scale manufacturers & merchant exporters is more than 4000. So, it is necessary to obtain CHEMEXCIL Registration to export the products from India. Such products are categorised in 4 different panels as per the discretion of the Council as follows:

  • Panel – I: Dyes & Dye Intermediates.
  • Panel - II: Basic Organic & Inorganic, Chemicals, including Agrochemicals.
  • Panel – III: Soaps, Toiletries, Cosmetics, and Essential Oils.
  • Panel – IV: Lubricants, Speciality, and Castor oil.

Roles of CHEMEXCIL

  • Helps its members in locating & identifying the source of their necessities. It also aids to effect a smooth trade deal between sellers & buyers to provide a total service package completely free;
  • To be an interface with the Government of India & the industry to formulate export-oriented policies & also to create a favourable environment to expand exports of the above products from India;
  • It's the Nodal Agency appointed by the Ministry of Commerce and Industry for compliance with REACH legislation of the EU (European Union);
  • Has been certified or authorised by the Ministry of Commerce & Industry to issue non-preferential Certificates of Origin to its member-exporters for export of their products to various nations on the condition that the said products are covered under its purview and are manufactured in India;
  • Participates in international exhibitions being held abroad & invites overseas delegations to India to promote exports & establish long-term strategic alliances;
  • Participates in the Grievance Committee Meetings organised by the DGFT from time to time and takes up issues of the member-exporters associated with Central Excise, Customs, Port Authorities, etc. and tries to resolve the same;
  • Participates in the Review Meetings and Task Force Meetings being organised by the Ministry of Commerce and Industry from time to time to chalk out strategies for the promotion of exports of the products coming under the ambit of the Council with presentations covering suggestions or views being received from its members;
  • Issues Recommendation Letters addressed to various overseas Embassies or Consulates in India for the issue of VISAs for the member-exporters for attending Exhibitions of Delegations as well as business or export promotion tours abroad.

What are the Membership Right and Privileges after Obtaining CHEMEXCIL Registration?

Following are some membership privileges and rights after obtaining CHEMEXCIL Registration:

  • Ordinary Members: Without harming any other rights conferred on ordinary members by MoA (Memorandum of Association) of the Council, but subject to the other provisions of these articles, such members shall have the following privileges & rights:
  • Right to requisition a meeting;
  • Right to receive the publication of the Council, on the prescribed conditions;
  • Right to use all the facilities as may be made available to the members by the Council frequently, on the prescribed conditions;
  • Right to stand as a candidate & to vote at the election of the members of the Committee;
  • Right to vote on all Matters arrears of subscription or other dues/charges Payable by them to the Council on 30th June in the year of voting.
  • Associate Members: Without harming any other rights conferred on associate members by MoA (Memorandum of Association) of the Council, but subject to the other provisions of these articles, such members shall have the following privileges & rights:
  • Right to receive the publication of the Council, on prescribed conditions;
  • Right to use all such facilities as may be made available from time to time by the Committee, on the prescribed conditions;
  • Right to receive the Annual Reports of the Committee on payment of the prescribed fee.
  • Nominated & Co-opted Members: Such members shall have no right to vote.

Benefits of CHEMEXCIL Registration

CHEMEXCIL Registration provides various benefits for being a member since they have several provisions to increase the export of chemicals & cosmetics. Some of these benefits are mentioned below:

  • Export Promotional Schemes: CHEMEXCIL Registration provides its members with export promotional opportunities with the help of schemes like MDA (Market Development Assistance) and MAI (Market Access Initiative). These schemes help the exporters to participate in export promotions in the global market.
  • Exhibitions: CHEMEXCIL organises several trade exhibitions both in India & abroad. The Council Members are always invited to such exhibitions. These exhibitions not only help the exporters to increase business but also provide a platform to network with other exporters. Networking is considered vital in any business since it gives an opportunity to the exporter to learn new things regarding the business.
  • Export Financing: The Council helps the members with export financing by tying up with several NBFCs and Banks. This is a big relief for small businesses when it comes to export. The Council supports them with getting business loans & other financial help. It is vital to note that the Council doesn't charge anything for these services. Export financial support is completely free for the members of CHEMEXCIL, which help the members who are facing financial problems in their business.
  • Act as an Intermediate: CHEMEXCIL is a Government Export Promotion body; hence, it acts as an intermediate source between the Government and the exports in the case of incentives & other subsidiaries. Being a CHEMEXCIL member can get a lot of benefits for its members as it represents & supports them.
  • VISA Recommendations: The council issues VISA Recommendation letters for the member exporters for their business trips abroad which make it easier for them to get VISA. This is a vital benefit of CHEMEXCIL Registration since, a lot of times, exporters miss out on great global business opportunities due to a delay in the VISA, which might result in the delay of a deal/missing out on the opportunity completely.
  • Publications: The Council has various publications which give the members the least statistical information regarding several developments which have happened currently in the market. This constant update of information aids the exporters in expanding their business accordingly. This also gives the exporters a chance or an opportunity to analyse their business and make modifications wherever required.

Eligibility for Membership for CHEMEXCIL Registration

  • Ordinary Members: To be eligible for this member of the Council, an individual must satisfy the following requirements, or the entity represented by him, must have, to his or its credit, during the 3 financial years immediately preceding, average exports regarding the products, of not less than the amount mention below:
  • Small Scale Industries: Rs. 10 lakhs.
  • Others: Rs. 25 lakhs.
  • Registered Members: Any organisation or individual can become a registered member of the Council after applying for the same & after paying the prescribed fees.
  • Associate Members: An individual shall be eligible for admission to the Council as an Associate Member on receiving the IEC Number from the DGFT (Director General of Foreign Trade), Government of India, regarding the products with which the Council is concerned.

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Documents Required for CHEMEXCIL Registration for Membership

Following are some vital Documents required for CHEMEXCIL Registration:

  • Membership application;
  • Copy of Import Export Code;
  • A Copy of PAN Card;
  • Copy of Certificates granted by authorities, such as SIA (Secretariat of Industrial Assistance) issued from the Ministry of Industry, the Government of India or others;
  • Copy of PAN Card.

In any case, the application should include the particulars given below:

  • Proof copies of the facts cited in the membership application;
  • Mention the membership type;
  • Mention if applying for an individual, company, firm, or other entity.

Issues RCMC Certificate to Members

CHEMEXCIL is the legitimate body designated to issue an RCMC Registration Certificate to the council members. If an individual or a person is a member of CHEMEXCIL, obtaining an RCMC issued for business will not be a boring procedure since the Council will already have their Documents in record & a basic processing procedure is already carried out at the time of the CHEMEXCIL Registration process for getting a membership.

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Frequently Asked Questions

By registering a firm as a member of CHEMEXCIL, which is established by the Ministry of Commerce & Industry, Government of India, they would get all the benefits or incentives being offered by the Government towards the export promotion of their products.

Yes, they support their members financially by helping in the business loan procedure & giving them exposure in the global market.

The fees for membership have to be paid only once, but the fees for membership renewal have to be paid annually.

Yes, RCMC is compulsory for all membership applications.

Currently, there are 14 Export Promotion Councils under the administrative control of the Department of Commerce.

ECP (Export Promotional Council) are authorities promoting, assisting, and supporting firms in entering the international markets & realising their optimum potential from given resources.

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