An Overview of Rubber Manufacturing License

The Rubber Board is a statutory organisation established under Section (4) of the Rubber Act, 1947 and works under the administrative control of the Ministry of Commerce & Industry. The Rubber Board is regulated by a Chairman appointed by the Central Government & has 28 members representing various interests of the Natural Rubber Industry. The Board is accountable for the development of the Rubber Industry in the country by way of helping & encouraging research, extension, development, and training activities related to rubber. Also, the Rubber Board issues various licenses such as the Manufacturing License, Processing License, Dealer License, etc. Under the Rule 40 of the Rubber Rules, 1955, any manufacturer who wants a license to purchase or otherwise acquire rubber shall apply for the Rubber Manufacturing License in Form-D to the Rubber Board; if the Board approves, a license may be issued in Form-E.

What is RBeGP?

RBeGP stands for Rubber Board's e-Governance Program; Rubber Board introduced an aspiring program on e-Governance named RBeGP. The primary objective of Rubber Board's e-Governance Program is to digitally enable all service-delivery points, whether external/internal, for the benefit of the stakeholders, including its employees, by way of providing a better response to their requests, efficient, effective, and transparent style of functioning & by increasing employee productivity. This comprises various services to the stakeholders such as manufacturers, processors, traders, growers, and exporters of the Rubber Industry.

This program covers the following areas:

• Services for the business communities like manufacturers, dealers, importers, processors, and exporters;
• Setting up information & knowledge hub on rubber;
• ICT enabling of its subordinate offices & Rubber Producers Societies for empowerment;
• HRD related services like training & development, Labour Welfare Services, etc.;
• Services for small growers, large growers & Rubber Producer’s Societies;
• Automating & aligning the internal processes.

Important Instructions for the Manufacturers before obtaining Rubber Manufacturing License

Following are some important instructions for the applicant or manufacturers before obtaining Rubber Manufacturing License:

• The application for Rubber Manufacturing License in Form-D should be filled in & signed. If it's a Partnership firm, then the application should be signed by all the partners. As the License is issued to enable the Licensee to get a specific quantity of a particular group or grade of rubber, the requirement should be shown in the Form D application on a realistic basis.
• The application will be regarded only if the up-to-date returns prescribed under Rule 43 (3) of the Rubber Rules, 1955 are submitted & all dues are cleared. Non-production of books of accounts or non-fulfilling of any requirements of the Rubber Board also may delay the issue of a License. Therefore, it is urged that if any return or payment is due from the applicant or manufacturer, the same shall be cleared with interest (if any) and to comply with the requirements of the Board without any delay.
• Also, remember that purchasing or acquiring rubber without having a valid license issued by the Board is an offence punishable under the Act in which both the buyer & supplier would invite penal action. Mere submission of application form for License & payment of license fee to Rubber Board shall not be considered that the applicant is a valid license holder unless the Board has issued the Rubber Manufacturing License in favour of the applicant.
• The Rubber Manufacturing License will be issued only after satisfying all formalities prescribed by the Rubber Board. So, the applicant must ensure that the License is given before the expiry of the present License. Belated application filing or incomplete application is likely to delay the issue of a License, for which the Rubber Board will in no way be held responsible. So, to avoid such situations, the applicant must ensure that all statutory reports or returns & outstanding dues with interest (if any) are cleared.

Documents Required for Rubber Manufacturing License

Following are some vital documents required for Rubber Manufacturing License:

• The unit must be ready for commencement of production during the issuance of the License;
• Upload a copy of the following documents:

  1. Udyog Adhar Registration;

  2. GST Registration Certificate;

  3. PAN Card or License issued by the Municipal or Panchayat or Corporation authorities to set up the industry at the proposed premises;

  4. Sanction Letter for the power connection, if the power connection is yet to be received;

  5. In the case of a Partnership Firm, Partnership Deed is required & Certificate issued by the Registrar of Firms, if the Partnership is registered;

  6. Memorandum of Association (MoA) & Articles of Association (AoA) and Certificate of Incorporation issued by the ROC (Registrar of Companies), in the case of Pvt. Ltd. Companies/Limited Companies;

  7. Copy of the Bye-Laws, in the case of Co-operative Societies;

  8. Purchase bills concerning the machinery installed;

  9. Documents to prove the ownership right/possession of office & factory premises.

Licensing Procedure for Obtaining Rubber Manufacturing License

An individual or a person desirous of manufacturing any articles using rubber must obtain a Rubber Manufacturing License in Form-E from the Rubber Board. A Rubber Manufacturing License is issued for acquiring a specific quantity of rubber for 3 years & the License has to be renewed thereafter (currently, subsequent renewals are for 5 years). To obtain the License, the applicant needs to apply to the Board in Form D along with the details required to be provided and pay the prescribed license fee.

In case the manufacturer wants to continue their manufacturing business. They can apply for the renewal of the Rubber Manufacturing License. The application in the prescribed form & license fee has to be sent and should clear all statutory obligations of the Rubber Board, such as submission of returns or reports and remittance of dues (if any).

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