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Handloom Export Promotion Council

Handloom Export Promotion Council

Handloom Export Promotion Council

To promote the export of Indian handloom products like fabrics, home furnishings, carpets, and floor coverings, the Ministry of Textiles, Government of India, established the Handloom Export Promotion Council (HEPC). The primary objective of the HEPC is to provide all support and guidance to Indian handloom fabric exporters and international buyers for international marketing and trade promotion. The Council, headquartered in Chennai, works towards boosting the growth of the Indian handloom sectors and its products by conducting international trade fairs, exhibitions, and other trade promotional activities. In this article, we will look in detail at the Handloom Export Promotion Council (HEPC).

Objective of HEPC

The HEPC aims to support, maintain, protect, increase, and promote the export of Indian Handloom fabrics.

  • To keep in constant communication with the organization worldwide to take the necessary measure for increasing the export of handloom products.
  • To advise Government, local authorities, and public agencies on the policies adopted concerning the effect on the handloom industry or commerce and other measures, including direct and indirect taxation.
  • To enunciate equitable principles, set up a code of practices to govern the export of Indian Handloom fabrics and further simplify transactions relating to export.

Export Promotion Activities of the Council

Export Promotion Activities of the Handloom Export Promotion Council are as follows:

  • The export promotion council is undertaking a market study in individual foreign countries to promote the export of Indian handloom products.
  • The Council is also sending out trade missions to foreign countries
  • HEPC is conducting propaganda in foreign countries about the advantages of trade and commerce with India in Handloom fabrics
  • The Handloom Export Promotion Council propagates export information to manufacturers and traders in Indian handloom fabrics through discussions, books, lectures, correspondence, etc.
  • The Council provides government, public bodies, and local authorities input on policies-related matters.
  • The HEPC appointed deputing officers to monitor the survey of Indian handloom fabrics exported.
  • If any complaints are received from foreign buyers or Indian exporters, the Council will inquire and investigate the allegation and act as arbitrator.
  • The Council facilitates upgrading, popularizing, and adopting technology, quality, design improvement, standards and specifications, product development, diversification, and innovations of Indian handloom products.
  • The Council provides guidance, consultancy, and support to handloom exporters.
  • The HEPC organizes trade fairs, exhibitions, and buyer-seller meets in India and abroad.

Products Covered

The HEPC mainly covers the exports of handloom products such as fabrics, bed linen, toilet and kitchen linen, table linen,  towels, curtains, cushions curtains, handloom pads, tapestries, upholstery, carpets, and floor coverings.

HEPC Membership Benefits

The following are the advantages of enrolling with the Handloom Export Promotion Council:

Marketing Support under the MAI scheme and NHDP scheme

  • The HEPC member can participate in international fairs, reverse Buyer Seller Meet in India, and Trade delegations.
  • The Council will subsidize fair participation and travel grant under various schemes of the Ministry of Textiles & Ministry of Commerce and Industry.
  • The Council is conducting exclusive International events for India Handloom Brand (IHB) holders.
  • The Council is linking Manufacturers and Exporters

Duty-free import entitlement of specified trimmings and embellishments:

Duty-free import of specified trimmings, and decorations at 5% of FOB (Free On Board) value of Handloom made-up, handloom garments, exported and realized during the preceding fiscal year.

Merchandise Exports from India Scheme (MEIS)

Exports of handloom fabrics bearing notified ITC HS codes are eligible for 7% of duty credit scrip. The handloom products export through couriers or foreign post offices using the e-commerce platform qualify for a benefit under MEIS.

Interest Equivalization scheme at 3% on pre and post-shipment rupee credit for five years or Handloom Manufactures

Supports available from Micro, Small, and Medium Enterprises (MSME)

The registered exporter can avail of business loans up to 1 crore within 59 minutes through an online portal. The Council offers an interest subvention of 2% for all GST-registered MSMEs on new or incremental loans.

Trade Policy Support

  • The Council is organizing an awareness seminar and also issuing the import certificate.
  • The HEPC represents the trade issues with the Ministry or Embassies

HEPC Membership Registration

To be eligible for the export benefits, exporters must register themselves with this Handloom Export Promotion Council under the Foreign Trade Policy (FTP)

Membership Categories

The eligibility criteria for becoming a Registered Textile Exporter (RTE) and obtaining the Registration cum Membership Certificate (RCMC) are as follows:

  • Merchant Exporter
  • Manufacturer Exporter

Documents Required

The applications duly need to forward the HEPC along with the following documents:

  • Multicity CTS Cheque or Demand Draft
  • Self-attested photocopy copy of the Import-Export Certificate (IEC) of the Director-General of Foreign Trade
  • Self-attested photocopy copy of PAN card. Pan card of the proprietor, in the case of proprietorship, and for others, pan in the name of the firm
  • In the case of a Partnership firm, a photocopy of the entire Partnership Deed
  • Self-attested copy of Article of Association or Bye-laws
  • In the case of a Joint Stock Firm or a Society of any other Corporate Body, a resolution on the letterhead of the company/ Society by the Board of Management of the Corporate Body
  • In the case of the Manufacturer’s Exporter, a Self-attested photocopy copy of the certificate indicates that a Manufacturer of handloom products and made-ups either from the State in charge of Handloom or from the SSI authority.
  • In case of the manufacturer exporter certificate from Udyog Aadhaar indicating as handloom Products or get an affidavit in Rs.10/- stamp paper duly attested by a Notary Public.

The format of the affidavit is as follows:

AffidavitRCMC

Fee Structure

The applicant needs to make payment of the membership fee before applying for online registration and keep the payment reference ready.

Sl.No Details

Fee Structure

1 Admission Fee Rs.2,000
2 Annual Subscription Rs.6,000
3 GST @ 18% GST @ 18%
4 Total Total

Multicity of CTS Cheque or Demands in favour of “THE HANDLOOM EXPORT PROMOTION COUNCIL” payable at Chennai or New Delhi

The applicant can also make payment through NEFT, for which bank details are as follows:

Sl.No Details Bank Details
1 Beneficiary Name Handloom Export Promotion Council Handloom Export Promotion Council
2 Bank Name State Bank Of India State Bank Of India
3 Branch Thousand Lights East Patel Nagar, New Delhi
4 Account Number 10640562332 10964466460
5 IFS Code SBIN0020243 SBIN0001282

Note: In case of payment through RTGS, kindly mention the Company Name / RCMC Number in the payment details section in the application form for tracking the details.

Application Procedure

To become the registered textile exporter (RTE) and to procure RCMC of HEPC, the applicant needs to follow the procedure explained below:

The applicant must submit the application online duly filled in and signed along with the abovementioned documents. The applicant format is as follows:

Membership application form-converted

Kindly access the official website of the Handloom Export Promotion Council to submit the application form online. Select the new registration option from the membership page to display the application form.

Please furnish the details per the Importer Exporter Code (IEC) certificate. If you require any changes in the Registration-Cum-Membership Certificate (RCMC), please amend the same in the IEC certificate through DGFT. After uploading the supporting documents, click the submit button to forward the application to the Handloom Export Promotion Council.

Get an RTE certificate and RCMC

After scrutinizing the details, the Council will take immediate action to issue the Registered Textile Exporter (RTE) Certificate and Registration cum Membership Certificate (RCMC) within two weeks.

DGFT Registration cum Membership Certificate (RCMC)

Earlier, an exporter desiring to obtain an RCMC had to file an application in Form ANF 2C with the Tea Board and declare his mainstream business in the application. The procedure was outlined above for reference.

The Director-General of Foreign Trade (DGFT) has issued a Trade Notice No.35/2021-2022 for Mandatory Electronic filing of Registration Cum Membership Certificate (RCMC) or Registration Certificate (RC) through DGFT Common Digital Platform with effect from 01.04.2022.

With this Trade Notice, DGFT informed that a new Common Digital Platform (DGFT e-RCMC module) for Issuance of RCMC had been developed, which would be single-point access for all exporters & importers. This Common Digital Platform is designed to provide an electronic, contactless single window for the RCMC/RC-related processes, including Applications for Fresh/ Amendment/ Renewal of RCMC/ RC.

The Common Digital Platform for Electronic filing of RCMC shall be available at https://dgft.gov.in.

Click here to learn more about the DGFT Registration cum Membership Certificate (RCMC) – Online Procedure.