The Directorate General of Foreign Trade (DGFT) has recently announced the launch of an upgraded electronic Bank Realization Certificate (eBRC) system. This post covers the key features and workflow of the new system in detail.
Self-Certification of eBRCs
i) Earlier, banks had to certify exporters’ eBRCs after validating documents. Now exporters can self-certify eBRCs based on banks’ Inward Remittance Messages (IRMs).
ii) This aims to reduce time and costs for exporters compared to the previous bank certification process.
iii) Banks will send IRMs for trade account remittances electronically to DGFT pertaining to goods/services exports.
iv) Exporters can view IRM details by logging into DGFT website. Since IECs are linked to PAN, only the concerned exporter can see their IRMs.
i) Exporters have to match IRMs with relevant shipping bills, SOFTEX or invoice details to create eBRCs.
ii) One IRM can be split across multiple eBRCs or multiple IRMs can be grouped under one eBRC.
iii) eBRCs can be generated for goods exports, services exports and deemed exports.
iv) RBI purpose code and IRM data will be used to validate fields certified by exporters.
i) Banks can access all eBRCs created from the IRMs they have submitted to DGFT.
ii) They can flag any eBRC for further checks or request exporter inputs if needed.
Pilot Launch and Transition Period
i) Soft launch starts on 15th November 2023. Banks will set cut-off date for sending IRMs to DGFT based on readiness.
ii) For IRMs before cut-off date, banks will certify eBRCs as per old process. Both systems will work in parallel during transition.
iii) DGFT website will show banks’ IRM cut-off dates. All banks must shift to API integration by 31st Jan 2024.
i) User guides, FAQs on DGFT website to help exporters understand the new system.
ii) DGFT will conduct exporter outreach programs for demonstration and awareness.
Exporters can provide inputs on eBRC purpose code mapping and validation rules on DGFT website.
Exporters can contact DGFT Helpdesk via call, email or tickets for any eBRC issues.
The upgraded eBRC system aims to promote ease of doing business through a streamlined workflow and self-certification process for exporters.
DGFT Trade Notice 33/2023-24 dated 10/11/2023: Pilot Launch of the Upgraded eBRC system for self-certification by Exporters