Status House Certificate

Foreign Trade Policy

Experienced Status Holders excel and mentor new entrepreneurs in India’s foreign trade.

Any IEC-numbered exporter can become a status holder based on their export performance. To attain status, demonstrate strong exports over three years (except Gems & Jewellery, which is two years). This relies on the FOB export value in freely convertible currencies, following FT Policy 3.21.

For deemed exports, use CBEC’s April 1st exchange rate for conversion.

For granting status, export performance is necessary in at least two out of four years.

Status Category

Exporters with IEC can be recognized as status holders based on performance when they apply. Meet export performance criteria in the current year and previous three, per FT Policy 1.26.

Status Category

Export Performance FOB / FOR (as converted)
Value (in US $ million)

One Star Export House  3
Two Star Export House  15
Three Star Export House  50
Four Star Export House  200
Five Star Export House  800

Status requires export performance in all three (two for Gems & Jewelry) preceding financial years.

I) Status Holder Category – Export Performance – No of Trainees per Year Criteria

Sl No

Status   Category

Export Performance FOB / FOR (as converted) Value (in the US $ Million)

Skilling & Mentorship Obligation (Number of Trainees per year)

 1

One Star Export House

  3

 2

Two Star Export House

  15

5

 3

Three Star Export House

  50

10

 4

Four Star Export House

  200

20

 5

Five Star Export House

  800

50

II) Skilling & Mentorship Program Details – Post Issuance Obligation

1Purpose  To enhance skills of Trade ecosystem by providing   Training and Mentoring in International Trade.
2Training Period  6 Weeks every year  at the choice of Status Holder
3Training Curriculum  At the choice of Status Holder
4No of Trainees  As per Status Category mentioned in the table    above or Refer 3rd Column in the table above.
5Annual Status Report  Need to maintain Registers / Records regarding   No. of Trainees attended, Topics Covered, Training   Period alongwith Dates, Trainee Signature,   Location

Grant of Double Weightage

  1. IEC holders who export under specific categories will receive double credit when calculating their export performance for status grant.
    1. Micro, Small & Medium Enterprises (MSME) as defined in Micro, Small & Medium Enterprises Development (MSMED) Act 2006.
    2. Manufacturing units having ISO/BIS.
    3. Units located in North Eastern States including Sikkim and Jammu & Kashmir.
    4. Units located in Agri Export Zones.
  2. Double Weightage shall be available for grant of One Star Export House Status category only. Such benefit of double weightage shall not be admissible for grant of status recognition of other categories namely Two Star Export House, Three Star Export House, Four Star export House and Five Star Export House.
  3. A shipment can get double weightage only once in any one of above categories.

Other conditions for grant of status

  1. You can’t transfer one IEC holder’s export performance to another. So, you can’t calculate export performance based on disclaimers.
  2. We won’t count exports made through re-exporting for recognition.
  3. When calculating export performance, exports of authorized items, including SCOMET items, will be taken into account.

Privileges of Status Holders

Status Holders enjoy a range of benefits:

  1. Self-Declaration: They can secure authorization and customs clearances for imports and exports through self-declarations, without the need for a Bank Guarantee under FTP schemes unless specified otherwise.

  2. Norms Committee: The Norms Committee takes precedence, establishing input-output norms within 60 days, with DGFT introducing periodic specialized schemes.

  3. Document Handling: While banks aren’t mandatory for document negotiation, banking channels are essential for remittance and receipts.

  4. Export Houses: Export houses with a two-star rating or higher can set up export warehouses, and those with a three-star rating or more can benefit from the Accredited Clients Programme (ACP) according to CBEC guidelines.

  5. Special Treatment: Status Holders receive priority treatment for their shipments by relevant agencies.

  6. Manufacturers’ Certification: Manufacturers with a Three Star, Four Star, or Five Star status can self-certify their products as ‘Made in India,’ entitling them to preferential treatment under trade agreements.

  7. Export Promotion: Status Holders can export freely exportable items with an annual promotion limit based on export realization. However, free supplies to international agencies don’t qualify for Duty Drawback or export incentives.

Hand Book of Procedures

Status Holders are business leaders who have excelled in international trade and have successfully contributed to country’s foreign trade. Status Holders are expected to not only contribute towards India’s exports but also provide guidance and handholding to new entrepreneurs.

All exporters of goods, services and technology having an import- export code (IEC) number shall be eligible for recognition as a status holder. Status recognition will depend on export performance. An applicant shall be categorized as status holder on achieving export performance during the current and previous three financial years (for Gems& Jewellery Sector the performance during the current and previous two financial years shall be considered for recognition as status holder) as indicated in paragraph 3.21 of Foreign Trade Policy. The export performance will be counted on the basis of FOB of export earning in freely convertible foreign currencies

For deemed export, FOR value of exports in Indian Rupees shall be converted in US$ at the exchange rate notified by CBEC, as applicable on 1st April of each Financial Year.

For granting status, export performance is necessary in at least two out of four years.

Status Category

All exporters of goods, services and technology having an import-export code (IEC) number, on the date of application, shall be eligible for recognition as a status holder based on export performance. An applicant may be categorized as status holder on achieving the threshold export performance in the current and preceding three financial years as indicated in para 1.26 of Foreign Trade Policy.


Sl No Status Category Export Performance FOB / FOR (as converted) Value (in US $ million)
1 One Star Export House 3
2 Two Star Export House 15
3 Three Star Export House 50
4 Four Star Export House 200
5 Five Star Export House

800


For granting status, an export performance would be necessary in all the three preceding financial years (and in all the two preceding financial years for Gems & Jewelry Sector).


 I) Status Holder Category – Export Performance – No of Trainees per Year Criteria

 

Sl No

Status Category

Export Performance FOB / FOR (US $ Million)

Skilling & Mentorship Obligation (Number of Trainees per year)

1

One Star Export House

3

2

Two Star Export House

15

5

3

Three Star Export House

50

10

4

Four Star Export House

200

20

5

Five Star Export House

800

50


II) Skilling & Mentorship Program Details – Post Issuance Obligation


1 Purpose To enhance skills of Trade ecosystem by providing Training and Mentoring in International Trade.
2 Training Period 6 Weeks every year at the choice of Status Holder
3 Training Curriculum At the choice of Status Holder
4 No of Trainees As per Status Category mentioned in the table above or Refer 3rd Column in the table above.
5 Annual Status Report

Need to maintain Registers / Records regarding No. of Trainees attended, Topics Covered, Training Period alongwith Dates, Trainee Signature, Location


Grant of Double Weightage


  1. The exports by IEC holders under the following categories shall be granted double weightage for calculation of export performance for grant of status.
    1. Micro, Small & Medium Enterprises (MSME) as defined in Micro, Small & Medium Enterprises Development (MSMED) Act 2006.
    2. Manufacturing units having ISO/BIS.
    3. Units located in North Eastern States including Sikkim and Jammu & Kashmir.
    4. Units located in Agri Export Zones.
  2. Double Weightage shall be available for grant of One Star Export House Status category only. Such benefit of double weightage shall not be admissible for grant of status recognition of other categories namely Two Star Export House, Three Star Export House, Four Star export House and Five Star Export House.
  3. A shipment can get double weightage only once in any one of above categories.
 

Other conditions for grant of status


  1. Export performance of one IEC holder shall not be permitted to be transferred to another IEC holder. Hence, calculation of exports performance based on disclaimer shall not be allowed.
  2. Exports made on re-export basis shall not be counted for recognition.
  3. Export of items under Authorisation, including SCOMET items, would be included for calculation of export performance.
 

Privileges of Status Holders


A Status Holder shall be eligible for privileges as under:

  1. Self-declaration for Authorisation and Customs clearances.Priority fixing of Input-Output norms within 60 days.
  2. Exemption from Bank Guarantee for FTP schemes.
  3. Optional document negotiation through banks.
  4. Permission for Export Warehouses by Two-star and above Export Houses.
  5. Accredited Clients Programme eligibility for Three-star and above Export Houses.
  6. Preferential treatment and priority handling of consignments.
  7. Self-certification of origin for preferential trade agreements.
  8. Free export of certain items for promotion, subject to annual limits. 
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