Star Export House Certificate Eligibility Criteria

The Star Export House Certificate is one of the highest awards given by the Government of India to exporters to honour those individuals and companies that have delivered exceptional and sustained performances in boosting India’s foreign trade. Besides rewarding the success of exporters, this certification offers them many advantages, for instance, privileged opportunities to participate in governmental initiatives and programs, many prohibitions from duties, and credibility on the international level. These advantages also have a significant role in enhancing the competitiveness of the exporter and the growth process. In this blog, we will discuss the important criteria that they have to meet to get the Star Export House Certificate, which is mandatory for exporters who want to get the most out of this accreditation.

Table Of Content

What is Export House Certificate?

The Export House Certificate is one of the prestigious certificates issued by the directorate general of foreign trade of India to exporters for their valuable contribution in the foreign trade of the country. Normally known as a Status Holder Certificate, it is issued depending on the exporter’s record of stability within the worldwide trading system. Export houses are classified in terms of export turnover, categorized in order: one star, two stars, three stars, four stars, and five stars. This certificate includes many privileges that will enable importers to avail priority customs clearance, some special immunities related to bank guarantees, and some export schemes that are funded by the government. It improves the standing of the exporter, productivity, and competitiveness in the international market, making it a valuable tool of trade.

Benefits of Export House Certificate

The Export House Certificate offers numerous benefits to exporters, enhancing their global competitiveness and operational efficiency. Key benefits include:

  1. Customs Clearance Priority: The status holders get preferred clearance of export goods, thereby enabling proper and fast clearance of the consignment.
  2. Exemption from Bank Guarantees: They are immune to the provision of bank guarantee for some export commitments.
  3. Access to Export Promotion Schemes: Exporters come across numerous governmental opportunities like Advance Authorization and EPCG (Export Promotion Capital Goods).
  4. Self-Certification for Quality: Self-certification can be included for products, through which status holders can directly provide certification to quality products without third-party inspections.
  5. Recognition in Global Markets: The certificate increases trust and credibility of the exporter in the international markets.

Eligibility Criteria for Export House Certificate

To qualify for an Export House Certificate, exporters must meet certain criteria:

  • Valid Importer-Exporter Code (IEC): All the applicants should have a valid IEC number issued by the Directorate General of Foreign Trade (DGFT).
  • Export Performance: It is awarded according to export achievement made within prepared fiscal years. Both for the current financial year and the three preceding years, most sectors require exporters to satisfy certain performance benchmarks. However, for the Gems & Jewelry sector, performance from the current financial year and the two immediately preceding years is considered.

Application Process for Export House Certificate

The procedure for obtaining an Export House Certificate has become more efficient with the help of an online system introduced by the DGFT. Here’s how to apply:

1. Login to the DGFT Portal: Open the website of DGFT, and then enter your user ID and password to log in into the exporter login.

2. Start Application: Select "Start fresh application" to initiate the process.

3. Fill out Applicant Details: You are asked to input some of your data in the fields that are already filled in automatically depending on your IEC profile, thus minimizing the data input time.

4. Select Sector and Category: Select your sector of export and the category that you are visiting for.

5. Document Submission: Attach necessary documents, such as:

  • Self-certified IEC copy
  • Valid Registration-Cum-Membership Certificate (RCMC)
  • PAN Card
  • Chartered Accountant's certificate detailing export performance

6. Declaration and Submission: You need to agree to the terms and conditions of the application, e-sign the application using an Aadhar card ID or digital token, and send the application online.

Categories of Status Holders

The Export House Certificate is categorized based on export performance measured in terms of Free on Board (FOB) value. The categories are:

  • One Star Export House: Achieved by exporters with a minimum FOB value of ?24 crore.
  • Two Star Export House: Awarded to exporters with a minimum FOB value of ?200 crore.
  • Three Star Export House: Granted to exporters with a minimum FOB value of ?800 crore.
  • Four Star Export House: Assigned to exporters attaining a minimum FOB value of ?4,000 crore.
  • Five Star Export House: The highest recognition for exporters with a minimum FOB value of ?16,000 crore.

Conclusion

The Star Export House Certificate is an award conferred by the Government of India to exporters who have set major export landmarks and have a positive impact on the international trade of the country. Given by the Directorate General of Foreign Trade (DGFT), it offers many benefits, including fast track clearance for export containers, no requirement to furnish bank guarantees, and participation in governmental export promotion measures. It depends on their export turnover for particular fiscal years and should be possessor of an IEC number. Divided into one to five stars according to export turnover, this certificate improves the international reputation and business environment for exporters and helps them develop in foreign trade markets.

Why Professional Utilities?

At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.

All Corporate Services at Professional Utilities

One Stop Corporate Solution

All Corporate Services at Professional Utilities

PAN India
Services

All Corporate Services at Professional Utilities

Free Expert
Assistance

All Corporate Services at Professional Utilities

Google Verified
Business

All Corporate Services at Professional Utilities

Dedicated Support
Staff

All Corporate Services at Professional Utilities

Money-Back
Guarantee

Frequently Asked Questions

What is an Export House Certificate?

The Export House Certificate or Status Holder Certificate is an accreditation given by the Director General of Foreign Trade to the exporter for their commendable performance in foreign trade of Indian goods.

How do I apply for an Export House Certificate?

To apply, log in through an online application through a link on the DGFT portal and upload necessary documents; select the category; sign digitally; and agree to the conditions required to submit the application online.

Is there a fee to apply for the Export House Certificate?

No, there is no application fee required for the export house certificate. However, there can be preparation of documents, the attorney’s charges, stamp duties, and other working expenses.

How long is the Export House Certificate valid?

The certification for the Export House is for 5 years from the date of issue or till date when there is an amendment in the Foreign Trade policy.

Speak Directly to our Expert Today
Reliable
Expert Consultation
Affordable
Affordable
Assurity
Client Support

Have Queries? Talk to an Expert

Reliable

Businesses rely on us due to our Strong commitment to customer satisfaction.