Every country institutes a set of regulations and systems to ensure the smooth and efficient importation of goods into their respective territories. The European Union (EU) has introduced the Registered Exporter System (REX), a self-certification mechanism aimed at declaring the origin of goods imported into the region. If you are into export and import business, you must know about REX Certification.
What is a REX Certificate?
- A REX certificate, where REX stands for Registered Exporter System, is a self-certification mechanism established by the European Union (EU) and has been in effect since January 1, 2017.
- The REX system encourages the self-assessment of rules of origin, particularly under the Generalised System of Preferences (GSP), and replaces authorities’ traditional issuance of certificates of origin.
- Exporters operating under this system must furnish a REX certificate of origin, sometimes referred to as a ‘statement of origin.’ In essence, the REX (Registered Exporter System) certification serves as documentation for verifying the origin of goods when imported into the European Union.
What is a REX number?
- A Registered Exporter System (REX) number is a unique code assigned upon successful completion of the registration or REX certification procedure.
- As part of this process, each application is allocated a 20-digit REX number, commencing with “INREX.”
- This number includes the exporter’s IEC (Importer Exporter Code), an alphabetical code representing the local administrator, and a numeric code denoting the local user.
Document Required for REX Registration
- Importer Exporter Code (IEC)
- Digital Signature Certificate (DSC)
- GST Registration Certificate & GSTIN
- Bank Account Details: Details of the bank account used for the business, including the account number, name of the bank, and the branch.
- Manufacturing Evidence: If the applicant is a manufacturer, evidence of manufacturing capability (like a factory licence, industrial licence, etc.)
- Export Track Record: Details of past export transactions, if any.
- Declaration/Undertaking: A declaration or undertaking stating that all information provided is true and that the applicant agrees to comply with the rules and regulations of the REX system.
Why is REX Certification Important?
The REX Certification is mandatory for every exporter to export their goods into the European Union. Furthermore, REX Certification is important for every exporter to claim the preferential tariff benefits under the GSP schemes.
Benefits of REX Certification
- REX Certification simplifies the export process and saves both time and money. Because exporters can self-certify their goods rather than getting it done through a certificate of origin.
- The REX Certificate promotes preferential trade agreements with developing nations.
Moreover, If you want any other guidance relating to the REX Certification, Please feel free to talk to our business advisors at 8881-069-069.
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