An Electronic Bank Realisation Certificate (e-BRC) is a vital digital certificate for export businesses. A bank issues the e-BRC to confirm that the buyer made payment to the exporter against the export of services or goods. e-BRC or BRC details are crucial economic indicators and financial information sources. Businesses availing export benefits under the Foreign Trade Policy (FTP) must produce a valid BRC. The BRC is the proof of the realisation of payment against exports
What is BRC certification?
A Bank Realisation Certificate (BRC) is a document issued by a bank to confirm that an exporter has received payment from an importer for goods they exported. Exporters need to inform the bank about the value of goods they plan to export, and the bank records these transactions using the Export Data Processing and Monitoring System (EDPMS). Once payments are received, exporters must submit shipping bills to the bank, which cancels the corresponding entries in the EDPMS and issues an electronic BRC (eBRC) against these payments. Having a BRC is crucial for exporters to access various government export incentives like subsidies, low-cost loans, and duty exemptions under the Foreign Trade Policy (FTP).
Before the introduction of e-BRC, exporters had to physically visit their banks to obtain BRCs, which were then submitted to the Directorate General of Foreign Trade (DGFT) regional authority for manual entry of export transaction details. This process was time-consuming and complicated, making it difficult to claim export incentives. However, with the introduction of e-BRC by the DGFT in 2012, exporters no longer need to visit banks to obtain BRCs. This streamlined the process of claiming export benefits and incentives from the DGFT and other export agencies, making it more accessible and efficient for exporters.
An e-BRC stands for Electronic Bank Realisation Certificate, and it’s a digital document created by the DGFT to make trade paperwork easier and more digital. Starting from August 17, 2012, banks are required to send BRC data electronically to the DGFT server with a digital signature. These digitally transmitted BRCs are called e-BRCs.
What is e-BRC Certification?
The full form of e-BRC is the Electronic Bank Realisation Certificate (e-BRC). An e-BRC is an initiative by the DGFT to promote paperless trade and digitise BRCs. From 17/08/2012, banks must transmit BRC data electronically to the DGFT server secured by digital signature. The electronically transmitted BRCs by the banks are known as e-BRCs.
Thus, e-BRCs are electronic documents that prove receipt of payments to the exporters against trade transactions. E-BRCs systematically record foreign trade transactions. The earlier e-BRC portal was discontinued in July 2022. The DGFT BRC new portal is in operation now, and accordingly, Authorised Dealer (AD) banks must move to the new DGFT e-BRC portal and upload e-BRCs on the DGFT website.
DGFT receives shipping bill information electronically through the EDI ports. With the integration of banks, DGFT receives foreign currency realisation details which can be connected to all shipping bills. The information from the shipping bills (FOB value of items exported) and the e-BRC (final payment received against export) are linked to validate the value at which the exporter will receive an incentive.
In the case of EDI shipping bills, exporters have to link the applicable shipping bill and e-BRC online while submitting for an incentive online. They do not have to send paper copies to the DGFT for the same.
Importance of Electronic Bank Realization Certificate (e-BRC)
Electronic Bank Realization Certificate (e-BRC) initiative by the Directorate General of Foreign Trade (DGFT) to digitize and systematically record foreign trade transactions.
- An eBRC is an electronically facilitated document that proves receipt of payment against an international trade transaction by an exporter.
- As mentioned above, eBRC is essential financial information and economic indicator source.
- Any firm applying for benefits under Foreign Trade Policy is required to furnish valid BRC as proof of realization of payment against exports made
- In simple terms, Electronic Bank Realization Certificate (e-BRC) is proof of export.
How to Check e-BRC on DGFT Website?
- Login to the DGFT website.
- Click on the ‘My Dashboard’ option and select the ‘Repositories’ option.
- On the next page, click the ‘Explore’ button under the ‘Bills Repositories’ tab.
- Select the option ‘Bank Realisations (e-BRC)’ from the ‘Select Bill’ drop-down list.
- Enter the ‘From Date’ and ‘To Date’ and click on the ‘Search’ option.
- All e-BRCs uploaded by the banks will be displayed on the screen.
FAQs
How Does e-BRC Work?
- When an exporter receives entire shipping bill payment in the bank account within nine months of the shipping bill date, they will submit the Electronic Foreign Inward Remittance Certificate (eFIRCs) and export documents with the respective bank.
- Bank will generate the BRC upon receipt of the export payments.
- The bank’s staff will generate an XML file containing information about e-BRC and will digitally sign it.
- The bank will upload the e-BRC on the DGFT’s server once or twice daily at a predetermined frequency.
- The banks will upload rupees equivalent to the realised foreign exchange based on the exchange rate defined by the Central Board of Excise and Customs (CBEC).
- When the XML files are uploaded, the server will give an acknowledgement to the bank.
- The exporter can view the status and print/download the e-BRCs from the DGFT website to claim export incentives.
How to Download Bank Realisation Certificate?
- Login to the DGFT website.
- Click on the ‘My Dashboard’ option and select the ‘Repositories’ option.
- On the next page, click the ‘Explore’ button under the ‘Bills Repositories’ tab.
- Select the option ‘Bank Realisations (e-BRC)’ from the ‘Select Bill’ drop-down list.
- Enter the ‘From Date’ and ‘To Date’ and click on the ‘Search’ option.
- All e-BRCs uploaded by the banks will be displayed on the screen.
- Select the Bank Realisation Number to view the e-BRCs uploaded from that bank.
- The e-BRC details will be displayed on the screen.
- You can download the e-BRC by clicking on the ‘Print eBRC’ option.