Free Sale Certificate (FSC)

Essential documentation for exporters to certify that products are freely sold in the domestic market and comply with local regulations.

Understanding Free Sale Certificates

What is a Free Sale Certificate?

A Free Sale and Commerce Certificate (FSC) is an official document issued for export of items that are not restricted or prohibited for export. It confirms that the products listed on the certificate are freely sold in the country of origin.

The certificate provides assurance from a government agency that the products are legally manufactured and marketed in the exporting country, without any indication that the product is evaluated for safety and efficacy.

FSCs are often required by foreign governments or buyers to verify that the products being imported comply with the exporting country's regulations and are freely available in the domestic market.

Key Information

Full Name

Free Sale and Commerce Certificate

Purpose

Provides assurance that products are freely sold and manufactured in the exporting country

Validity

Valid for a period of 2 years from the date of issuance

Application Process

Step 1: Prepare Application
Step 2: Submit Online
Step 3: Receive Certificate

How to Apply

  1. Prepare Documentation: Gather all required documents including IEC, manufacturing license, and product details.
  2. Online Application: File online application in ANF-2H form for obtainment of Free Sale and Commerce Certificate through the DGFT portal.
  3. Digital Signature: Sign the application using a valid Digital Signature Certificate (DSC).
  4. Submit Application: Submit the completed application along with all required documents.
  5. Processing: DGFT Regional Authority (RA) will process the application and issue the Free Sale and Commerce Certificate as per Annexure B of ANF 2H.
  6. Certificate Issuance: Upon approval, the certificate will be issued with a validity of 2 years.

Required Documents

  • Valid Import-Export Code (IEC)
  • Registration Cum Membership Certificate (RCMC) from relevant Export Promotion Council
  • Digital Signature Certificate (DSC)
  • Manufacturing License (if applicable)
  • Product details including specifications and HS codes
  • Proof of domestic sales (invoices, bills, etc.)
  • Declaration that products are freely sold in domestic market

Financial Implications

Government Fees
  • IEC Registration
  • RCMC Registration
  • Application Processing Fee
Technical Requirements
  • Digital Signature Certificate
  • Manufacturing License
  • Product Testing (if required)
Additional Costs
  • Consultancy Services
  • Document Preparation
  • Translation (if required)

Note : The Free Sale Certificate is typically obtained on the requirement of the buyer. The exporter arranges this certificate as part of the export documentation process.

Frequently Asked Questions

No, a Free Sale Certificate is not mandatory for all exports. It is typically required when the importing country's regulations demand it or when the foreign buyer specifically requests it. It is commonly required for products like medical devices, food supplements, cosmetics, and certain industrial products.

Yes, merchant exporters can obtain a Free Sale Certificate. However, they may need to provide additional documentation from the actual manufacturer confirming that the products are legally manufactured and freely sold in the domestic market. The merchant exporter should have a valid agreement with the manufacturer and proper authorization to export the products.

The processing time for a Free Sale Certificate typically ranges from 7 to 15 working days, depending on the completeness of the application and the workload of the issuing authority. It is advisable to apply well in advance of your export shipment to avoid any delays. Expedited processing may be available in some cases for an additional fee.

Generally, a Free Sale Certificate cannot be amended after issuance. If there are any changes required, you would need to apply for a new certificate with the correct information. It is therefore crucial to ensure that all details provided in the application are accurate and complete before submission.

No, a Free Sale Certificate does not guarantee product quality or efficacy. It only confirms that the products are legally manufactured and freely sold in the domestic market of the exporting country. The certificate does not indicate that the product has been evaluated for safety, quality, or efficacy. Buyers may still require additional quality certifications or testing reports depending on their requirements and the importing country's regulations.