Free Sale Certificate: Meaning, Importance, and Process

Free Sale Certificate: Meaning, Importance, and Process. International trade has opened huge opportunities for exporters. However, this opportunity also comes with a need to meet various legal and compliance requirements of different countries. When a product manufactured in one country is exported to another, the importing country often seeks assurance that the product is safe, approved, and legally available for sale in its country of origin. One such important document used to establish this trust is a Free Sale Certificate. This article will explain what a Free Sale Certificate is, its role in global trade, who issues it in India, what documents are needed, and how to obtain it through the Directorate General of Foreign Trade (DGFT). Exporters, especially those dealing in regulated products such as medical devices and food items, must understand the process and importance of this document thoroughly.
What is a Free Sale Certificate?
A Free Sale Certificate, also referred to as a certificate of export or certificate for export, is a legal document issued by a government authority in the exporting country. It certifies that the goods intended for export are freely sold and legally marketed in the domestic market without any restrictions or prohibitions.
This certificate is mainly required for the export of products like:

Medical devices
Cosmetics
Food and beverage items
Nutraceuticals
Biological products

The Free Sale Certificate does not certify the product’s safety or efficacy. Instead, it confirms that the product is lawfully sold in the country of origin and has necessary approvals to be in the domestic market. This certificate is demanded by the regulatory authorities in the importing country before the product is allowed entry.
Why is a Free Sale Certificate Important in International Trade?
The Free Sale Certificate plays an important role in international commerce. Countries that import products from India or other nations want to ensure that the products entering their markets are not banned or restricted in the country of origin.
Here’s why this certificate holds importance:
1. Market Approval Verification: It acts as proof that the product is approved by the national authority in the country of origin and complies with domestic regulations.
2. Consumer Safety Assurance: It helps the importing country to ensure that the exported product is deemed fit for public use or consumption in the exporting country.
3. Avoids Delays at Customs: Having the Free Sale Certificate readily available can avoid unnecessary delays during customs clearance at the port of entry.
4. Regulatory Requirement: For products like pharmaceuticals, cosmetics, and food, many countries legally require this certificate as part of their import clearance process.
Who Issues the Free Sale Certificate in India?
In India, the Directorate General of Foreign Trade (DGFT) is the authority responsible for issuing the Free Sale and Commerce Certificate. The DGFT functions under the Ministry of Commerce and Industry and manages export and import regulations in India.
The Regional Authority (RA) of the DGFT processes the applications and grants the Free Sale Certificate to eligible exporters. To simplify compliance requirements, the DGFT updated the certificate format in 2021. The new application format excludes the earlier mandatory requirement of submitting the RCMC (Registration Cum Membership Certificate) and certain declarations, making the process more streamlined and user-friendly.
Benefits of a Free Sale Certificate
A Free Sale Certificate is an important compliance document for exporters, especially those in regulated industries. The certificate plays a key role in building trust with buyers and regulators in foreign markets.
Some important benefits include:
Regulatory Acceptance
A Free Sale Certificate assures foreign regulatory authorities that the product complies with domestic laws and is legally sold in the exporting country. This makes it easier to obtain approvals or clearances in the importing country. It reduces scrutiny and builds confidence in product safety and compliance.
Faster Market Access
With a Free Sale Certificate, exporters can bypass lengthy product approval procedures in the importing country. Since the document confirms that the product is approved and freely sold in India, it speeds up the entry process into new markets. This allows businesses to launch their products abroad without unnecessary delays.
Ease of Business Expansion
The certificate helps Indian businesses tap into global markets by proving the credibility of their products. It opens doors to countries that require documentary evidence before allowing products to be sold. As a result, exporters can confidently explore new trade opportunities and grow internationally.
Smooth Customs Clearance
At international borders, customs officials may demand evidence that the product is not prohibited or restricted. The Free Sale Certificate satisfies this requirement, helping shipments pass through customs checks more efficiently. This minimizes the chances of goods being held, inspected, or delayed.
Proof of Legitimacy
The certificate serves as a formal record that the exporter is a licensed and lawful entity in India. It shows that the product complies with applicable Indian laws and regulations. This enhances the exporter’s credibility with overseas buyers and government bodies alike.
Documents Required to Obtain a Free Sale Certificate in India
To apply for a Free Sale Certificate, exporters must prepare a set of essential documents. These documents act as evidence that the product is approved for sale in India and is being manufactured and distributed lawfully.
The typical documents and details required include:
1. Importer Exporter Code (IEC): Every exporter must have a valid IEC number. It serves as the identity number issued by DGFT to businesses involved in international trade.
2. Valid Manufacturing License: A current and valid license that proves the products are manufactured legally under regulatory supervision. This license is generally issued by relevant authorities such as CDSCO, FSSAI, or state drug control departments.
3. Digital Signature Certificate (DSC): A valid DSC is necessary for signing the application online. It authenticates the identity of the exporter on the DGFT portal.
4. List of Products: A complete list of all the products for which the certificate is requested. It should include details such as name, batch number, and category.
5. Supporting Certificates (FSSAI, CDSCO, etc.): Based on the product type, the exporter must provide certificates from relevant authorities. For example, FSSAI for food products and CDSCO for medical devices.
Process to Apply for Free Sale Certificate in India
The DGFT provides an online portal for exporters to apply for the Free Sale and Commerce Certificate. Below is a detailed explanation of the application process:
Step 1: Visit the DGFT Website
Go to the official DGFT website (https://dgft.gov.in). Login using your IEC number and password. If you don’t have an account, you must register first using your business details.
Step 2: Go to Certificate Management
After logging in, select ‘Services’ from the main menu. Under the sub-menu, click on ‘Certificate Management’ and then select ‘Free Sale and Commerce Certificate.’
Step 3: Start New Application
Click on the ‘Apply’ option. You can either begin a new application or continue an application you saved earlier as a draft.
Step 4: Fill in Application Details
You will be asked to enter details such as:

IEC number
Company name
Address and contact information
Branch code (if applicable)

The system may auto-fill certain fields based on your IEC profile. Carefully verify all details before proceeding.
Step 5: Describe the Export Purpose and Product Information
Under the section “Purpose of Items Exported under Certificate”, clearly mention the reason for export and the target country. In the product description, give detailed information about the product, such as formulation, manufacturing process, and end use.
Step 6: Add Export and Importer Details
In this section, add details about the:

Exported items
Manufacturer (name, address, license number)
Importer or buyer details in the destination country

This section builds transparency and helps the authority evaluate your application better.
Step 7: Upload Required Attachments
Attach scanned copies of required documents in PDF format. Ensure the size and format of the files are as per DGFT guidelines. Common attachments include the manufacturing license, product list, and regulatory certificates.
Step 8: Complete Declaration and Sign Digitally
After reviewing the entire form, complete the declaration section, confirming that all the information provided is correct. Use your Digital Signature Certificate (DSC) to sign the form.
Step 9: Submit and Pay the Fee
After signing, click on the ‘Submit’ button. You will be redirected to the payment page where you can pay the required fee through net banking, UPI, or debit card. Once the payment is successful, you can download the receipt.
Step 10: Acknowledgement and File Number
After successful submission, a confirmation message will appear on the screen along with your application file number. This number can be used to track the status of your application on the DGFT portal.
Once processed, the Free Sale Certificate will be issued and made available for download from the portal.
Free Sale Certificate and E-Commerce Exporters
With the rise of cross-border e-commerce, especially through platforms like Amazon Global Selling, more and more Indian sellers are exporting products to customers around the world. These sellers must also comply with local import regulations, including providing Free Sale Certificates where required.
Amazon’s Global Selling program allows Indian businesses to:

Sell on over 18 Amazon global marketplaces
Choose between Merchant Fulfilled Network (MFN) and Fulfillment by Amazon (FBA)
Get help with logistics, customs, compliance, and product listing
Reach millions of international customers with their ‘Made in India’ products
Exporters registered under this program are often guided through documentation and regulatory requirements including obtaining a Free Sale Certificate.

Conclusion
The Free Sale Certificate is more than just a document—it is a stamp of credibility, legality, and market acceptance. For Indian exporters, especially those dealing in medical, cosmetic, and food-related products, it serves as a key to unlock international markets and trade opportunities.
With the application process now simplified by DGFT, obtaining this certificate has become much more accessible. Exporters must ensure that their business is licensed, product details are accurate, and all supporting documents are in place. In global trade, compliance is not an option—it is a necessity. Having your Free Sale Certificate ready is a step toward gaining buyer confidence and ensuring seamless exports.
If you need any support you can book a consultation with the experts through email at info@ccoffice.in or Call/Whatsapp at +91 9988424211.
Frequently Asked Questions
1. What is the validity of the Free Sale Certificate?
The validity of the Free Sale Certificate depends on the product and the importing country’s regulation. Typically, it ranges from 1 to 2 years, after which a renewal may be required.
2. Is Free Sale Certificate mandatory for all products?
No, it is mainly mandatory for regulated products such as medical devices, cosmetics, food supplements, and pharmaceuticals.
3. Can an exporter apply for Free Sale Certificate without a manufacturing license?
No. A valid manufacturing license is a mandatory document for applying for a Free Sale Certificate.
4. Is the Free Sale Certificate accepted by all countries?
While most countries accept the Free Sale Certificate issued by DGFT, some may have additional documentation or registration requirements. Always check with the importer or local authority.
5. What is the processing time for the Free Sale Certificate?
Once the application is submitted with proper documents, the certificate is generally issued within 7 to 15 working days.

International trade has opened huge opportunities for exporters. However, this opportunity also comes with a need to meet various legal and compliance requirements of different countries. When a product manufactured in one country is exported to another, the importing country often seeks assurance that the product is safe, approved, and legally available for sale in its country of origin. One such important document used to establish this trust is a Free Sale Certificate. This article will explain what a Free Sale Certificate is, its role in global trade, who issues it in India, what documents are needed, and how to obtain it through the Directorate General of Foreign Trade (DGFT). Exporters, especially those dealing in regulated products such as medical devices and food items, must understand the process and importance of this document thoroughly.

What is a Free Sale Certificate?

A Free Sale Certificate, also referred to as a certificate of export or certificate for export, is a legal document issued by a government authority in the exporting country. It certifies that the goods intended for export are freely sold and legally marketed in the domestic market without any restrictions or prohibitions.

This certificate is mainly required for the export of products like:

Medical devices
Cosmetics
Food and beverage items
Nutraceuticals
Biological products

Why is a Free Sale Certificate Important in International Trade?

The Free Sale Certificate plays an important role in international commerce. Countries that import products from India or other nations want to ensure that the products entering their markets are not banned or restricted in the country of origin.

Here’s why this certificate holds importance:

1. Market Approval Verification: It acts as proof that the product is approved by the national authority in the country of origin and complies with domestic regulations.

2. Consumer Safety Assurance: It helps the importing country to ensure that the exported product is deemed fit for public use or consumption in the exporting country.

3. Avoids Delays at Customs: Having the Free Sale Certificate readily available can avoid unnecessary delays during customs clearance at the port of entry.

4. Regulatory Requirement: For products like pharmaceuticals, cosmetics, and food, many countries legally require this certificate as part of their import clearance process.

Who Issues the Free Sale Certificate in India?

In India, the Directorate General of Foreign Trade (DGFT) is the authority responsible for issuing the Free Sale and Commerce Certificate. The DGFT functions under the Ministry of Commerce and Industry and manages export and import regulations in India.

The Regional Authority (RA) of the DGFT processes the applications and grants the Free Sale Certificate to eligible exporters. To simplify compliance requirements, the DGFT updated the certificate format in 2021. The new application format excludes the earlier mandatory requirement of submitting the RCMC (Registration Cum Membership Certificate) and certain declarations, making the process more streamlined and user-friendly.

Benefits of a Free Sale Certificate

A Free Sale Certificate is an important compliance document for exporters, especially those in regulated industries. The certificate plays a key role in building trust with buyers and regulators in foreign markets.

Some important benefits include:

Regulatory Acceptance

A Free Sale Certificate assures foreign regulatory authorities that the product complies with domestic laws and is legally sold in the exporting country. This makes it easier to obtain approvals or clearances in the importing country. It reduces scrutiny and builds confidence in product safety and compliance.

Faster Market Access

With a Free Sale Certificate, exporters can bypass lengthy product approval procedures in the importing country. Since the document confirms that the product is approved and freely sold in India, it speeds up the entry process into new markets. This allows businesses to launch their products abroad without unnecessary delays.

Ease of Business Expansion

The certificate helps Indian businesses tap into global markets by proving the credibility of their products. It opens doors to countries that require documentary evidence before allowing products to be sold. As a result, exporters can confidently explore new trade opportunities and grow internationally.

Smooth Customs Clearance

At international borders, customs officials may demand evidence that the product is not prohibited or restricted. The Free Sale Certificate satisfies this requirement, helping shipments pass through customs checks more efficiently. This minimizes the chances of goods being held, inspected, or delayed.

Proof of Legitimacy

The certificate serves as a formal record that the exporter is a licensed and lawful entity in India. It shows that the product complies with applicable Indian laws and regulations. This enhances the exporter’s credibility with overseas buyers and government bodies alike.

Documents Required to Obtain a Free Sale Certificate in India

To apply for a Free Sale Certificate, exporters must prepare a set of essential documents. These documents act as evidence that the product is approved for sale in India and is being manufactured and distributed lawfully.

The typical documents and details required include:

1. Importer Exporter Code (IEC): Every exporter must have a valid IEC number. It serves as the identity number issued by DGFT to businesses involved in international trade.

2. Valid Manufacturing License: A current and valid license that proves the products are manufactured legally under regulatory supervision. This license is generally issued by relevant authorities such as CDSCO, FSSAI, or state drug control departments.

3. Digital Signature Certificate (DSC): A valid DSC is necessary for signing the application online. It authenticates the identity of the exporter on the DGFT portal.

4. List of Products: A complete list of all the products for which the certificate is requested. It should include details such as name, batch number, and category.

5. Supporting Certificates (FSSAI, CDSCO, etc.): Based on the product type, the exporter must provide certificates from relevant authorities. For example, FSSAI for food products and CDSCO for medical devices.

Process to Apply for Free Sale Certificate in India

The DGFT provides an online portal for exporters to apply for the Free Sale and Commerce Certificate. Below is a detailed explanation of the application process:

Step 1: Visit the DGFT Website

Go to the official DGFT website (https://dgft.gov.in). Login using your IEC number and password. If you don’t have an account, you must register first using your business details.

Step 2: Go to Certificate Management

After logging in, select ‘Services’ from the main menu. Under the sub-menu, click on ‘Certificate Management’ and then select ‘Free Sale and Commerce Certificate.’

Step 3: Start New Application

Click on the ‘Apply’ option. You can either begin a new application or continue an application you saved earlier as a draft.

Step 4: Fill in Application Details

You will be asked to enter details such as:

IEC number
Company name
Address and contact information
Branch code (if applicable)

The system may auto-fill certain fields based on your IEC profile. Carefully verify all details before proceeding.

Step 5: Describe the Export Purpose and Product Information

Under the section “Purpose of Items Exported under Certificate”, clearly mention the reason for export and the target country. In the product description, give detailed information about the product, such as formulation, manufacturing process, and end use.

Step 6: Add Export and Importer Details

In this section, add details about the:

Exported items
Manufacturer (name, address, license number)
Importer or buyer details in the destination country

This section builds transparency and helps the authority evaluate your application better.

Step 7: Upload Required Attachments

Attach scanned copies of required documents in PDF format. Ensure the size and format of the files are as per DGFT guidelines. Common attachments include the manufacturing license, product list, and regulatory certificates.

Step 8: Complete Declaration and Sign Digitally

After reviewing the entire form, complete the declaration section, confirming that all the information provided is correct. Use your Digital Signature Certificate (DSC) to sign the form.

Step 9: Submit and Pay the Fee

After signing, click on the ‘Submit’ button. You will be redirected to the payment page where you can pay the required fee through net banking, UPI, or debit card. Once the payment is successful, you can download the receipt.

Step 10: Acknowledgement and File Number

After successful submission, a confirmation message will appear on the screen along with your application file number. This number can be used to track the status of your application on the DGFT portal.

Once processed, the Free Sale Certificate will be issued and made available for download from the portal.

Free Sale Certificate and E-Commerce Exporters

With the rise of cross-border e-commerce, especially through platforms like Amazon Global Selling, more and more Indian sellers are exporting products to customers around the world. These sellers must also comply with local import regulations, including providing Free Sale Certificates where required.

Amazon’s Global Selling program allows Indian businesses to:

Sell on over 18 Amazon global marketplaces
Choose between Merchant Fulfilled Network (MFN) and Fulfillment by Amazon (FBA)
Get help with logistics, customs, compliance, and product listing
Reach millions of international customers with their ‘Made in India’ products
Exporters registered under this program are often guided through documentation and regulatory requirements including obtaining a Free Sale Certificate.

Conclusion

The Free Sale Certificate is more than just a document—it is a stamp of credibility, legality, and market acceptance. For Indian exporters, especially those dealing in medical, cosmetic, and food-related products, it serves as a key to unlock international markets and trade opportunities.

With the application process now simplified by DGFT, obtaining this certificate has become much more accessible. Exporters must ensure that their business is licensed, product details are accurate, and all supporting documents are in place. In global trade, compliance is not an option—it is a necessity. Having your Free Sale Certificate ready is a step toward gaining buyer confidence and ensuring seamless exports.

If you need any support you can book a consultation with the experts through email at info@ccoffice.in or Call/Whatsapp at +91 9988424211.

Frequently Asked Questions

1. What is the validity of the Free Sale Certificate?

The validity of the Free Sale Certificate depends on the product and the importing country’s regulation. Typically, it ranges from 1 to 2 years, after which a renewal may be required.

2. Is Free Sale Certificate mandatory for all products?

No, it is mainly mandatory for regulated products such as medical devices, cosmetics, food supplements, and pharmaceuticals.

3. Can an exporter apply for Free Sale Certificate without a manufacturing license?

No. A valid manufacturing license is a mandatory document for applying for a Free Sale Certificate.

4. Is the Free Sale Certificate accepted by all countries?

While most countries accept the Free Sale Certificate issued by DGFT, some may have additional documentation or registration requirements. Always check with the importer or local authority.

5. What is the processing time for the Free Sale Certificate?

Once the application is submitted with proper documents, the certificate is generally issued within 7 to 15 working days.