- The warehouse gives the importer time to raise money to pay the duties.
- The importer/trader can still sell the goods when they are in the warehouse therefore he is relieved from paying storage charges and duties.
- Some goods loose weight after sometime therefore the trader pays less duties if it is based on the weight of the goods.
- Goods can still be prepared when they are in the warehouse.
TO THE GOVERNMENT.
- It is a source of revenue to the government.
- The government is able to control entry of harmful products and illegal goods.
- It is able to check the quality and quantity of the of the goods imported.
- The government is able to verify documents for goods in transit.
- The government is able to inspect the nature of the goods imported.