Advantages of bonded warehouse to the importer

Business studies study module
  • While in bond, goods can be prepared for sale
  • The owner can look for the market for the goods before paying the duty
  • Some goods lose weight while in the warehouse so the duty paid becomes lower if based on weight.
  • If goods are sold while still in the bonded warehouse, the duty passes to the buyer
  • The importer has more time to arrange for payment of customs duty.
  • Security is provided for the goods, so the importer is relived of the task of providing security for his/her goods
  • Some goods improve in quality while in a warehouse for example, wine and tobacco.



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