Bonded warehousing: deferring duty without losing control

A bonded warehouse lets imported goods sit under customs control with duty deferred until they are cleared for home consumption.

Why importers use it - Cash flow: duty is paid as goods are released, not all at once on arrival. - Re-export: goods that leave again may avoid import duty entirely. - Regulatory timing: waiting on a licence or certificate without accruing port demurrage.

What it costs Bonded storage rates are higher than ordinary warehousing, and there is a procedural overhead: warehousing bond, bond registration, and an ex-bond bill of entry for each release. For slow-moving high-duty goods the deferral usually outweighs the cost. For fast-moving low-duty goods it rarely does.

Operational realities - Goods must be traceable lot by lot; stock records are inspected. - Interest may accrue on warehoused goods beyond the permitted period. - Any manipulation — repacking, labelling — needs permission.

Choosing a location Put the bond where the demand is, not where the port is. If your customers are inland, an inland bonded facility saves a second long haul and lets you release in small lots.

We plan bonded and free-circulation storage together, so the split between the two reflects how the stock actually turns.