Benefits of Using Bonded Warehouse
A bonded warehouse (sometimes called customs warehouse) is a secure storage space where goods liable to certain taxes like Goods and Services Tax (VAT) and import duty are stored. The VAT and duty payments are withheld until the goods are removed (exported) from the bonded warehouse or sold. Bonded warehouses can be owned either by governments or by the private companies, depending on local regulations in each country. Each country also has different rules regarding how bonded warehouses should operate. This article will reveal to you the benefits of using bonded warehouses.
Deferred VAT and Duty Payments
As stated earlier, duty payments and VAT on various goods are withheld while in a bonded warehouse until they are sold or removed from the warehouse. For example, Vietnam Duties is charged at different rates for different product types. The bonded warehouse manager provides you a bond over the duration your goods or products are stored in the warehouse. This bond is a guarantee that customs will be paid and there will be no loss of revenue if the goods are released from the bonded warehouse. This duty deferment can help you to save on the upfront expenses on imported goods. Our facilities at Mekongzon are fully licensed to provide bonded warehousing services.
Special Packages Offered
Most bonded warehouses have special packages for most producing companies. If you are using a customs warehouse as your “all in one” warehousing and logistics partner, you can be sure to receive more affordable packages that fit your needs. In most cases, the bonded warehouse manager will evaluate your company’s warehousing needs before customizing a package that fulfills your requirements. At Mekongzon we can meet your company’s needs by providing other services like local and international delivery and pick and pack services.
Security and safety
Both safety and inventory management are usually on a higher level when compared to regular warehouses because government control is much tighter for bonded warehouses. Security people monitor most bonded warehouses on a 24-hour basis to ensure ultimate safety and tight security. Special monitoring for delicate and refrigerated items are given priority. Furthermore, efficient and updated security systems, bar coding systems and WMS systems are used to make sure that all goods are stored correctly and documented.
Choosing the right provider for bonded warehouse services is essential if you’re in the import, export or production industry. Bonded warehouse services are critical to managing cash flow by delaying custom taxes and VAT. Also, our personnel can give you priceless advice about how to deal with customs and taxes more efficiently.
For more information, please contact us