One of the biggest challenges for the Indian warehousing sector has been the storage of imported or dutiable goods.

The storage and shipment of dutiable goods require the importer to pay taxes, also known as customs duty. Often these taxes, also called tariffs, have to be paid in a lump sum and are hefty. This very trait hampers business flow from having liquidity in terms of storage and handling of imported goods. A bonded warehouse is a secured area where goods are stored or re-configured without the intervention of custom duties. A bonded warehouse can be privately-owned or owned by the government.

However, the privately-owned bonded warehouse also signs a customs bond with the government underlying what kind of goods movement is allowed and what not.

Benefits of a bonded warehouse

A bonded warehouse provides an importer or a manufacturer with various benefits:

• Goods owner only pay customs duty once the goods move out of the warehouse, all or in proportion.
• At times, for any importer, some poor-performing products go unsold.
• Goods or raw materials related to these products can be exported back without having to pay any duties.
• A bonded warehouse also provides services that are offered by general warehouse operators. Along with tax redemption for importers, these warehouses are often situated at a strategic location to help reduce transportation costs.

At Stockarea, we're helping importers find the best possible warehousing solution for their imported goods. Stockarea's warehousing network offers live free capacity available at these warehouses along with property information to help you take moreoptimised decisions for your product's supply chain. Explore hundreds of warehouses and book your space today.

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