Are you thinking about storing goods imported into the United States, or are you unsure whether you should use a free trade zone (FTZ) or a customs-bonded warehouse? These two options both have their benefits and drawbacks, and you should learn about them both before deciding which is right for you. These zones allow importers and exporters to store their goods without paying duty. To get more information about Free Trade Warehousing Zone, go to the “Genex Logistics” website.
What Is A Customs-Bonded Warehouse?
It is a warehouse that is allowed to hold imported goods. U.S. Customs and Border Protection designate this type of warehouse. It allows businesses to import dutiable merchandise without paying duty. These goods can be stored without paying duties for as long as five years. This is a significant advantage for businesses that ship internationally.
The first benefit to being a customs-bonded warehouse is that you won’t need to pay duty on goods that you’re selling domestically. This isn’t a big deal for shippers who sell products domestically. But the benefits of FTZs are clear when you’re shipping to other countries. For more information, you can watch a webinar on this topic.
Difference Between a Bonded Warehouse and A FTZ:
An FTZ Is A Free Zone. You’ll be able to repackage, destroy, or store goods without paying customs duty. There is no limit to the number of days you can store goods in the FTZ. If you don’t need to store products in a free zone, you should consider a free trade zone. It is an important aspect of business success.
FTWZ Is An Ideal Option For Companies Looking to Test the Indian Market. If you don’t want to register your company in India, a free FTWZ will do the trick. For a reasonable fee, you can store goods at the FTWZ and don’t have to worry about paying customs duty. Then you can take advantage of other value-adds like tax-free storage.
The FTWZ is a Free-Trade Zone. It is a place where you can trade and store goods. You can even use the FTWZ for authorized operations. Currently, Arshiya Logistics Services is an example of an FTWZ unit. It offers value-added services in warehousing and other services. In an FTWZ, you can also get a warehouse near your customer.
FTWZ Is Not a Deemed Port. Section 53 of the SEZ Act provides that the FTWZ is not a ‘deemed port’. This means that FTWZs is not a ‘deemed port’ but a warehouse in which goods are free to be sold. These are a special kind of bonded zone. For example, a customs bonded warehouse can only store goods for 3 years.
An FTWZ Is a Special Economic Zone Within a Country, and this zone focuses on trade and warehousing rather than manufacturing and exporting. FTWZs offer integrated solutions that include packing management, inspection, re-invoicing, and strapping. However, if you are considering using an FTWZ, you should make sure to find the right one for your needs.
FTWZs Are a Special Category of Special Economic Zones. The government designates them as an alternative to Customs-bonded warehouses, and FTWZs are more convenient for businesses than Customs-bonded warehouses. The FTWZs in India can offer a wide range of integrated solutions. From packaging management to inspection to re-invoicing to strapping, FTWZs can help you defer duty payments.
Another difference between a bonded warehouse and an FTZ is their location. A bonded warehouse is outside U.S. customs territory and is considered an international trade zone. This means that it is considered a foreign country. A bonded warehouse is considered an area in a different country. The U.S. government has designated certain areas for a particular reason. These zones are also considered customs-bonded.
An FTZ is not a customs territory for customs-bonded warehouses; it is a special zone, and it is free of customs and can be declared a free trade zone. In other words, FTZs are not real-customs warehouses, and it is a free trade zone, and a bonded warehouse is a free trade zone. If you are a U.S. citizen, you may be able to store your goods in a bonded warehouse for as long as 5 years.
Why Should You Choose Genex Logistics?
In addition to providing Global Logistics and Project Logistics, Genex Logistics also offers supply chain management, transportation, and distribution services. Genex Logistics is the Best Logistics Companies in Delhi dedicated to providing world-class products and services through thought leadership, sustainability, and an innovative workforce. Our responsibility to our customers, society, and the environment is to deliver sustainable benefits.