What is bonded warehouse?

A bonded warehouse is a type of warehouse owned by the government generally.  These warehouses are for those imported items or products on which custom duty has to be paid. For private companies to offer bonded warehousing services, taking the license is essential. Usually most of the bonded warehouses are located near sea ports and owned by the dock authorities. The business owners that import their goods can access them only after paying the required custom duty to the government.

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