Difference Between – Duty Paid Warehouse and Bonded Warehouse

Distinction Between Duty Paid Warehouse and Bonded Warehouse

Class 12th – HSC Board of  Maharashtra State Board  – Organization of Commerce and management – Studies notes, study material, study material, study notes, study perpetration, distinguish between, difference between Duty paid warehouse and Bonded warehouse.

Sr.NoDifferenceDuty Paid WarehouseBonded Warehouses
1.MeaningDuty paid warehouse is the warehouse where imported goods on which duty is already paid are stored.Bonded warehouse is the warehouse where imported goods on which duty is not paid are stored.
2.PurposeMain purpose would be that the importer does not have suitable warehousing facility. Also, he may not require immediate delivery of goods.Main purpose would be either the importer needs to re-export the goods or the importer may not be in a position to pay import duty.
3.LocationThey are located in a port-town outside the dock area.They are located within the dock area.
4.MarketsThe imported goods stored here are mostly for the domestic markets.The imported goods stored here are mostly re-exported.
5.supervisionThese warehouses are not supervised by the customs authority. They are supervised by port authority.The customs authority closely supervises the working of these warehouses.
6.DeliveryDelivery of goods can be obtained after payment of the rent charges of the warehouse.Delivery of goods is done after payment of import duty. In case of re-export, the import duty need not be paid, only rent and service charges need to be paid.
7.ownershipSuch warehouses are owned by public authorities.Such warehouses may be owned by private or dock authorities.

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