Bonded warehouses

Commissioner-General of the Zimbabwe Revenue Authority (Zimra) may determine what kind of goods may be warehoused.
What are the advantages of having a bonded warehouse?
l Goods can be stored without payment of duty, thus giving the importer an opportunity to manage cash flows.
l Some goods may sell slowly due to fluctuating demand, hence duty can be paid according to demand.
l Constant supply of raw materials can be assured in the manufacturing industry by importing in bulk and payments being made according to production demands.
What type of structure is suitable for a bonded warehouse?
l Bulk storage tanks — for liquids.
l Fenced or walled enclosure.
l Any permanent,secure, separate building of brick, stone, concrete, metal or other solid materials.
How is a bonded warehouse registered and licensed?
Any person who wishes the Commissioner to appoint and license any warehouse shall make an application to the local Zimra Station Manager (Customs) requesting for permission to have the warehouse approved and licensed. This application should be made using Customs and Excise Form CE56 available at any Zimra office and also on the Zimra website: www.zimra.co.zw.
If the applicant wishes to manufacture under bond, an addendum declaring the intention and outlining the process of manufacture should be attached to the application form. A plan or diagram of the structure/ premises may accompany the application.
Upon receipt of the application, the Station Manager will make arrangements for inspection of the warehouse. The following points are emphasised:
l The warehouse must be conveniently situated near a warehousing port listed in the Customs and Excise (Ports of Entry and Routes) Order 2002 published in Statutory Instrument 14 of 2002 (as amended).
l The warehouse must be secure with its doors fitted with suitable appliances for affixing the prospective licensee’s locks as well as having a provision for a Customs lock.
l Access into warehouse should be restricted.
l Windows or any other apertures must be secured with iron bars, bolted and clinched inside.
Once the above conditions have been satisfied and the application approved, the applicant is required to secure a guarantee and enter into a bond on Customs and Excise Form 125 which can be downloaded from the Zimra website. The surety must consent to a penal sum which is determined largely by the nature and quantity of merchandise to be stored. The licence which will be issued is renewable annually and is not transferable from one operator to another.
What are the obligations of a proprietor of a bonded warehouse?
l To keep a record of goods entering and/or leaving the bonded warehouse.
l To arrange and stack goods in an approved manner.
l To make goods easily accessible when there is an inspection.
l To place bin cards on each consignment reflecting.
l Dates goods are warehoused;
l Bill of entry registration number and date;
l Importer’s name;
l Description and quantity of goods warehoused;
l Date and quantity removed each time removals are made; and
l Balance of goods remaining in the warehouse.
l To ensure that duty-paid/duty free stocks are not put in the bonded warehouse.
l To ensure that dangerous or flammable goods or those likely to cause damage to others are not warehoused in the same warehouse.
l To ensure that duty is payable immediately on deficiencies.
Please Note: The warehouse should be securely locked between sunset and sunrise and no public sale shall be conducted within a warehouse.
What is the procedure for warehousing goods in bond?
Goods intended for warehousing in bond should be entered on Bill of Entry Form No. 21 together with the usual supporting import documents.
How does a proprietor clear goods from a bonded warehouse?
A proprietor is allowed to clear goods according to demand. All that is needed is to present an appropriately completed form, depending on type of clearance (usually Bill of Entry Form 21), to Zimra for processing. The codes to be used on ex-warehousing are as provided in the ASYCUDA Trade Manual.
For how long may goods stay in a bonded warehouse?
The maximum period goods may remain in the warehouse is two years. Goods must be removed from the bonded warehouse before the period expires.
Does the period of time goods are kept in the warehouse affect the duty and tax payable?
The value as warehoused does not change but the rate of duty applicable is the rate in force at the time the goods are removed from the bonded warehouse.
What if a proprietor wishes to cancel the bond?
Clear and pay duty on all the goods in the bonded warehouse and write to the controlling Zimra Station stating that you wish to cancel the bond. As long as the proprietor has no outstanding obligations, the bond may be cancelled.

l Article submitted by the Zimbabwe Revenue Authority.
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