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Benefits of a Free Trade Zone Warehouse

Friday, February 26th, 2016

The type of warehousing needed varies depending on what you, the importer, want to do with your goods once you receive them.

A free trade zone warehouse is in a zone within the US borders, but still considered “outside” US custom’s territory.

Bringing materials or goods into a foreign or free trade zone (FTZ) allows flexibility not offered in other areas. For one thing, you don’t go through customs until your product leaves the FTZ bound for US distribution. In other words, you don’t have to pay taxes on what you bring in until you take it out of the warehouse for distribution in the US. If you export directly from the FTZ, you don’t have to pay taxes or duties at all.

Importers may store merchandise in a FTZ warehouse for as long as needed and may do a variety of things with it while it remains there. You may destroy product or materials, mix items, re-package, assemble goods or even manufacture within the FTZ. Another benefit is consolidation of your entries.

Consolidation of your entries, pooling them into one load for distribution rather than bringing multiple smaller shipments through customs, also results in fewer merchandise processing fees (MPFs) from customs brokers. MPFs are determined and paid when your product leaves the FTZ, bound for US distribution.

Are you looking for warehousing in Florida? We’re here, with five locations to serve your needs, including FTZ warehousing options in Jacksonville. Contact us today to learn more about how we can help you find the best fitting warehouse solutions for you.

Commercial Warehousing