A smarter way to manage VAT, duty and bonded stock in South Africa
DSV's Electronic Bond Store combines SARS-approved bonded warehousing with digital visibility, giving you up to 24 months to defer VAT and duty. The result? Better cashflow, reduced costs, and simplified compliance - all without disrupting your normal operations.
What is a SARS approved bond store?
It is a customs-controlled secure warehouse where imported goods can be stored, checked, or undergo value adding services*, prior to the importer paying duty and VAT, which can be deferred until the goods are sold in South Africa, or for up to a maximum of 24 months.
What is DSV’s electronic bond store?
DSV’s Electronic Bond Store (EBS) is a digital solution which provides bonded warehousing with greater control, visibility and compliance. You will benefit from the EBS if you:
- Have a high customs duty bill and limited or infrequent stock turns on the products attracting duties
- Are a distribution point for imported product with a noteworthy quantity of exports
- Are currently claiming drawbacks on exports
- Want to improve your cashflow by keeping your goods in the bonded warehouse until you are ready to complete your transaction
- Have time-sensitive response needs which would previously have excluded a viable bonded solution.
*Please note that to benefit from EBS, an additional application and approval from SARS is required.
Benefits of DSV's Bonded warehouse solutions
Financial benefits
Unlock cashflow power with deferred VAT & Duty
- Improved cashflow - VAT & duty deferred until product is shipped/consumed
- Reduced costs - Duplicate storage locations eliminated
- Reduced admin costs - Duty drawback write-offs avoided
Aligned risk management benefits
Stay compliant and secure with smart bond controls
- Customer audit requirements
- Automatic customs collection VAT & Duty
- Warehouse stock controls
Warehouse operation benefits
Streamline fulfilment with bonded efficiency
- Normal goods warehouse practices
- Orders picked and shipped without delay
- Optimisation of storage utilisation
Administration benefits
Cut red tape with simplified customs admin.
- Fewer customs entries
- Elimination of duty drawbacks
- Accurate bond store register
Financial benefits
Financial benefits
Unlock cashflow power with deferred VAT & Duty
- Improved cashflow - VAT & duty deferred until product is shipped/consumed
- Reduced costs - Duplicate storage locations eliminated
- Reduced admin costs - Duty drawback write-offs avoided
Risk management benefits
Aligned risk management benefits
Stay compliant and secure with smart bond controls
- Customer audit requirements
- Automatic customs collection VAT & Duty
- Warehouse stock controls
Warehouse operation benefits
Warehouse operation benefits
Streamline fulfilment with bonded efficiency
- Normal goods warehouse practices
- Orders picked and shipped without delay
- Optimisation of storage utilisation
Administration benefits
Administration benefits
Cut red tape with simplified customs admin.
- Fewer customs entries
- Elimination of duty drawbacks
- Accurate bond store register
Frequently asked questions about Electronic bond store solutions
You can benefit by using a DSV administered warehouse, which many importers do to defer the duty until such a time that the goods are extracted. Goods destined for export can also be temporarily warehoused to avoid duties.
Importers with their own warehousing facility are welcome to apply for their own bonded warehouse facility to qualify for the same benefits.
- Agnostic to the warehouse management system (WMS), working with either DSV's WMS or your own.
- It doesn't impact the normal warehousing operations process.
- Earns the trust of customs by timeously and accurately bringing outstanding duty and VAT to account.
- Eliminates the need for segregated storage of bonded and duty paid stock - and saves you the cost of a traditional bonded warehouse.
- Requires little or no integration with your WMS.
- It doesn't impact the normal warehousing operations process.
- Earns the trust of customs by timeously and accurately bringing outstanding duty and VAT to account.
- Eliminates the need for segregated storage of bonded and duty paid stock - and saves you the cost of a traditional bonded warehouse.
- Requires little or no integration with your WMS.
You must satisfy the criteria in risk, warehouse operations and processing requirements.
- Risk: you need strong governance processes, a high net stock accuracy and reliable systems
- Warehouse operations: must include effective cycle counting processing, stock adjustments processing, receiving variances processes.
- Processing: the SKU number and unit of measure (UOM) cleared into bond must be the same as used in your warehouse, the WMS must be capable to send Stock on Hand (SOH) reports and DSV must be your sole customs broker in South Africa.
Any questions?
Our experts are ready to help. Get in touch and we'll find the solution you need.
