Dubai Customs' new warehouse system gets first client

Global Shipping and Logistics firm receives licence and benefits.
Customs, NEWS


Global Shipping and Logistics (GSL) became the first Public Customs Warehouse Operator after receiving a licence from Dubai Customs.

This is line with the customs procedure specified by the Common Customs Law of the GCC States for depositing imported goods by companies under customs control without payment of customs duties until sold in the local market or re-exported outside the country. The goods are subject to a bank or cash guarantee against the payable customs duties or any fees or other service charges, including fines if applicable to the deposited goods. There are currently two types of customs warehouses namely: private customs warehouses and public customs warehouses.

The license was handed over at the Dubai Customs main building in the presence of Yousef Al Sahlawi, senior executive director of corporate affairs and Khalid Al Sherawi, chief executive officer of Global Shipping & Logistics.

Sahlawi said: “We are pleased to have GSL as the first Public Customs Warehouse Licensee, to accept goods deposited by other companies.”

The number of customs warehouses is expected to increase as Dubai Customs introduces the service within the business and logistics community and creates awareness about the benefits that customs warehouse operators may gain.

Traders, shipping companies, auto agencies and import and export companies can benefit from both types of customs warehouses by submitting an online application via the Dubai Trade Portal or Dubai Customs website. The licensing process will not exceed five business days - subject to the required conditions being met.

Dubai Customs earlier conducted an introductory workshop on customs warehouses for 100 import, export and re-export companies operating in the UAE. The workshop was organised as part of a series of workshops that focus on procedures for obtaining licenses to establish customs warehouses, and benefits provided by these warehouses.

“Such procedures are carried out under customs supervision through the Customs Warehouse Electronic Inventory. It is also conducted to validate the contents of consignments based on the customs warehouse declaration prepared for the deposited goods and the customs warehouse exit declaration for goods taken out from the warehouses as per the required customs procedure [for the local market, re-export or depositing in free zones],” said Al Sahlawi.

“Customs warehouses are important for Dubai Customs as they facilitate supervision over deposited goods where Dubai Customs may reconcile the imported goods with those being re-exported outside the country together with their role in generating revenue,” he added.

The licensing and renewal of private warehouse license fees cost Dh25,000, while public customs warehouses fees are Dh150,000. Wider expansion in these warehouses will boost import activities because it helps traders clear their goods at the customs ports without paying direct customs duties. It also allows them to store their goods in the customs warehouses for a period of two years, with an option to extend it for a third year until it is made available for local consumption or re-exported outside the country.


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