| FTWZ | BONDED WAREHOUSE | |
|---|---|---|
| Port Status | "SEZ Act Sec 53(2). FTWZ is a Deemed Port" | No Deemed Port status. |
| NFE | "FTWZ Units are required to be NFE positive under SEZ Rule 53" | "No NFE requirement by Bonded Warehouses." |
| Assessment of Duty | "Since the FTWZ is a Deemed Port the goods are NOT assessed for Duty. A Bill of Entry for home consumption is filed with FTWZ Unit for transfer of goods from Airport/ Seaport to FTWZ." | "Bill of Entry for Warehousing is filed and assessed for Duty before being permitted to move to the Bonded Warehouses." |
| Multi-Country Consolidation | "Consolidation of goods from Multi-Country permitted as per customer’s requirement. | "Consolidation of goods not Permitted |
| Duty Deferment Bond | No requirement for a double duty bond | Additional double duty bond required |
| "Movement from Customs Gateway" | "Goods are transported from customs gateway to Minerva’s FTWZ via transshipment procedure without assessment by Customs in turn decreasing Customs process lead time" | "Movement of goods into the bonded warehouse are subject to assessment at Gateway Customs" |
| Value Added Services (VAS) | Can carry out Value Added Services as provided for SEZ Rule 18 (5) | "Value Added Services are permitted, subject to Customs permission in advance of any such activities" |
| "Holding Goods on Account of Foreign Supplier / Buyer" | Permitted under SEZ Rule 18 (5) | Not permitted |
| Restricted Goods Imports | Permissible to enter the FTWZ. | Goods can enter Bonded Warehouse pending Production of import license |
| Prohibited Goods Imports | Permissible to enter the FTWZ with the Approval of the BOA | Not Permissible |
| Period of Storage | "SEZ Rule 37 permits the goods to be kept until the Validity of the Unit Holder. The goods in the FTWZ are not assessed for Duty." | "One Year, further extension allowed subject to approval from Chief Commissioner of Customs" |
| Interest on Duty | Interest on Duty not applicable | Beyond 90 Days, interest is levied. |
| Exemption from SAD | Exemption of 4% SAD against CST or VAT applicable | SAD benefit applicable as per Customs notifications for pre-packed goods only. |
| Customs Set Up | Dedicated customs setup available within the FTWZ 24x7x365 | "Dedicated customs setup could be done subject to approval from Customs office" |
| "Customs procedure for Removal of Goods" | "Hassle-Free procedure for removal of goods from FTWZ to DTA. Customs processing done within the FTWZ zone." | "All customs processing with the customs house located away from the bonded facility" |
| Compliance of Allied Acts | "Payment of duty and compliance of allied acts, only when the goods move out of FTWZ into DTA" | "Payment of duty at the time of removal of goods along with applicable interest & upon production of applicable import license" |
| Easy of EXIM Trade | "Hassle-Free Procedure for re-exports and re-import unlike standard customs procedure." | Re-imports and re-exports go through standard customs approval procedures |
| Regional Trade Hubs | "Possibility of using this facility as a regional hub. Permits operations of VMI model with Foreign Currency models" | "Cannot be used as a regional hub since, no facilities are available for export of goods and only INR transactions are permitted within a bonded warehouse." |
| Foreign Exchange | All Payments in Free Foreign Exchange | All payments in INR only. |