Q 2. DR.

MORSI

SPECIAL CUSTOMS SCHEMES:

 Customs are one of the regulation the Gov. use to control the flow of goods going in and
out of the country
 Special Customs Schemes are against General Customs Schemes.
 The General Customs Schemes : any imports are liable to tariffs unless otherwise stated.
To protect domestic industries from more efficient or predatory competitors from
abroad.
 Any exports are not liable tariffs unless otherwise stated. To increase our competiveness
and our share in international markets.

The special schemes are another methods to increase our benefits, we may sacrifice the tariffs
for economic or social objectives.

E.g., Transit goods, Warehouses, Free zones, Drawback , and Temporary permissions

Choose only one of the following schemes

1. Transit  Goods

Transit goods mean the goods that are shipped from abroad, transported through land routes
within Egypt’s territory, and shipped to overseas under customs control.

Under the transit procedure goods are transported without having been cleared, that is, while
under a waiver(‫) تنازل عن‬of import duties that are, in fact, payable. As this involves a certain
risk of non-payment of duty, the goods are moved under Customs supervision. Consequently,
so that the goods do not remain within the customs territory of the Egypt without customs
clearance, a security must be lodged for each shipment, and there is a requirement that the
goods being moved are presented (or handed over) at the customs office of destination within
the stipulated period without having been altered in any way.

I believe this method is good for Egypt for the following reasons:

 Augmentation of the performance and efficiency of the transit procedure

 Better prevention and discovery of fraud

 Acceleration and better coverage of steps made in the frame of a transit procedure.
Customs warehousing:

A customs warehouse allows traders to store goods with duty or import VAT payments
suspended.

Types of warehouse

There are 2 types of customs warehouse:

 public warehouses - operated by a warehouse-keeper to store goods deposited by other

traders

 private warehouses - operated by an individual trader who acts as depositor and

authorized warehouse-keeper for the storage facility, they do not need to own the
goods, but must be the depositor

Warehouse-keeper responsibilities

 meet the conditions for authorization.

 check goods when they arrive and record any shortages or surpluses.
 set up stock records for goods and keep them secure.
 keep stock records for at least 4 years.
 give customs officers access to the warehouse, goods and records.
 run the premises safely and make sure the warehouse meets health and safety
standards.

Depositor responsibilities

Traders who place goods into a warehouse are known as the depositor.

 Accurately declare the goods entered into the warehouse.

 make sure the goods go straight to the warehouse shown on the declaration - within 5
days of your customs declaration being cleared
 give the warehouse-keeper details of the declaration and explain any differences found
between the goods deposited and the declaration.
 make sure the warehouse-keeper is authorized to store the type of goods you want to
deposit
 make sure of accurately declare goods when they’re removed from the warehouse
 responsible for any customs debt from declaration errors.

The main advantage of this method is goods can be stored in a Custom Bonded Warehouse up

to five years without having to pay VAT or other custom duties.
Deferring this cost until it is time for the goods to be removed or sold and reducing the financial
burden on the business.

Once goods leave the warehouse, duty must be paid unless they’re re-exported or move to
another customs procedure.

Official supervision and checks can be effected without the need for an administrative system.