Foreign Trade Zone Cost Advantages in Brief
The federal government’s long-standing Foreign Trade Zone Program provides many little-known import/export benefits for a wide range of business applications.
By deferring, reducing, or eliminating customs duties, qualified companies can improve cash flow, lower inventory cost, and improve their bottom lines. By speeding the movement of merchandise via FTZ procedures, including direct delivery, weekly entry/export, and zone-to-zone transfers, companies can be more competitive, removing critical hours or days from their delivery cycle. FTZs usage also enables companies to reduce inventory levels and to consolidate transaction reporting and costs.
While overall duty rates have decreased over time, trade complexities and associated costs have increased, thereby increasing the value of FTZ program benefits.
Implementing foreign trade zone benefits starts with a successful federal application but doesn’t end with an approval. FTZ activation and operation are fundamentals to success, requiring in-depth knowledge of inventory control. Selection and implementation of inventory control methodology are essential to the optimization of FTZ benefits.
RGFTZS provides the expertise necessary for success and a solid track record assisting companies through the application process, activation period, and continuing FTZ operations. Contact us at your convenience for a presentation, including a savings analysis specific to your company.