Standards for establishing and operating a general Customs bonded warehouse

1. Introduction

Warehousing is the practice or business of storing, holding and handling goods in a warehouse. A Customs Bonded warehouse is a warehouse licensed by the Commissioner of Customs for the storage of goods imported into the (EAC) region pending the payment of duties. The goods are stored in the joint custody of the bonded warehouse keeper and Customs (EAC Secretariat).

2. Basis of the standards

These standards and requirements are based on the provisions of Sections 62, 64 and 65 of the East African Community (EAC) Customs Management Act, 2004 as amended to date, and on Sections 74 - 81 of the EAC Customs Management Regulations 2010.

In order to be licensed as a general (public) Customs bonded warehouse, the following standards must be fulfilled:

A. Standards and requirements relating to premises:

1. Built (inside) floor warehouse space of at least 5,000 square meters exclusively for warehousing of goods, and a parking space of at least 1,000 square meters or such adequate parking space commensurate with the operations of the premises as the licensing authority may deem fit. This standard is aimed at ensuring that an established warehouse can reasonably address general (public) warehousing needs, and improved cargo handling practices that ensure required hygiene, quality and safety of various types of goods.

2. Suitable offices to accommodate customs officers, customs agents and banking services.

3. Storage area inside the warehouse and a parking yard made of rigid floors/pavements, tarmacked or made of concrete finishing.

4. Premises well secured with a perimeter fence of at least two (2) meters high with barbed wires on the upper/top part of the fence, CCTV cameras, and a good lighting system.

5. Premises equipped with a firefighting system commensurate with the size of the facility.

6. One (1) entry and exit gate.

7. Proof of ownership of the premises or rental contract whose duration is longer than the duration of the license applied for.

B. Standards and requirements relating to equipment:

8. Appropriate warehouse racks for efficient space use, and improved hygiene, quality and safety standards in cargo storage.

9.    A weighbridge and other weighing equipment approved by the competent authority.

10. Elevating equipment, machines and materials such as cranes and forklifts.

11. A computerized system capable of integration with the Customs electronic system for recording of entries and reporting.

12. Sufficient pallets for safe movement and handling of goods.

C. Standards and requirements relating to operations:

13. Availability of guarding services to ensure security and controlled access to the premises.

14. Insurance for the goods inside the customs bonded warehouse.

15. Proper locks and keys for securing the doors of the Customs bonded warehouse. 16. A proper procedure that ensures orderly entry and exit of goods and trucks.

17. Availability of labor and materials to support verification, sorting, packaging, and general handling of goods.

18. Payment of a one (1) year operating license fee of one thousand five hundred dollars (USD 1,500).

D. Standards and requirement for medical products

1. Cleaning SOP (Cleaning programmes, Cleaning Records)
2. Demarcation in the warehouse for different items (Pharmaceutical, food products, cosmetics and household chemicals)
3. Pest control measures (Pest control Map, Records, pest control company, fumigation, spraying, fogging)
4. Enough Toilets and washing rooms for both gender depending on their number
5. Waste management (waste transport company agreement to ensure incineration and disposal of unfit products) 
6. Reserved place for quarantined products
7. Storage conditions monitoring devices (Hygrometer, Thermometer)
8. Cleaning tools (Mops, Bucket, squeegee, Bloom)
9. Pest control devices (Bait stations, Mechanical Trap, rodenticides)
10. Cold storage facilities if applicable as well as Air conditioner well ventilated