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Goods entered without payment of duties are lodged in one of the bonded warehouses or entrepots-that is, a warehouse which serves for the deposit of goods for security thereof and of the duties due thereon.

The advantage that trade derives from such a system is that newly-landed goods may be kept for a considerable time unsold in a secure place, and waiting for a favourable market, be bulked, sorted, lotted, and packed, before payment of the duties due thereon, and then introduced, in the whole or by parcels, for home consumption, or removed to another warehouse or to another port of the king­dom, or exported, to suit the convenience of the merchant, to whom they cause only a trifling outlay for warehousing charges.

Not all British ports are authorized for the ware­housing of goods, duty unpaid; such ports being appointed by the Commissioners of Customs and the Lords of the Treasury. All the principal ports onty, and some of the lesser ones, have this advantage. The regulations to that effect are, however, often changed.

Removal from Warehouse.-

Goods may be taken from a bonded warehouse-

(a) For home consumption “on payment of duties.”

(b) For removal to another warehouse or port of the kingdom under bond, for security of duty payable.

(c) For exportation under bond, to make sure of the goods being really exported.

In each case a new entry must be filled up by the owner or his agent, upon which a warehouse- keeper’s order is issued by the proper officer for the delivery of the goods.

In case of removal to another port of the kingdom or for exportation, a dandy note and a pricking note are issued, the former being a delivery order to the warehouse Customs officers, the latter a shipping order to the officers on board the exporting vessel who are to witness the shipment of the outward cargo.

The two notes are often combined into one. Such documents are, however, used for the exportation of goods from the port of London. Shipping in out ports takes place on export warrants and shipping bills, as explained in next section.

Formalities for Exportation.-

The captain of a ship bound for parts beyond the seas must have her entered outwards at the Custom-house before taking any cargo on board; the shipment of goods being effected under the charge of a special officer called a searcher.

When the cargo is completed, the cap­tain is to deliver a manifest of the goods shipped, as in the case of imports, and, upon approbation, the vessel is cleared outwards, provided there be no em­bargo, or any other impediment to prevent her sailing.

An embargo is an order issued by a government or judicial authority to detain a vessel in port. During a war a general embargo is sometimes issued, prohibit­ing the departure of ships or the exportation of mer­chandise from some or all of the ports of a State.

Goods to be exported must be declared by an entry outwards or specification. Goods subject to excise or import duties must be declared on a shipping bill, and presented to searcher on board, for examination by him. The searcher is only concerned with goods liable to excise or import duties.

For goods provisionally warehoused duty unpaid, bond is to be given, as already stated, that such goods shall be duly exported and landed at the place for which they have been entered. General bond may also be given by regular exporting houses in lieu of a separate bond for each exportation.

Drawback.-

The owner of goods on which Excise or Customs duties have been duly paid when im­ported, is entitled to have such duties wholly or partly paid back when such goods are exported to parts beyond the seas.

The amount allowed on each kind of goods, called drawback, is fixed by a schedule approved by the Government. A claim for drawback must be presented before shipment of the goods, by appending to the shipping bill a declaration to that effect.

The principal advantage of the system of drawbacks is that it facilitates competition abroad by enabling home producers and merchants to sell dutiable goods on foreign markets on the same terms as if they were duty free.

The payment of drawbacks is effected by debentures, or Custom-house certificates, specifying the amount of drawback due on goods exported. Debentures are granted when the exportation of goods, duly entered to that effect, is actually completed and ascertained. They may be transferred and are re­ceipted by the holder on payment of drawback.