Posted in Operations and Supply Chain Terms, Total Reads: 778
Duty can be defined as any tax or tariff expense that has to be paid as per government regulations through customs. These duties are generally imposed on goods that are imported into the country or exported from the country.
The amount of duty levied can depend on many factors. Mostly, it is dependent on the value of the good being imported or exported, but in some cases, it also depends on the weight, size, dimensions, etc. when the goods are being transported through ships, etc.
The objective of imposing a duty on imported goods can be to increase state revenue. It can also be to make the imported goods more expensive than the domestic goods thus making the imported goods less competitive in the country.