Tri-Link has helped clients reduce FTZ Merchandise Processing Fees. A Merchandise Processing Fee (MPF) is a fee assessed by U.S. Customs for most imports into the U.S., not including duty, freight, and insurance charges. The fee has a minimum and a maximum per entry, which CBP adjusts each fiscal year; check CBP’s current user-fee table for the figures. Tri-Link can help mitigate the MPFs through the following strategies and services.
Maximizing the Cap
- Identifying and capitalizing on the cap of the MPF, which is assessed at 0.3464% of the value of the merchandise being imported. Once an entry’s value is high enough, the maximum fee applies, so consolidating shipments into larger entries lowers the MPF paid per dollar of goods.
This allows a company that imports and distributes in the commerce of the U.S. to do it at a reduced cost while still enjoying a smooth process in their supply chain.
Just in Time
- Implementing the “Just in Time Concept” to realize savings.
This production strategy allows businesses to reduce inventory costs.
While companies can see significant financial savings, they also enjoy no operational delays to ensure the “Just in Time” concept.
Weekly Entry
- Using the Weekly Entry benefit allows for your company to file one entry per week with unlimited outbound withdrawals.
Only one entry is filed per week providing a pre-clearance and reconciled fee at the end of the week. This benefit capitalizes on the MPF or Merchandise Processing Fee being minimized significantly by implementing its cap. Customs Brokerage fees are also reduced due to the process as well. Goods admitted to the zone remain subject to CBP examination.
To discuss the possibilities cost savings, and other benefits available contact us.