This section explains how the Excise Factory Scheme works, how to apply for this scheme, the conditions for approval and the obligations of a licensee.
An Excise Factory is a designated area approved and licensed by the Singapore Customs for manufacturing dutiable goods, namely liquor, tobacco, motor vehicles and petroleum, with the Duty and GST payable suspended.
The licensed area to manufacture dutiable goods is demarcated with lines, separating it from other areas. The non-designated area of the same warehouse premises may be used for other purposes.
An Excise Factory may be operated by the manufacturer who is responsible for the security and proper control of the manufactured goods.
You may apply for a licence to operate an Excise Factory by efiling here.
Together with the application form, you are also required to submit the following documents to Schemes Promotion & Administration Branch, Singapore Customs, 55 Newton Road #07-01, Singapore 307987:
- A copy of the site plan and the lay out of the intended licensed premises.
- Questionaire for Applicants ( DOC 44kb ).
- Registration of Companies / Firms and Signatories ( DOC 454kb ).
- Application for Interbank GIRO ( DOC 325kb ). You need not submit this form if you already has an IBG account with Singapore Customs.
- Your organization chart showing the personnel in-charge of the licensed premises. The chart should contain the full names and responsibilities of your staff.
- Your latest year-end audited financial statement, if any.
- Your warehousing procedural manual on:
- the handling of in-coming goods, from the time you receive instructions from your customers/suppliers about the importation of goods, to the time when the stock records are updated;
- the handling of out-going goods, from the time you receive the delivery instructions from your customers, to the time when your stock records are updated;
- stock-taking; and
- discrepancy reporting.
The procedural manual should also include step-by-step details of the checks and counter-checks performed by your staff, including the documents prepared/generated to record the stock movements, stock-take and discrepancies discovered and other controls in place to ensure that the records are updated and accurate.
We may arrange to visit you to discuss your application. This gives us an opportunity to explain the Excise Factory Scheme and conduct a field visit of the premises, intended to be used for the excise factory. The visit also provides you with an opportunity to clarify any queries you may have about the Excise Factory Scheme.
An annual licence fee is payable upon issue of the licence.
The annual licence fee payable is as follows:
| To ferment or manufacture ale, beer, stout or porter |
$43,200.00 |
| To distill, ferment or manufacture any other intoxicating liquors |
$28,000.00 |
| To manufacture cigarettes |
$120,000.00 |
| To manufacture tobacco other than cigarettes |
$1,800.00 |
| To bottle, blend, compound or vary intoxicating liquors in accordance with section 66 of the Customs Act |
$7,600.00 |
| To refine and treat petroleum |
$75,000.00 |
| To manufacture any other dutiable goods where the goods manufactured are subject to payment of excise duty |
$30,000.00 | |
A Bank Guarantee or an Insurance Bond is also to be lodged as security. The quantum is based on the average past monthly duty of good held in the intended licensed premises.
"Average Past Monthly Duty" means the average of the total Singapore Customs duties of all good warehoused in the intended licensed premises on the 1st of each month during the period of 12 months (or, if the area has been used to warehouse goods for a shorter period, that shorter period) before the date of the application.
Responsibilities of the Licensee:
- Accountable for the dutiable goods stored in the licensed premises.
- Obtain prior approval from Customs for any structural alteration to the licensed premises and licensed area(s).
- Ensure adequate security measures in the licensed premises.
- Ensure that all entrance/exits must be secured when there is no movement of dutiable goods in the licensed premises.
- Comply with the Customs Act and Customs Regulations and other conditions imposed.
- Inventory records must be properly maintained and updated.
- Inform Customs without delay if discrepancies between the actual stock and the recorded stock were discovered at any time.
- All import, export and removal of goods from and/or to the licensed premises must be covered by relevant Customs permits electronically through the TradeNet® system.
Customs may conduct periodic audits, including spot checks on the physical stocks stored in the licensed premises.
Should you need further clarification on the Excise Factory Scheme, you may contact Singapore Customs at our Call Centre number 6355 2000 or email us at customs_documentation@customs.gov.sg.
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