About Bonded Transportation


About “Bonded Transportation” !

Explained about Bonded Transportation by Video


This video takes 5min. and 5sec. !

Hello, it’s IINO.

In this video, I would like to explain about Bonded Transportation.

I have explained the basics of Bonded Logistics, Bonded Area, and the importance of Bonded in trade several times.
Bonded transportation I will explain in this video is related to all of these, so it is knowledge that must be kept in mind.

Let’s get started !

What Bonded Transportation is

Bonded transportation is the transportation, as own foreign cargo status from designated Bonded Area to Bonded Warehouse. This might be a bit confusing.

Let me explain in more detail.

Foreign cargo refers to items that have not yet been loaded onto a ship or airplane, after obtaining an export license through customs, and items that had arrived at the port or airport of the importing country, but have not yet been approved for import declaration.

Although the cargo itself is in country, it is treated as a foreign cargo in Bonded Status. Also this foreign cargo must be placed in Bonded Area.

Bonded Area includes ports (Designated Bonded Area) and Bonded Warehouse. In the case of imports, when transporting foreign cargo that has not yet cleared import customs, from a port to designated Bonded Warehouse, it is required Bonded Transportation move the cargos still in Bonded Status.


Bonded Transportation is called OLT (OVER LAND TRANSPORT) in technical terms. This refers to Bonded Transportation by land by truck or drage.


On the other hand, the called ILT (INTER CORST TRANSPORT) which is Bonded Transportation by ship using domestic vessels.
It is used to transport container feeders and raw materials.

OLT in Thailand

In Thailand, export containers are brought in to the ICD (Inland Container Depot) called Rakkabang, and transported by OLT to Laem Chabang port, then put on a ship.

ILT in Thailand

For imports, there is the ILT, which after arriving the vessel at Laem Chabang port, unloads the container, and transports it by feeder ship to Bangkok port.

Bonded Transportation for forwarders

Bonded Transportation is very familiar with forwarders.
For example, in case time-consuming customs inspections, if you leave your cargo at the port for a long time, the free time expires, and you will be charged an excess storage fee called demurrage.

In order to avoid this demurrage, you should move the cargo, to a nearby Bonded Warehouse as Bonded Status, and then import customs clearance will be done after the inspection is completed.

In the case of LCL (consolidated cargo), cargo is brought into Bonded Warehouse called CFS (Container Freight Station), loaded into containers, and then be Bonded Transportation to a port (Designated Bonded Area).

Land Bridge Transportation between Thailand, Myanmar and the third country

I, working in Thailand, have recently been dealing with a lot of Bonded Transportation involving Myanmar. Thailand and Myanmar are neighboring countries, therefore it is possible to transport by using Thailand as a hub.

Because of the recent political instability in Myanmar, and the global shortage of containers, it is more stable to import and export cargo using Laem Chabang Port in Thailand than Yangon Port in Myanmar.

Therefore, for exports, there has been a recent increase cases, which cargo is transported by Bonded Transportation (OLT) as foreign cargo, across the border, such as Myawaddy in Myanmar or Maesort in Thailand, to Laem Chabang Port, and then transported by sea, from Laem Chabang Port to the United States or Japan.

I think to arrange this kind of combined transportation is one of the most exciting aspects of working as a forwarder.
Also, knowledge of Bonded must be kept in mind with anyone involved in trade and international logistics.


I hope you have a good understanding of this Bonded Transportation.
All the links to the relevant videos I have explained about Bonded are posted in the overview section, so please take a look at them as well.

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That’s all for this time. See you next video.

Thank you !

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