T S A DE SILVA Member-EDB Advisory Committee on Trade Facilitation and eBusiness November 2013

Background  SRILPRO 1980–2000 Simplification, use of UNLK Docs, Std. Codes  EDP initiatives since 1986 through SRILPRO sub-committee  ASYCUDA in 1997  EDI - eServices Company

Background-Exports  Except for Tea all major exports are free of export licensing  ASYCUDA - CUSDEC + Invoice  Shipping Shipping Note + Cargo Dispatch Note  eCO 2007 (eDocs)

Single Window ASYCUDA WORLD  Tea Board – CUSDEC + Blend Sheet  Customs and port payment/transfer of funds  Cargo Manifests  Shipping Notes (within the next three months)  Registrar of Motor Vehicles  Inland Revenue Department

Recommended Procedure Obtain information on exports in advance directly or through the Cargo Engagement Lists (CEL) Advance information on imports can be obtained through Importers/Exporters/Cargo Manifests (e.g. 10+2) All regular exporters - permitted to submit CUSDEC within 4 to 7 working days after clearance

Customs verifications Customs –examinations at the exporters premises (Tea - and eliminate submission of Blend Sheets /after cargo has been brought for loading (this would be limited to an absolute minimum) The Customs would reconcile data with Cargo Manifests & CUSDECS to ensure submission of declarations & and correctness Defaulters would be dealt with

Electronic Data All documents would carry a ‘Unique Consignment Reference (UCR) number -WCO Advance Customs Declaration would, as far as possible, combine data requirements of transport service providers, Customs, Licensing /permit issuing authorities. Cargo Dispatch data may be presented /captured through magnetic media. If not data could be transmitted to the port-gate in advance. On exports hard copies of documents would not be required but with the exception of the Packing lists, if and when cargo were to be examined by the Customs.

Benefits – Expedite becoming a trading hub – Attract FDI in manufacturing of export items requiring shorter lead-time, – Attract knowledge based employment e.g. electrical and electronics, high value agricultural products – Better administrative control – Eliminate unproductive paperwork – Reduce opportunities for bribery/corruption – Customs would transform from control to service oriented institution – Boost employment opportunities in logistics industry

Expectation The system could be implemented with the available ICT applications and human resources All remaining institutions involved in external trade to be linked to the Customs within a given period of time.

Next Step With successful implementation of the proposed system on exports, the system to be extended to imports within a given time frame extending facilities to AEO – (trustworthy importers) in order to reap the fullest benefits of the proposed changes

Steps taken A detailed (Draft) concept paper on the proposal with flow charts etc. was submitted to the Director General Customs, the Sri Lanka Export Development Board, the Ceylon Chamber of Commerce, in February 2011

Presented by T S A De Silva EDB Advisory Committee on Trade Facilitation and eBusiness