1. Chaminda Saman Rathnayake
Assist. Superintendent of Customs
ICT Division
Sri Lanka Customs
Enhancing Efficiency & Effectiveness of The Cargo Control System of Sri Lanka Customs Using a New Decision Making Model

2. Introduction to Sri Lanka Customs
Main Functions of Sri Lanka Customs includes:
Collection of taxes, duties and other levies as imposed by the government
To ensure proper enforcement of tariff, trade and social protection policies of the state
To ensure flow of passenger, goods and related means of transport

3. Customs Systems and Procedures
Risk Management
A balanced and modern Customs administration
A measure for controls and trade facilitation
Allows compliant traders to move their goods more quickly through Customs controls: fewer documentary checks : physical examinations
Identify illegitimate trade
Provides an opportunity for the Customs administration to undertake more targeted selection : speedier clearance of goods

4. Transaction-based audits System-based audits
The Elements of the Regulatory Compliance Management Framework which Helped to Detect the Offence
Live Database
Customs Declaration Submission
Statistical Database
ASYCUDA ENGINE
Expert Inputs and Criterias by for Selection
Audit Queries Run by System Administrators
Selected Customs Declarations with Customs violations
Desk audits
Transaction-based audits
System-based audits
Fig Flowchart for System-Based Audits done by ICT Unit of SLC

5. Central Cargo Examination Division
At present there are three container cargo (FCL) examination yards namely RCT, Grayline 1 and Grayline2
The movement of these containers are controlled and monitored by using software called Cargo Control System until the cargo is released after examination at the yards.

6. Examination levels Red Channel (a) 100% Examination at specific yard
(b) Detailed examination at specified yard
Amber Channel
(a) Panel Examination at specific yard
(b) Panel examination at Importer's go-down
Green Channel
No examination

7. Introduction to Cargo Control System & Existing Problems
No System to monitor the movement of the container under Customs supervision until it is delivered to the correct consignee.
Customs gates were not updated with the “Asycuda” payment information.
Therefore Cargo Control System was introduced to monitor the container movement under the supervision of Sri Lanka Customs.
(Manage around 1000 containers per day)

8. Objective of The Project
“ Secure and Monitor the Container until it reaches the destination container terminal (Grayline I & II,RCT) in a predefined route within a given time period after it is released from the NCT Gate”

9. Existing Methodology
Proposed System will increase the Efficiency & Effectiveness of these Business Processes
Cstoms Gate Pass
Process Cusdec
Print Gate pass
Update Seal Number
Print Release Note
Release Container from NCT Gate
Yard Check-In
Yard Check-Out
Release Note

10. Proposed Methodology Tracking is done by using GPS units
Assign a GPS unit
Track Container
Update Geo-database
Yard Check-In
Order to Release
Yard Check-Out
Release Container from Yard

11. Technical Benefits of Using a GPS Tracking System for Cargo Control System
Increase the Speed of the Customs Clearance and Overall Supply Chain
Speed Document Verification
Advanced Security will avoid False Documents (Encrypted Barcodes)
Fully Automated System Updates
Prevent tampering the Seals or the Containers
Monitor Container Physical Movement
Geo-Fencing with Predefined Routes
Querying on & Post Audits on Collected Data in the and the CCTV Snap Shots
Online Surveillance Unit for Real-time Raids
User Reports for Traders/Trade Facilitation

12. Phase-I Preparing GIS Framework

13. GIS Map of Sri Lanka

16. Geo-Fencing between two Customs Points.

17. Satellite View of Colombo Port

18. Colombo Port

19. Phase-II Installation of GPS Tracking Units

20. Installation of GPS Tracking Units GPS tracking unit will include a lock. This lock can be secured with a strap seal issued by the Customs department.
The lock can be opened with a master key and the master key can be distributed among authorized officers at GraylineI & II, RCT and bonded ware houses.
This lock is attached to the door of the container.
Figure 4. Installation of Tracking Devices with a Lock.

21. Tracking unit is fixed to the door and
is locked with the bottle seal issued
by the Customs
Figure 5. Installation of Tracking Devices

22. System Architecture for the Proposed GPS enabled Tracking System

23. System Architecture of the Proposed Barcode Security Tracking System
Gate Pass Issuing Point
Cargo Control Client at NCT
RFID Assigning & Installation Point /Barcode Sticker pasting on Container
Intranet
RFIDs
Cargo Control System
Database

24. System Architecture of the Proposed Tracking System
Release Note
Gate Pass
NCT Gate Duty Point
Cargo Control Client at NCT
Intranet
Bottle Seals
GPS’s
Cargo Security Control System
RFID Reader
Database

25. System Architecture of the Proposed GPS Tracking System
GPS Satellites
GSM Mobile Service Provider
Internet
RFID Reader at Terminal (RCT,Grayline I & II)
Cargo Container
CSCS Client
GPS Tracking Unit
CSCS
Intranet
RFID Tracking Unit
CSCS Client
CSCS Client
Database
Geo-Database

26. Phase-III Trade Facilitation

27. Trade Facilitation Providing Reports to the Importers/Exporters
Real-Time Tracking Information of containers
Fast Clearance for Legitimate Traders

28. Conclusions Keeping a Tight Customs Control
Speedy Clearance/Trade facilitation
Increasing Transparency/Integrity
Reduce the Overall Customs Clearance Cost for Government and Traders
ROI
Comply with E-Government Policies and Concepts
Increase Compliance Level of Traders

29. References US Customs Official Website
Australian Customs Official Website
UK Customs Official Website
Singapore Customs Official Website
World Customs Organization Official Website
DHL Official Website ,
Environment al Systems Research Institute (ESRI) Official Website ,
E-Government policies materials published by ICTA,
Study material CCES,University of Canberra on Compliance Management & Customs Regulatory Environment

30. Questions & Comments

31. Thank You!