1. WCO Framework of Standards To Secure and Facilitate Global Trade
Capacity Building Workshop on ‘International Standards to Stimulate Paperless Trade’
WCO Framework of Standards To Secure and Facilitate Global Trade
UNeDocs
A cross-domain (Trade, Transport and Customs) data model
Marianne Wong Mee Wan
Senior Assistant Director of Customs (Malaysia)
UN/CEFACT
RMC
WCO

2. Outline About WCO Evolution of Customs WCO Initiatives
WCO Framework of Standards
WCO Data Model vs UNeDocs
Moving Forward

3. World Customs Organization
Established in 1952, HQ in Brussels
To improve the effectiveness and efficiency of Customs Administrations
169 members, representing 99% of global trade

4. Evolution of Customs Customs Function Framework of Standards
Security (terrorism – shifting focus to entire supply chain)
Economic Development (trade, investment)
Protection of Society (health & safety)
Protection of Economic Interests (domestic industries)
Revenue Collection of Import Taxes

5. WCO Initiatives Security and Facilitation Programmes:
The Revised Kyoto Convention
Risk Management Guide
Application of Information and Communication Technology
WCO Data Model
Unique Consignment Reference
Time Release Study
Immediate Release Guidelines
Recommendations
WCO Framework of Standards

6. WCO Framework of Standards To Secure and Facilitate Global Trade
Background
Drawn up by High Level Strategic Group of Directors General
Accepted in principle by WCO’s Policy Commission in December 2004
Adopted by Directors General of 166 Customs Administrations in June 2005
Objectives
Establish standards to secure and facilitate global trade in the supply chain
Enable integrated supply chain management for all modes of transport
Enhance the role, functions and capabilities of Customs
Strengthen co-operation between Customs administrations
Strengthen Customs/Business co-operation
Promote the seamless movement of goods

7. WCO Framework of Standards To Secure and Facilitate Global Trade
4 Core Elements
Harmonizes the advance electronic information on inbound, outbound and transit shipments (using WCO standard Data Model for electronic Customs messaging)
Application of risk management approach to address security threats
Outbound inspection of high-risk consignments being exported, preferably using non-intrusive detection equipment such as large-scale X-ray machines and radiation detectors
Customs will provide benefits to businesses that meet minimal supply chain security standards and best practices

8. WCO Framework of Standards To Secure and Facilitate Global Trade
The Two Pillars of the Framework
Customs-to-Customs Pillar
Integrated Supply Chain Management
Cargo Inspection Authority
Modern Technology in Inspection Equipment
Risk-Management System
High-risk Cargo or Container
Advance Electronic Information
Targeting and Communication
Performance Measure
Port Security Assessment
Employee Integrity
Outbound Security Inspection
Customs-to-Business Pillar
Partnership
Security
Benefits
Technology
Communication
Facilitation

9. WCO Data Model vs UNeDocs
What is WCO Data Model?
What is UNeDocs?

10. WCO Customs Data Model
WCO Customs Data Model(WCO CDM) is originated from the G7 data set which was handed over to the WCO in January 2002
WCO CDM containing the G7 data sets, the G7 EDIFACT message specifications, the G7 code lists, and the Kyoto Customs Data Principles was adopted as version 1.0 in June 2002
WCO CDM was reexamined and updated to version 1.1 to include data necessary to identify high-risk goods (completed – June 2003)
WCO CDM was updated to version 2.0 based on international standards to include data pertaining to transit and transport requirements only
Other Government Agencies’ requirements too complex (deferred to version 3)
WCO CDM version 2.0 was endorsed by the WCO Council in June 2005

11. WCO Customs Data Model…cont.
Content of WCO CDM version 2.0
Revised Kyoto Convention Models
Business Process Models
Use Case diagram, Use Case description, Activity diagram, Sequence diagram and Class diagram
Framework with sets of standardized and harmonized maximum data requirements (264 data requirements)
Standard electronic EDIFACT message
EDIFACT Message Implementation Guidelines (MIGs)
XML schemas

12. WCO Customs Data Model…cont.
3 distinguish features of WCO CDM Version 2.0
Adoption of UMM (UN/CEFACT Modeling Methodology) and UML (Unified Modeling Language)
Inclusion of goods transit information
Inclusion of conveyance information
WCO CDM version 2.0 has incorporated the UCR (unique Consignment Reference, WCO ID 016)
To provide continuity of the audit trail from source to destination
Maximum field length is 35 characters (an..35)
UMM (UN/CEFACT Modeling Methodology)
Methodology sets out a process to ensure consistency and enables CEFACT groups to adopt a common approach
Based on customizing the Unified Process Methodology
UML (Unified Modeling Language)
The language to express the model management, behavior and structure diagrams
Based on the Revised Kyoto Convention (simple business process model), use case diagram, case description, activity diagram, sequence diagram and class diagram
From Customs point of view, the UCR is intended to provide continuity of the audit trail from source to destination to facilitate the move to more audit-based controls.

13. WCO Data Model version 3.0.
WCO Data Model takes into account the Single Window Concept (data requirements and reducing redundancies)
Scope of WCO Data Model version 3.0
Deferred DMRs from version 2.0
Customs Transit
Response
Ongoing alignment with CEFACT Core Component Technical Specification (CCTS), United Nations Trade Data Elements Directory (UNTDED) and to work towards the full engagement of trade/transport
Review and resolve inconsistency (e.g data elements from a paper environment)
OGA/PGA
Only processes directly related to the clearance of goods, means of transport and crew
at least health and agricultural (national and international)
No license/permit application/request/approval processes

14. UNeDocs
Based on the concept of a cross-domain (Trade, Transport and Customs) data model, known as the UNeDocs Master
Based on international standards including the UN/CEFACT Unified Modelling Methodology,UN Trade Data Element Directory (UNTDED) and other global instruments
Shares that alignment with the WCO Data Model
A superset of data elements used within the international purchase and supply chain
Syntax independent and can be used to produce documents in paper, EDI or XML formats
The WCO data set has been included within UNeDocs
Importers will be able to exchange WCO information electronically using UNeDocs XML transactions  create local Customs declaration
Will include additional regulatory requirements (e.g permit, licenses) when this information becomes available in WCO Data Model version 3.0

15. WCO Data Model UNeDocs
Adopting International standards such as UN/CEFACT Unified Modelling Methodology,UN Trade Data Element Directory (UNTDED) and other global instruments
Data elements used within the international purchase and supply chain
Taken into consideration security, trade facilitation and Single window Approach
Will include regulatory requirements (e.g permit, licenses)
WCO data set a sub-set of UNeDocs
Exporters and importers will be able to exchange WCO information electronically using UNeDocs XML transactions  create local Customs declaration

16. Moving Forward
WCO established the Framework as a minimum set of standards; members have to implement; 120 members signed letter of intent
Implementation in phases; WCO assistance in capacity building, diagnostic studies, funding opportunities, pool of experts
G8 countries and APEC economies have agreed to implement WCO Data Model, where possible.
Customs Administrations of UK, US, Canada, India, Japan, Australia, Chinese Taipei have already begun to move towards full implementation of the WCO Data Model and others are moving in
WCO is involved in UNeDocs project through the TGB4 Customs Domain working group and will work closely with the UneDocs team in a collaborative manner towards integration of the WCO Data Model and UNeDocs

17. Thank You