customs’ role in implementing wto tfa...2017/03/27  · wto tfa article 7.6. 6. establishment and...

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Chang-yeop LEE Korea Customs Service

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Page 1: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

마스터 제목 스타일 편집

Chang-yeop LEE

Korea Customs Service

Page 2: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Trade Facilitation & TRS Ⅰ

Ⅱ TRS Best Practice of Korea

Page 3: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Trade Facilitation & TRS Ⅰ

Page 4: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Expediting the movement, release and clearance

of goods, including goods in transit (Doha Declaration)

Trade Facilitation

Page 5: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Improving Economic Situation depends

highly on an Effective Trading System

Customs and WCO Role for Trade Facilitation

Page 7: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Time Release Study

Arrival

Unloading & warehousing

Preparation & Declaration

Permission Delivery

Page 8: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

TRS is a unique tool and method for measuring the actual performance of Customs activities as they directly relate to trade facilitation at the border.

TRS measures the effectiveness of procedures by Customs and OGA’s in imports, exports and in transit movements.

Where does TRS fit in?

Page 9: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Objectives of TRS

a) Identifying bottlenecks in Int’l Supply Chain

b) Assessng efficiency of new techniques

c) Establishing TF performance Measurement

e) Estimating the country’s comparative position

d) Identifying opportunities for TF improvements

Page 10: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

WTO Trade Facilitation Agreement

Page 11: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

6. Establishment and Publication of Average Release times 6.1 Members are encouraged to measure and publish their

average release time of goods periodically and in a consistent

manner, using tools such as, inter alia, the WCO Time Release Study

WTO TFA Article 7.6.

Article 7. Release and Clearance of goods

Page 12: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

WTO TFA Article 7.6.

6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the Committee

their experiences in measuring average release times,

including methodologies used, bottlenecks identified, and

any resulting effects on efficiency.

Article 7. Release and Clearance of goods

Page 13: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

TRS Best Practice of Korea Ⅱ

Page 14: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Challenges of Korea

Page 15: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Challenges of Korea

15.7

10.5

8.8

0

5

10

15

20

KOREA USA JAPAN

LOGISTICS COST(%)

Page 16: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Challenges of Korea

Page 17: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Other Gov.

Agencies

11.1Days

Carriers &

Warehouse

3.4 Days

Customs

7Hours

(0.3days)

First Time Release Survey (1997)

Total 14.8 Days

Page 18: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

• Investigation info. (‘99)

• Passenger info. (‘00)

• Post-management (‘01)

• CKM (‘01), CDW (’02)

• Internet declaration system(‘04)

• Internet Clearance portal (‘05)

• Risk Management System (‘05)

• Single Window (’06)

• Export clearance (‘94)

• Import clearance (‘96)

• Export cargo (‘97)

• Import cargo (‘97)

• Duty drawback (‘97)

Reform Measures_Paperless Customs Clearance

Page 19: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Reform Measures_Paperless Customs Clearance

Page 20: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Reform Measures_Post Audit

• Customs only concerned about right taxation

- Examination & control before clearance

Page 21: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Post Audit

Reform Measures_Post Audit

Page 22: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

KCS introduced Single Window in 2006 and participated over 50

authorities or agencies related with border procedures such as

quarantine, KFDAs and so on.

One Stop service system processing Customs declaration and OGAs’ regulatory requirements

Im/exporters

OGAs Customs

①Application

②Approval

③Import Decl.

④Approval

Im/exporters

OGAs Customs Result notification

Before After

①Application

②Import Decl. ③Approval

Reform Measures_Single Window

Page 23: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

KCS introduced AEO in 2009 and signed MRAs(Mutual Recognition

Agreement) with 13 countries including USA, Japan and China.

Reform Measures_AEO

Page 24: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Reform Measures_Risk Management

Import C/S Ⅰ Integrated

R/M System Drawback Selectivity

Review Selectivity

1996

2000

2001

2009

Cargo control (Import C/S Ⅱ)

Export C/S

APIS

Page 25: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Reform Measures_Others

24-hour unloading program at major ports

24-hour clearance system at major ports

Adopting flexible declaration system

Import declaration prior to arrival

Page 26: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Korea

China

Best practice of TRS

AEO MRA Effect by Test Operation

Page 27: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Identifying MRA benefits, bottlenecks, etc.

More than 300 companies in supply chain

Including non-AEOs

Listening expectations and opinions thr. survey

Best practice of TRS for AEO MRA Effect

Customs to Business Cooperation

Page 28: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Time for export (Measured by exporting country)

- Export declaration → Shipping → Departure Declaration

→ Shipping → Departure

Time for import (Measured by importing country)

- Arrival → Transportation → Carry-in → Import

declaration → Acceptance → Release

Arrival Unloading Carry-in to entry

Bonded transportation

In-land Carry-in

Inspection, quarantine

Clearance

Release

Best practice of TRS for AEO MRA Effect

Page 29: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Before AEO MRA

Period April ~ June

2013

Before AEO MRA

Korea Export →

China Import 10H 17M

China Export →

Korea Import 5H 10M

Period of Analysis

TRS Result

Best practice of TRS for AEO MRA Effect

After AEO MRA

August ~ October 2013

After AEO MRA

3H 54M

2H 16M

TRS Effect

6H 23M (△62%)

2H 53M (△56%)

Page 30: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Best practice of TRS for AEO MRA Effect

Page 31: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Outcome

Resolve the bottlenecks diagnosed by TRS

14.8days(’97) → 4.5days(’05) → 2.2days(’15)

0 2 4 6 8 10 12 14 16

2015년

2012년

2007년

2005년

2003년

1997년

Arrival-Warehouse Warehouse-Declaration Declaration-Approval

14.8

9.6

4.5

3.6

2.3

2.2

Page 32: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Reducing Logistics Cost

Outcome

Quality Service to the Trade Community

Increasing Customs’ soft power

Global Recognition

Page 33: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Best Practice in WCO TRS guideline Version 2

Outcome

Page 34: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Trade Facilitation

Page 35: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Transaction Cost

Page 36: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the
Page 37: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the
Page 38: Customs’ Role in Implementing WTO TFA...2017/03/27  · WTO TFA Article 7.6. 6. Establishment and Publication of Average Release times 6.2 Members are encouraged to share with the

Tools to contribute!

Thanks very much!