Presentation on the Impact of the Single Window on Its Trade Facilitation

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1 2014/SOM1/SCCP/005 Agenda item: 11 Presentation on the Impact of the Single Window on Its Trade Facilitation Purpose: Information Submitted by: Colombia First Sub-Committee on Customs Procedures Meeting Ningbo, China February 2014

2 The impact of the Single Window on Colombia Trade Facilitation Angela Ospina Foreign Trade Operations Deputy Director February 2014 Content SW Evolution SW Balance VUCE in Doing Business 2014 Main Challenges for

3 SW Evolution Imports Exports Digital Certificate of Origin: Mexico and Chile SW Entities Procedures Simultaneous Inspection bulk, loose, filled and cross docking export cargo BPM Implementation Simultaneous inspection for Imports Risk Management System Logistics Module FTAs Export and Import quotas Administration System: Sugar, Oil, Electric and Hybrid vehicles and leather National Production Certificates for deduction of valued added tax Automation of SW entities Simultaneous Inspection for Exports of container cargo Source: innovacion y decrecimiento.html Balance of the Single Window and Trade Facilitation Measures Institutions Involved 55,000 Registered Users 3.8 Million Operations 9 USD Million Investment by MinCIT 2

4 Impact of the Single Window and Trade Facilitation Measures Reforms Before SW ormesure Nowadays Time for approval Imports permissions Automatic license 6 Days 30 Min Time for approval Imports permissions Nonautomatic license 8 Days 1 Day Container cargo export inspections 2 3 Days 1 Day Required documents for prior permission in Imports Unique visit for free practice from different procedures and 35 different formats 2 3 Days per each port 1 Document Only one visit in the first port Exalted Features 1. Gradual approach to additional services incorporated by new agencies, through transition periods. 2. Training and direct Involvement of users in testing systems. 3. Continuous improvement of the available services. in The SW of Colombia was recognized in the DB 2014 as a best practice worldwide to facilitate trade with Singapore and Azerbaijan. 3

5 Main Challenges To automatize and rationalize more procedures of foreign trade in the SW 2. To reinforce the Policy of Trade Facilitation at ports 3. To strength the leadership of Colombian SW in the Latin America Region 1. To automatize and rationalize more procedures of foreign trade in the SW 4

6 Implementation of a BPM in the SW Since the end of 2012 a business process management system is being developed for the SW, which will allow to redesign and optimize current processes through a Business Process Manager (BPM). Operation will start in 2014 and a Risk Management System will be used for the approval of import requests. Advantages: To enhance the administration of the information and procedures. More appropriate statistics for the entities indicators. Standardization of the information in accordance with international standards to exchange information with other countries (UNECE, WCO, WTO). Management of Import and Export Quotas During 2013 Colombia implemented the automation of management of oil import quota from Argentina and Brazil, hybrid and electric vehicles and charging stations for the next three years, export quota and raw and wet blue leather and continue improving the application for the export quota administration of sugar of US in the framework of the FTA and the WTO. 5

7 Other developments for the SW entities Colombia will implement in the Single Window new developments during 2014 which will optimize and automate processes of related entities in exports: National Mining Agency Other Minerals. National Agency of Environmental Licenses Permits for depleting substances Ozone Layer. National Agency of Environmental Licenses Cites and No Cites for non commercial proposes. GD-FM-016 V4 National Production Certificates for deduction of valued added tax Heavy machinery not produced in Colombia Machinery which transform physical, chemical of mechanic characteristics of inputs Machinery for environmental conservation 6

8 Automating reports of assembly industry to the Andean Community A new application is going to administrate the presentation of reports and informs by vehicle and motorcycle assemblies and Auto parts industries to report the percentage of regional integration to the Andean Community and the relation of originate and non originate materials. 2. To reinforce the Policy of Trade Facilitation at ports 7

9 Simultaneous Inspection for bulk, flyaway, filled and cross docking export cargo in seaports. Colombia launched this year the development and implementation of a new Single Window service that will allow simultaneous Inspection scheduling by control entities of bulk, flyaway, filled and cross docking (including Bananas) cargo. Simultaneous Inspection for Imports Inordertoimprovethetimein customs clearance of goods, Colombia is receiving support from the Ministry of Information Technologies and Communications for the development of the Simultaneous Inspection Module for containerized import cargo in seaports. It is expected to launch services in

10 7 x 24 Service What have we done? The first stage of the 7 x 24 service implementation corresponds to the enlargement of attention schedules of the control entities, maritime terminals and the other users of foreign trade. Currently, this service operates in all the maritime ports. New Schedules Guaranteed Service Monday Friday 7:00 a.m. until 8:00 p.m. Guaranteed Service Saturday 7:00 a.m. until 2:00 p.m. Depends on Demand Sunday and Holydays 7:00 a.m. until 2:00 p.m. Benefits Decreases in time operation In enlarged schedules, saving of inspection cost by 80 USD in human health products and in vegetal and animal products inspection by 75 USD. GD-FM-016 V4 17 Other measures of trade facilitation at ports The Ministry of Trade, Industry and Tourism (MinCIT) has promoted public private partnerships to identify and eliminate bottlenecks in the logistics chain, optimizing processes and generating agreements for the coordinated action of entities and users of the SW. Some of the measures implemented in 2013 were: Increased rotation of containers in the inspection area per day Coordination for the use of scanner for inspections Elimination of double movements and remove inspection fees. Additionally, MinCIT began to lead a working group with the Secretaries of District Governments in order to identify further actions to improve mobility, safety and infrastructure of the port areas. In airports MinCIT initiated a coordination working group with control entities aimed at incorporating infrastructure requirements in new concessions and improving conditions of inspection areas in existing ones. 9

11 3. To strength the leadership of Colombian SW in the Latin America Region Colombia Host of the V Regional Meeting of the Inter American Network of Single Windows Initiative of regional countries with the aim of promoting the use of electronic windows as an instrument of facilitation and control trade, as well as optimize and reduce the time and costs associated with export transactions, import and transit of goods, in accordance with standards, recommendations and best practices. During 2013 Colombia was the coordinator of the normative group and have compared e Commerce laws between countries in order to find meeting points and homologation of instruments that should be used to give validity to electronic documents that are exchanged among Single Windows. The V RegionalMeeting of the Inter American Network of Single Windows will be in hold in Cartagena on May 2014, where a pilot of interoperability with Mexico would be presented. 10

12 Thank you!!! Contact information Angela Ospina E mail: aospina@mincit.gov.co 11