마스터제목스타일편집. Chang-yeop LEE. Korea Customs Service

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1 마스터제목스타일편집 Chang-yeop LEE Korea Customs Service

2 Ⅰ Trade Facilitation & TRS Ⅱ TRS Best Practice of Korea

3 Ⅰ Trade Facilitation & TRS

4 Trade Facilitation Expediting the movement, release and clearance of goods, including goods in transit (Doha Declaration)

5 Customs and WCO Role for Trade Facilitation Improving Economic Situation depends highly on an Effective Trading System

6 Customs and WCO Role for Trade Facilitation Examples of WCO tools RKC SAFE FoS SW Compendium Data Model GNC RM Compendium PCA Guidelines Time Release Study Guide Customs Business Partnership Transit Handbook CBM

7 Time Release Study Arrival Unloading & warehousing Preparation & Declaration Permission Delivery

8 Where does TRS fit in? 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.

9 Objectives of TRS a) Identifying bottlenecks in Int l Supply Chain b) Assessng efficiency of new techniques c) Establishing TF performance Measurement d) Identifying opportunities for TF improvements e) Estimating the country s comparative position

10 WTO Trade Facilitation Agreement

11 WTO TFA Article 7.6. Article 7. Release and Clearance of goods 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

12 WTO TFA Article 7.6. Article 7. Release and Clearance of goods 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.

13 Ⅱ TRS Best Practice of Korea

14 Challenges of Korea

15 Challenges of Korea 20 LOGISTICS COST(%) KOREA USA JAPAN

16 Challenges of Korea

17 First Time Release Survey (1997) Carriers & Warehouse 3.4 Days Other Gov. Agencies 11.1Days Total 14.8 Days Customs 7Hours (0.3days)

18 Reform Measures_Paperless Customs Clearance Investigation info. ( 99) Passenger info. ( 00) Post-management ( 01) CKM ( 01), CDW ( 02) Export clearance ( 94) Import clearance ( 96) Export cargo ( 97) Import cargo ( 97) Duty drawback ( 97) Internet declaration system( 04) Internet Clearance portal ( 05) Risk Management System ( 05) Single Window ( 06)

19 Reform Measures_Paperless Customs Clearance

20 Reform Measures_Post Audit Customs only concerned about right taxation - Examination & control before clearance

21 Reform Measures_Post Audit Post Audit

22 Reform Measures_Single Window 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 Before After Im/exporters Im/exporters 1Application 3Import Decl. 1Application 2Import Decl. 3Approval 2Approval 4Approval OGAs Customs OGAs Customs Result notification

23 Reform Measures_AEO KCS introduced AEO in 2009 and signed MRAs(Mutual Recognition Agreement) with 13 countries including USA, Japan and China.

24 Reform Measures_Risk Management Import C/S Ⅰ Cargo control (Import C/S Ⅱ) Drawback Selectivity Integrated R/M System Export C/S Review Selectivity APIS

25 Reform Measures_Others Adopting flexible declaration system Import declaration prior to arrival 24-hour unloading program at major ports 24-hour clearance system at major ports

26 Best practice of TRS AEO MRA Effect by Test Operation Kore a Chin a

27 Best practice of TRS for AEO MRA Effect Customs to Business Cooperation More than 300 companies in supply chain Including non-aeos Identifying MRA benefits, bottlenecks, etc. Listening expectations and opinions thr. survey

28 Best practice of TRS for AEO MRA Effect 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 Clearanc e Release

29 Best practice of TRS for AEO MRA Effect Period of Analysis Period Before AEO MRA April ~ June 2013 After AEO MRA August ~ October 2013 TRS Result Before AEO MRA After AEO MRA TRS Effect Korea Export China Import 10H 17M 3H 54M 6H 23M ( 62%) China Export Korea Import 5H 10M 2H 16M 2H 53M ( 56%)

30 Best practice of TRS for AEO MRA Effect

31 Outcome Resolve the bottlenecks diagnosed by TRS 14.8days( 97) 4.5days( 05) 2.2days( 15) 1997 년 년 년 년 년 년 Arrival-Warehouse Warehouse-Declaration Declaration-Approval

32 Outcome Reducing Logistics Cost Quality Service to the Trade Community Increasing Customs soft power Global Recognition

33 Outcome Best Practice in WCO TRS guideline Version 2

34 Trade Facilitation

35 Transaction Cost

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38 Tools to contribute! Thanks very much!