SIMPLE EFFICIENT RELIABLE SECURE

SIMPLE EFFICIENT RELIABLE SECURE

Background Traditionally, shipping and logistics activities relied largely on manual and paperbased processes to carry out daytoday business transactions. While the industry Introduction was able to survive on these methods, there were limitations. Some of these included the slow pace With that in mind, the need for a new and collaborative business model became evident and so Jamaica, through The Port Authority of Jamaica in partnership with Jamaica Customs Agency and key stakeholders such as the Shipping Association of Jamaica, started a search for a solution that would collectively enhance the industry while placing the country on the cutting edge of logistics globally of various processes (including goods clearance), This search has led to a reengineered and technology increased likelihood of human error and loss of vital Jamaica is an important player in the maritime and driven business process that has already advanced documentation. Other serious issues included difficulty travel industry globally and is a recognized leader in many top global ports, including Le Havre and the Port in tracking cargo movement, limitations in analysis and the Caribbean. Its growth has been influenced by its of Rotterdam. It is simple. It is efficient. It is reliable. It is planning, as well as vulnerability to manipulation and strategic geographical location, first class seaports secure. corruption. Strong regional competition aside, these and airports, strong trading partnerships and logistics limitations often resulted in lost and unrealized profits. It is the Port Community System. services. The sector is a major contributor to the Jamaican Historically, the Shipping Association of Jamaica (SAJ) economy, employing thousands of Jamaicans and has always played a leading role as an advocate for the is an indispensable part of Jamaica s economic acquisition of a Port Community System (PCS); throughout infrastructure. It is a part of a system which, in 2013, this process they have shown an unwavering commitment. was responsible for the movement of over 9.8 billion tons of cargo worth approximately US$19 trillion globally. It is an increasingly competitive sector which requires that countries like Jamaica not only keep up with their regional competitors, but also innovate and build competitive advantage. 2 3

How it works Illustration of Solution Capabilities It optimizes, manages, and automates port and logistics processes through a single submission of data, connecting transport and logistics chains. In general, a PCS provides services including: 1. Electronic handling of all logistics information and transactions regarding import, export and transhipment. Electronic handling of all logistics information and transactions regarding import, export and transhipment. 2. Centralised singleentry information exchange, with secured realtime processing and distribution. 3. Centralised singleentry information exchange, with secured realtime processing and distribution. 24/7/365 access, for roundtheclock business transactions. 4. What is a PCS? A Port Community System is a neutral and open electronic platform enabling intelligent and secure exchange of information between public and private stakeholders in the port Tracking, tracing and surveillance of cargo. The PCS is being developed and implemented by SOGET SA to fit the needs and profile of Jamaica s port community under the oversight of The Port Authority of Jamaica as primary facilitator. Its operations will be financed by moderate user fees that are among the most competitive in the world to ensure high levels of service for a long time. 24/7/365 access, for roundtheclock business transactions. Tracking, tracing and surveillance of cargo. community. It is a single window that manages all the trade, logistics and business processes that will improve the competitive position of the sea and air ports. 4 The PCS will be fully integrated with the Customs System ASYCUDA World, so that a modern and effective trade and logistics platform will be made available to the Jamaican port community. 5

Sectors To Be Affected The PCS will be implemented across the country s sea and airport communities and will cater to cargo entering and exiting the country by way of aircraft cargo operators and seafaring vessels including cargo and cruise vessels. While it will generally apply to all cargo movement in these sectors, it will also be implemented in the cruise sector for the purpose of passenger and risk management. Importance of a PCS The implementation of a PCS is an opportunity to Ultimately, the country s logistics performance and more substantially encourage and promote more efficient and so, its economy, will be greatly enhanced. The marketing effective trading practices, while reducing the net cost of and positioning of Jamaica as a major logistics hub will doing business. The intervention is timely and will enhance greatly assist in, reversing the negative perception the operations of value added logistics activities. of Jamaica s trade facilitation and logistics climate What Aspects of Logistics Will Be Affected? internationally. In this regard, Jamaica has joined the With the implementation of this system, trading processes developed world in our efforts to achieve long term Imports, Exports & Transhipment will be simplified and transparency will be improved. It will improvement in trade facilitation. The PCS will be infused within the country s trade and shipping processes. The major processes to be affected allow for the creation of linkages and the building of trade bridges with the international community. The country will include Imports, Exports & Transhipment. benefit from the ease of doing business which is expected Transhipment the shipment of goods or containers to an intermediate destination, then to another destination. to drive productivity and improve the quality of service and Imports to bring in (merchandise, commodities) from a foreign country for use, sale, processing or reexport. consumer choice. Exports to ship (commodities) to other countries or places for sale or exchange. 6 7

Who is involved? Port Community Stakeholders The trade community includes a large number of Port Authority of Jamaica stakeholders which have traditionally interacted and Airport Authority of Jamaica conducted business in a haphazard and largely manual Jamaica Customs Agency manner. This arrangement will now change with the Regulatory Agencies introduction of a centralized platform which will automate the flow of information amongst stakeholders. 8 (e.g. Ministries of Health, Agriculture and Commerce) Cargo Terminal Operators Shipping Agents Shipping Lines Air Lines Cruise Lines Cruise Terminals Freight Forwarders / Customs Brokers Truckers Bonded warehouse operators Free Zones / Special Economic Zones Importers / Exporters Trade Associations Before PCS The Jamaica Exporters Association The Jamaica Manufacturers Association The Jamaica Chamber of Commerce Small Business Association of Jamaica The Private Sector Organization of Jamaica The Shipping Association of Jamaica Jamaica Society for Customs Brokers Customs Brokers and Freight Forwarders Association Port Trailer Haulage Association The Board of Airline Representatives of Jamaica After PCS 9

How will the PCS affect Jamaicans? How will the PCS affect the Port Community? The PCS will benefit all community stakeholders by Statistics from locations globally that have implemented providing a platform built on transparency, collaboration and are using Port Community Systems: and neutrality. Such benefits include: i. across the industry. ii. general communication processes. Greater efficiency through improved business processes. iv. Increased competitiveness of industry players. v. Increased transparency and decreased corruption. 1 The average number of days from container discharge to gate out in Le Havre. b. Reduced costs associated with physical document movement and submission, information access and iii. a. Simpler, standardized means of doing business 4.5 The average number of minutes for customs clearance of goods in Le Havre. c. 40 The increase in ranking on the Doing Business Trade Across Border index for Benin. d. 68 The percentage decrease in cost of logistics business in Mauritius. e. 76 The percentage reduction in cargo dwell time in Benin. f. 90 The average percentage gain in productivity The Port Community System will improve Jamaica s competitiveness in trade, strengthen the country s trade capabilities and address the negative perceptions of Jamaica as having an ineffective bureaucratic business environment. Additionally, it will better equip Jamaica to attract investors looking for opportunities in locations which are focused on trade facilitation, with advanced logistics capabilities, streamlined trade processes and solid ICT infrastructure. It will also provide significant advantages and benefits to Jamaican businesses and individuals operating in various sectors, including agriculture, manufacturing, mining, tourism and commerce. Farmers will deliver fresher, higher quality produce to international markets ahead of competitors. The manufacturing and mining sectors will more quickly and more cheaply access raw materials and ship endproducts to international buyers. The tourism industry will also benefit from a fresher and consistent variety of fresh products. Finally, improved trade could result in broader access to products from different markets and so commerce in Jamaica could change with increases in product variety, quality, competition and innovation. With that in place, the end consumer will enjoy the benefit of better choices, better prices and better customer care. Based on the above, one can reasonably expect that the PCS will provide a platform for the growth and economic advancement of Jamaica, Jamaican businesses and the Jamaican population. for all port communities. 10 g. 98 The percentage in time saved with manifest crosschecks in Valencia. Reference: 2013 World Merchandise Exports https://www.wto.org/english/news_e/pres14_e/pr721_e.htm 11

SIMPLE EFFICIENT RELIABLE SECURE PCS Operator Department The Port Authority of Jamaica 102 112 Water Lane, Kingston. Telephone: (876) 92202908 Email: pcs_operator@portjam.com Website: www.jamaicapcs.com