Malaysian Government Transformation Towards Effective Supply Chain Management: The Case of IT Based Trade Facilitation Erne Suzila Kassim Universiti Teknologi MARA, Malaysia Fazidah Abu Bakar NSW Section Ministry of Finance, Malaysia
Single Window For Trade Facilitation The simplification and harmonisation of international trade procedures where trade procedures are the activities, practices and formalities involved in collecting, presenting, communicating and processing data required for the movement of goods in international trade - WTO
Enabling a secure, safe and efficient electronic exchange of traderelated documents through a single point of entry in order to expedite the smooth flow on information and goods for import, export or transit Simplifying, standardising and harmonising trade processes and thereby enhancing trade efficiency and national competitiveness Facilitating the exchange of international trade data through the NSW via seamless connection or integration with the ASEAN Single Window (ASW) and/or its other trading partners
Development 1994 Dec 2005 Dec 2006 Dagang Net Technologies (DNT) was appointed as Value Added Network (VAN) service provider - Customs Information System (CIS) -Dagang*Net Interface Project ASEAN Economic Community (AEC) 2015 Blueprint was developed - Leverage on ICT to facilitate Trading Across Border (TAB) using Single Window approach (national and regional) ASEAN Single Window (ASW) Protocol was signed to enable effective ASW implementation ASEAN member states must implement NSW Apr 2007 All relevant Government agencies were directed to participate in NSW initiatives Feb 2008 Ministry of Finance was appointed as the NSW lead agency Sep 2009 Dagang Net Technologies was appointed as NSW service provider using Build, Own & Operate (BOO) Business Model
Implementation A one-stop trade facilitation system linking relevant governments and trading communities and also other various businesses involved in global trade and logistics. Shipping community system facilitate submission of manifest from the port users to the respective authorities Customs declaration system that facilitates the preparation and submission of customs declarations Certificate of origin application and approval system that certifies the country of origin of a particular product 6 Core Services Duty payment service that enables preparation and submission of duty payment to Customs. Permit application system for Strategic Trade Act 2010 (STA 2010) that enables application and approval of pre-registration and permits under the purview of the STA 2010 Import, export & transshipment permit applications system to relevant Permit Issuing Agencies
SINGLE WINDOW FOR TRADE FACILITATION World Bank Doing Business Report 2014 in Trading Across Borders (TAB) and Ease of Doing Business (EoDB) Trading Across Borders -- Requirements per shipment/container Economy TAB Rank Docs Export Time Export (days) Costs Export (USD/cont ainer) Docs Import Time Import (days) Costs Import (USD/cont ainer) EoDB Rank Singapore 1 3 6 460 3 4 440 1 HK SAR, China Rep. of Korea 2 4 5 575 4 5 565 2 3 3 7 665 3 7 695 7 UAE 4 3 7 655 5 7 615 23 Malaysia 5 4 11 450 4 8 485 6
Way Forward COMMUNITY LEVEL NATIONAL & REGIONAL LEVEL REGIONAL & INTERNATIONAL LEVEL Customs Declaration, Duty Payment + Permits Issuance, Sea Manifest + Preferential Certificate of Origin, Permit Payment, Pilot NSW-ASW Exchange, STA Permit Issuance + Air Manifest, Free Trade Zone Declaration, Dangerous Goods Declaration, Vessel Clearance, Non-Customs Permit, Non-Preferential Certificate Of Origin, other related services RMCD, Banks + OGAs + Port Authorities, other Banks, potential OGAs + Free Zone Authorities, Airport Authorities, Chamber of Commerce, potential OGAs 1995 2005 2009 2015
Conclusion PLAN PROCESS Roadmap and Strategies Controllable, Achievable, Accountable, Measurable & Positive Analysis and Improvement Simplification, Standardisation & Harmonisation PEOPLE Governance, Acceptance & Commitment Attitude, Skill & Knowledge PLATFORM Infra & Info Structure Interoperability, Availability, Scalability, Security & Reliability