B7 Other Matters

B7.1 Has the authorized economic operator (AEO) scheme been implemented in your country?

Background

Some countries which are ready for cross-border data exchange may not be willing to participate in a pilot project. One of the reasons is the lack of trust on economic operators of their dialog partners. If the economic operators in the country are able to comply with AEO (Authorized Economic Operator) scheme and mutually recognized by the dialog partners, it will expedite cross-border data exchange.

Good Practices

The authorized economic operator (AEO) scheme is a programme under the support of the World Customs Organization (WCO) SAFE Framework of Standards to secure and facilitate Global Trade. The scheme aims to enhance international supply chain security and facilitate movement of legitimate goods.

An authorized economic operator (AEO) is a party involved in the international movement of goods in whatever function that has been approved by or on behalf of a national Customs administration as complying with WCO or equivalent supply chain security standards. Authorized Economic Operators include inter alia manufacturers, importers, exporters, brokers, carriers, consolidators, intermediaries, ports, airports, terminal operators, integrated operators, warehouses and distributors.

References and Case Studies

B7.1.1 (If B7.1 is yes) How extensive is the implementation in terms of the percentage of economic operators registered for the scheme?

Expected Answers
  • Description expected

B7.1.2 In general, what is the level of compliance of traders in your country (high, medium or low)?

Background

The lack of trust on traders and economic operators normally impedes trade. The level of compliance of traders in the country should be high in order to increase trust of traders in conducting cross-border trade. The country should establish and improve some schemes and measures that can improve and/or enforce the level of compliance of traders in the country.

Expected Answers
  • High (70 – 100%)
  • Medium (20 – 69%)
  • Low (0 – 19%)
Good Practices

There are some schemes or measures that can increase the level of compliance and trust of traders for cross-border trade transactions. The WCO framework of standards to secure and facilitate global trade (SAFE Framework) provides several scheme to raise the levels of trust, security and compliance among traders. One of the flagship programme of the SAFE Framework is the authorized economic operator (AEO) scheme which is a Customs-Business partnership program for secure trade.

Establishing a national trusted digital authentication scheme, e.g. national digital identification and authentication mechanism, national single window, and effective risk management can also improve the level of compliance of traders in the country.

References and Case Studies

B7.1.3 Is your country ready to sign any mutual recognition agreement for AEOs with dialogue partners?

Background

The country should assess the readiness, identify and address inhibitors for signing the mutual recognition agreement for AEOs with dialogue partners.

Good Practices

The authorized economic operator (AEO) scheme is the flagship customs-business partnership programme under the WCO SAFE Framework for secure international trade. Before signing any mutual recognition agreement for AEOs with dialogue partners, the country should establish the AEO scheme for the country first. The business traders must build their capability and improve their trust and compliance level through this AEO scheme.

With the high percentage of AEOs, the country then considers exploring the possibility of signing any mutual recognition agreement for AEOs with dialogue partners.

References and Case Studies

B7.2 Are the stakeholders and the trade community ready to accept changes arising from the re-engineered processes towards cross-border data exchange?

Background

In the preparatory stage, it is useful to assess the readiness of stakeholders to accept changes arising from cross-border data exchange.

  • Regulatory agencies
  • Agents/customs brokers
  • Traders
  • Port community
  • Financial institutions
  • Other (please specify)
Expected Answers
  • Yes - Each group of stakeholders and trade community is ready to accept changes arising from the re-engineered processes towards cross-border electronic data exchange.
  • No - Each group of stakeholders and trade community is not ready to accept changes arising from the re-engineered processes towards cross-border electronic data exchange.

Please specify which group not ready yet.

  • Regulatory agencies
  • Agents/customs brokers
  • Traders
  • Port community
  • Financial institutions
  • Other (please specify)
Good Practices

Awareness programme aims to raise understanding and also build capacity of both public and private stakeholders in several aspects of cross-border data exchange. The awareness and capacity building programme should be conducted in the early planning and also during implementation stages. These programmes could reduce anxiety and misunderstanding in each group of stakeholder and trade community.

Awareness and capacity building should be a part of change management programme to address benefits and potential challenges. It could also cover lessons learned from other countries in implementing cross-border data exchange.

References and Case Studies

B7.3 Has your country’s government budget provisioned for the transition to cross-border paperless trade data exchange?

Background

In the preparatory stage, it is useful to assess the availability of funds for any potential cross-border paperless trade project.

Good Practices

It could be helpful for the high-level policy decision makers who have the authority to grant the government budget to understand or realize the return-on-investment on the establishing of cross-border paperless data exchange. The cost of implementation and tangible/intangible benefits to traders, governments and the national economy as the whole, should be included in the analysis.

If the return-on-investment analysis including cost and the impacts of establishing cross-border paperless trade data exchange is promising, the country's government budget should be provisioned reasonably and hopefully in a timely basis.

References and Case Studies

B7.4 Is your country considering cross-border data exchange for any of the documents and related processes? (Y=Yes, N=No. Please select the top five prioritized documents).

Background

Sharing information on the country’s preferences and plan on the prioritized documents or those documents that have already been implemented for cross-border data exchange can help identify potential participants having the same or similar preferences to work together on data exchange and also on pilot projects.

Expected Answers
  1. Seaway bill
  2. (Advance) Manifest
  3. Customs transit declaration
  4. Transit bond
  5. Phytosanitary certificate
  6. Sanitary certificate
  7. Fumigation certificate
  8. Convention on International Trade in Endangered Species of Wild Fauna and Flora certificate
  9. Certificate of origin (preferential)
  10. Certificate of origin (non-preferential)
  11. Pharmaceutical certificate
  12. National standard and quality certificate
  13. ISO and other international standards and quality certificates
  14. Certificate of medical devices
  15. Certificate of electrical and electronic components, equipment and products
  16. Dangerous Goods List
  17. Material safety data sheet
  18. Letter of credit
  19. Bill of lading
  20. Invoice
  21. Packing list
  22. Import permit
  23. Others (please specify)
Good Practices

Different countries have different needs, requirements and strategies for cross-border data exchange. Therefore, top prioritized documents and data for cross-border exchange will be different.

Sharing information on a country’s preferences on the prioritized documents for cross-border data exchange can help identify potential participants having the same or similar preferences to work together on pilot projects.

References and Case Studies

B7.5 For each of the five prioritized documents identified in 7.4, please provide/specify further information on the following: document name; implementing agency; and percentage of the paperless documents and related processes.

Background

Sharing more detailed information about the country’s prioritized document could be useful for exploring possible future collaboration.

Good Practices

Different countries have different needs, requirements and strategies for cross-border data exchange. Therefore, top prioritized documents and data for cross-border exchange will be different.

Sharing information on a country’s preferences on the prioritized documents for cross-border data exchange can help identify potential participants having the same or similar preferences to work together on pilot projects.

References and Case Studies

 

Glossary
  1. According to the World Customs Organization (WCO), “an authorized economic operator (AEO)” is a party involved in the international movement of goods in whatever function that has been approved by or on behalf of a national Customs administration as complying with WCO or equivalent supply chain security standards. The WCO framework of standards to secure and facilitate global trade (SAFE)

  2. “Mutual recognition” means reciprocal recognition of the validity of trade-related data and documents in electronic form exchanged across borders between two or more countries. Framework Agreement on Facilitating of Cross-Border Paperless Trade in Asia and the Pacific (Article 3: Definitions).

  3. “Dialogue Partners” are partner nations that have worked collaboratively to achieve some initiatives’ objectives. ASEAN’s Strategy Towards Its Dialogue Partners

  4. “Cross-border electronic data exchange” in the context of trade facilitation is about exchange of trade-related data electronically across borders for better regulatory compliance and improved trade facilitation. More...

  5. “Cross-border paperless trade (CBPT)” means trade in goods, including their import, export, transit and related services, taking places on the basis of trade-related data and documents in electronic form. Framework Agreement on Facilitating of Cross-Border Paperless Trade in Asia and the Pacific (Article 3: Definitions).