WCO Regional Workshop on Strategic Initiatives for Trade Facilitation Mercator Programme March 2015
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1 SRI LANKA CUSTOMS WCO Regional Workshop on Strategic Initiatives for Trade Facilitation Mercator Programme March 2015 M. Puviharan Additional Director General of Customs
2 Silk Route 2
3 Sri Lanka Island country in the Indian Ocean Size Sq. Km in Land area Climate - tropical & warm Population 20 M Languages Sinhala & Tamil Main income source Government Taxes Important 57% tax revenue is recovered by Sri Lanka Customs International Trade represent 50%(approximately) of GDP. 3
4 Sri Lanka Customs 200 years in Service The oldest (200 years) and a key Government Institution under the purview of the Ministry of Finance and Planning. Main revenue collecting agency (57% of total tax revenue) of the Government at the border. 200 th Anniversary Commemorative Coin and Stamp 4
5 Sri Lanka Customs Automated System ASYCUDA Valuation formalities In accordance with the WTO GATT Reform & modernization program was launched in 2010 Hierarchy Director General of Customs Additional Director General of Customs 5 Positions Directors of Customs - 25 Deputy Directors of Customs - 92 Superintendent of Customs Deputy & Assistant Superintendent of Customs
6 The Administrative Structure of Sri Lanka Customs DGC ADGC [Revenue & Services] ADGC [Enforcement] ADGC [HRM] ADGC [Corporate] ADGC [Regional] Directors (5) Directors (5) Directors (5) Directors (5) Directors (5) 6
7 Automation History Started the customs automation in 1993 with ASYCUDA (Automated SYstem for CUstoms DAta) version 2.7 Upgraded to ASYCUDA ++ in Started the ASYCUDA WORLD (AW) in
8 Shipping lines Declarent E-CusDec E-manifest Automatic write off Selectivity criteria Customs intelligence ASYCUDA WORLD CusDec processing & e-payment Channel Selection
9 National Trade Facilitation Committee Sri Lankan Experience Sri Lanka Customs has a history of nearly 200 years Sri Lanka has been a member of the World Customs Organization since 1967 Sri Lanka has been a member of the WTO since 1994 SLC acceded to the RKC in
10 WTO TFA Sri Lanka A National Need Assessment Workshop was conducted in March 2014 in Colombo. Government and other agencies involved in the clearance of goods at the borders and private sector groups involved in international trade took part in the workshop. 10
11 WTO TFA Sri Lanka [contd.] An exercise of identifying commitments under category A,B & C was done. Time required for the implementation of category B commitments and Technical Assistance and Capacity Building needed for category C were ascertained. 11
12 National Trade Facilitation Committee (NTFC) National Trade Facilitation Committee was established in June 2014, as required by Article 23 (2) of the Agreement The Director General of Customs was elected as the chairperson of the committee unanimously The committee comprised 9 members who are the Heads of Agencies that play significant roles in the goods clearance processes at the borders of Sri Lanka 12
13 National Trade Facilitation Committee Members Director General of Customs Chair Person. Director General of Commerce. Director General Trade and Investment Policy Ministry of Finance Director General Health Services. Director General Department of Agriculture. Director General Sri Lanka Standard Institution (SLSI). Controller General Import & Export Control Department. Controller Exchange Control Department. Chairman Sri Lanka Ports Authority 13
14 NTFC [Contd.] Subsequently, considering the importance the private sector plays in cross border trade, the chamber representing the trading community of Sri Lanka was also made a member of the NTFC. A Technical Committee comprising representatives nominated by the Member of the National Committee was formed. A Customs Working Group was also appointed by the Director General of Customs to coordinate matters related to the agreement with the National Trade Facilitation Committee and Technical Committee. 14
15 NTFC [Contd.] The Technical Committee finalized category A, B & C commitment identified at the Workshop and recommended to the National Committee. The category A commitments were notified to the WTO on the 31 st July 2014, as commitments that would be in implementation upon entry into force of the agreement, as required by Article 15 (1). 15
16 NTFC [Contd.] Sri Lanka s Category A Commitments. Provisions Title 4.1 Right to Appeal or Review. 5.2 Detention. 6.3 Penalty Disciplines. 7.2 Electronic payment. 7.8 Expedited Shipments. 9 Movements of Goods Intended for Import under Customs Control Use of Customs Brokers Common Border Procedures and Uniform Documentation Requirements Rejected Goods Temporary Admission of Goods and Inward and outward Processing. 11 Freedom of Transit. 16
17 NTFC [Contd.] The National and Technical Committees are currently in the process of identifying specifically needed TA & CB for the implementation of the identified category C provisions Sri Lanka is also willing to assist other member Customs Administrations through WCO with its pool of WCO Accredited expert trainers, if such need arise 17
18 Sri Lanka experience on forming the NTFC Deciding the composition of the committee Selecting members. Initial discussion between The Sri Lanka Customs and the Trade Ministry. Analyzing of typical trade flows of different segments of Imports and Exports. Listing all related parties involved in different segments. Identifying main stake holders involved in the process. Incorporation of Private Sector as a member to NTFC. 18
19 Way forward NTFC to play steering role on, Identifying Category B & C commitments on priority basis. Expediting the internal ratification procedure on TFA. Ascertain the capacity building/financial needs of border agencies on category C commitments. Liaise with the donor agencies and the Government of Sri Lanka to secure necessary funding to effective implementation of category C commitments. 19
20 Thank You for your Kind Attention 20
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