1. Teresa Alvaro Director – Central Service Technology for Innovation Teresa Alvaro Director – Central Service Technology for Innovation e customs.it Facilitating International Trade Rome, February 1 st, 2008 Facilitating International Trade Rome, February 1 st, 2008

2. Customs in the European Union 27 Customs administrations operating within one Community legislative framework 27 Customs administrations operating within one Community legislative framework

3. Protect the security Protect the security and safety of citizens Protect the Community/nationalbudget controlsspeed Facilitate legitimate trade Foster the competitiveness of enterprises The Mission of Customs in a Globalized Environment To strike the balance between effective controls and smooth trade flows.

4. The Balance Simplify and speed up customs procedures by exploiting the opportunities offered by the latest technologies to reduce costs and times for citizens and enterprises. Ensure the regularity and smoothness of international trade through selective controls targeted at illicit trade, frauds and counterfeiting. controls speed

5. How can we strike the balance? The strategies to develop ICT services are defined in close co-operation with the competent EU bodies Within e-Europe, the recently published ecustoms Decision identifies the enhanced used of ICT as the key tool to simplify customs procedures, optimize control capacities and reduce costs for traders and public administrations. The strategies to develop ICT services are defined in close co-operation with the competent EU bodies Within e-Europe, the recently published ecustoms Decision identifies the enhanced used of ICT as the key tool to simplify customs procedures, optimize control capacities and reduce costs for traders and public administrations.

6. ecustoms By 2010 the electronic integration of all EU national customs systems shall be completed and customs operations shall no longer be on paper. The actions to be taken are set out in the MASP (MultiAnnual Strategic Plan) – the Community plan for the implementation of ecustoms. The political agreement contained in the ecustoms Decision commits the European Commission and the Member States to the progressive implementation of a Europe-wide paperless Customs environment. The modernization of the Customs Code defines the legal basis supporting the new procedures. Between 2003 and 2007 the E.U. has allocated over 100 mln Euros. Between 2007 and 2013 over 300 mln Euros have futher been assigned.

7. A.I.D.A. Automazione Integrata Dogane Accise e customs.it The Italian ecustoms solution

8. A.I.D.A. has been implemented through: a parallel process of computerization and re-engineering of service processes and of the relevant activities, to customise them to the needs and simplification opportunities offered by ICT; single-window/one-stop-shop (integration of processes and unification of controls) on-line training/information; telematic access extended to the services provided and to the information processed. a parallel process of computerization and re-engineering of service processes and of the relevant activities, to customise them to the needs and simplification opportunities offered by ICT; single-window/one-stop-shop (integration of processes and unification of controls) on-line training/information; telematic access extended to the services provided and to the information processed. HOW

9. A.I.D.A. - An Interactive System Connecting Traders and Public Bodies Excise Customs Companies Users Traders P.A. Government Other bodies European partners EU Customs EDI INFO PROCESSING REPORTS Regional Customs Offices Chemical Labs INFO It offers an on-line customs-clearance service in which controls are integrated; it sends out information drawn from customs documents to national and Community bodies and administrations.

10. AIDA: Main Functions and Some Figures over 400 offices about 10,000 customs staff 600.000 declarants (WITHIN/OUTSIDE the EU) 11.000.000 SAD – 21.000.000 INTRA It processes in real time over 10 mln customs declarations a year (all customs procedures are computerized). Only 4% of declarations are lodged on paper. Quality and quantity of goods, value, means of transport, country of provenance and destination are some of the data acquired and then used to monitor and analyse trade flows. These data are sent through the web to the other bodies involved, such as the National Institute for Statistics or the State General Accounting Department. Clearance of export/transit procedurs at the traders premises are totally computerized. Electronic documents with digital signature have replaced paper documents.

11. Ministry for economic development Ministry of public health Ministry for agriculture and forest policy Ministry for infrastructure and transport …sanitary and veterinary… …CITES… …marks, quality and security of products… …certifications…... AGRIM, AGREX... …armament authorization… Ministry for foreign affairs The Complexity of Operation Up to 73 documents per customs declaration, released by over 20 bodies Ministry forl international trade

12. Single Window SW works as a catalyst for the integration of processes, the circulation of information among different administrations and the uniformity of action of Public Administrations towards citizens and enterprises. The single-window legal framework: 2004 budget Law (Law 350/2003, art. 4, par. 57 e 58) Regulation 648/2005 of the European Parliament and the Council The single-window legal framework: 2004 budget Law (Law 350/2003, art. 4, par. 57 e 58) Regulation 648/2005 of the European Parliament and the Council As stated in REC. 33 UN/CEFACT, the WCO defines SW as: a form of facilitation that allows... to lodge information and documents at one single point of entry, to meet the regultory requirements prescribed for imports/exports/transit

13. Customs clearance Authorizations … Ordinary procedure At the traders premises SAD: coded information Services ID-codes of supporting documents TARIC codes Provenance of the goods Destination of the goods Single window From Document Dematerialization to Process Digitalization and customs clearance

14. SAD: coded information ID-codes of supporting documents TARIC codes Provenance of the goods Destination of the goods On-line verification of the documents accompanying the declaration Min. Foreign Affairs Min. Defence CITES Single window From Document Dematerialization to Process Digitalization and customs clearance

15. SAD: coded information ID-codes of supporting documents TARIC codes Provenance of the goods Destination of the goods the list of supporting documents is derived from the data in the declaration Min. foreign affairs Min. Defence CITES Single window From Document Dematerialization to Process digitalization and customs clearance The single window approach is key to reduce the complexity of operation. Certificates/documents are controlled on-line by acceding the data-bases of the releasing authorities. The IM/EX interoperability project is a single-window model that can be extended to all other administrations: Customs, Min. Int.l Trade and traders can check the state of certificates on-line.

16. The Control Policy Continuous analysis of trade flows Computerized risk management Computerized risk management Other AFIS VIES RIF interne t Collection, evaluation and connection of all available information Control level Customs The skyrocketing of trade has led to the adjustment of control systems through the latest technologies in view of the computerized management of risks

17. The Control Policy Evaluation of the subjective risk of each operation to favour reliable traders White list Black list

18. Computerized Risk Management The computerized risk management addresses customs declarations to 4 control channels (green, yellow, orange, red) according to their matching precise risk profiles developed by combining some of the data in the declarations (origin, provenance, type of goods...) Subjective profiles (WHITE/BLACK LIST) decrease or increase the risk level. Through an AUDIT procedure, companies can obtain the certification of their reliability rate (AEO model), which is linked to a customised control level. The computerized risk management addresses customs declarations to 4 control channels (green, yellow, orange, red) according to their matching precise risk profiles developed by combining some of the data in the declarations (origin, provenance, type of goods...) Subjective profiles (WHITE/BLACK LIST) decrease or increase the risk level. Through an AUDIT procedure, companies can obtain the certification of their reliability rate (AEO model), which is linked to a customised control level. GREEN = Computerized control - YELLOW = Documentary control ORANGE = Scanner control - RED = Physical inspection AEO

19. Computerized Risk Management Risk profiles are regularly evaluated/ amended according to the outcome of controls (all control results are entered in the system) The system is fed back through the results achieved, in order to increase the effectiveness of controls.

20. PONTE CHIASSO MILANOVENEZIA TRIESTE GENOVA SAVONA LA SPEZIA BOLOGNA RAVENNA LIVORNO ANCONA CIVITAVECCHIA SALERNO NAPOLI PORTO NAPOLI TERRA BARI BRINDISI TARANTO GIOIA TAURO CATANIA PALERMO TRAPANI CAGLIARI FLAGTYPE OF SCANNER Silhouette 300 Silhouette 300 + CAB 2000 SCANNER CONTROLS 28 networked scanners located at the major national ports and interports to perform non-intrusive controls on containers and means of transport. This type of control can be self-sufficient or lead to the physical inspection of the goods, including sampling for chemical analyses. SCANNER CONTROLS 28 networked scanners located at the major national ports and interports to perform non-intrusive controls on containers and means of transport. This type of control can be self-sufficient or lead to the physical inspection of the goods, including sampling for chemical analyses.

21. The MATRIX Control Centre RX Source Incident ray CONTAINER CONTENT SILHOUETTE LOCAL SERVER (CENTRAL ADM.) WEB CONNECTIONCONCENTRATOR LOCAL OFFICESLOCAL OFFICES CENTRECENTRE NETWORK SCANNER TRADERS Scanning images are sent to the MATRIX control centre to feed the reference data-base used to enhance and support the analysis of further images. Scanning images are sent to the MATRIX control centre to feed the reference data-base used to enhance and support the analysis of further images.

22. Fully Automated Logical SysTem Against Forgery Fraud Fully Automated Logical SysTem Against Forgery Fraud

23. Company record Product record Request for intervention RECOGNIZE genuine products complying with quality and security standards. IDENTIFY counterfeit products and fraud strategies. RECOGNIZE genuine products complying with quality and security standards. IDENTIFY counterfeit products and fraud strategies. ICT tools are applied also to fight counterfeiting. FALSTAFF is designed around the multi-media databank which is electronically fed through the requests for protection foreseen by Reg. CE 1383/2003.

24. Who feeds and uses FALSTAFF Customs Companies and business associations Consumers To achieve responsive and targeted controls, integrated in the system for computerized risk management and in the system for the automatic targeting of import/export operations; To directly and continuously update information contained in FALSTAFF and to share the contrast strategy; To disseminate information on the security and quality of goods and to continuously inform consumers of any risks, even at economic level, deriving from unknowingly fostering counterfeiting. To provide effective tools to identify genuine products. To disseminate information on the security and quality of goods and to continuously inform consumers of any risks, even at economic level, deriving from unknowingly fostering counterfeiting. To provide effective tools to identify genuine products.

25. White/Black list Customs operation Requests for protection Customs audit PI SC DC CC PI SC DC CC Feedback from controls AIDA IS SELF-FED Risk profiles Information gathered through FALSTAFF also integrates the data used for the computerized targeting of goods Information gathered through FALSTAFF also integrates the data used for the computerized targeting of goods Ministry for economic development Automated alert on dangerous products AEO

26. single window OrganizationOrganization TechnologyTechnologyLegislationLegislation Adjustment to EU legislation Review of legislation Analysis and review of processes Workflow Systems On-line services Training and Information Identify new processes and modify organization and legislation supplying on-line training and information. AIDAs Development

27. Non-coordinated Approach OrganizationOrganization TechnologyTechnologyLegislationLegislation

28. Synchronising national egovernment plans with a view to ecustoms: the single-window approach is a key element Min. Foreign Affairs Min. Defence Customs Single window

29. Each reform project that needs to be translated into computerized processes must clearly state its business processes in detail. We first define the new computerized business processes, then we define the relevant supporting provisions. OrganizationOrganization TechnologyTechnology LegislationLegislation single window

30. E-learning and KB AIDA integrates an e-learning platform and a knowdlege-base, both available to internal and external users Each new development is supported by KB and e-learning. Some figures: 2003: 130,000 hours supplied 2004: 100,000 hours supplied 2005: 200,000 hours supplied 2006: 276,000 hours supplied 2007: 188,000 hours supplied

31. The System is fed back by users The KB is integrated with the e-learning system, The operating instructions and the relevant provisions are available on-line and can be accessed at any time, The KB is constantly updated on the basis of the requests for assistance received by the call- centres (management of inefficiences)

32. E-learning

33. KB for Traders On the web site of Agenzia delle Dogane www.agenziadogane.gov.it On-line assistance

34. On-line Assistance and e-Learning for Traders How? Search

35. WEB Services Information on the use of these services is available on the Agencys web site, under the assistenza on line [on-line assistance] section. - Application for the authorization to use the cutoms ICT service and release/management of the digital signature certificate: in real time - Authorization to the use of the ICT service at the offices specified by the applicant: within the day of grant of application - Telematic customs clearance of export and transit operations at the traders premises: real-time telematic dialogue

36. WEB Services Telematic lodgment of documents: -Declarations of final importation and exportation, temporatry importation and exportation, transit, entry for warehousing: average total reply time in 95% of cases: less than 60 seconds -Cargo Manifests: average total reply time in 98% of cases: less than 60 seconds -Declarations of release for free circulation of natural gas and power: average total reply time in 96% of cases: less than 60 seconds -Requests for queries in the electronic account: average total reply time in 98% of cases: less than 30 seconds -Summary lists of intra-Community sales and purchases (INTRA models): average total reply time in 96% of cases: less than 60 seconds The average reply times of the telematic service are recorded daily and are available on the Agencys web site www.agenziadogane.gov.it, under the Servizio Telematico Doganale - E.D.I section

37. WEB Services Display and consultation: - Display of the route of the transit operation - B.T.I. (Binding Tariff Information) and B.O.I. (Binding Origin Information) - Consultation of the Customs Tariff. Information on tax and trade- policy issues at Community and national level - Consultation of the S.E.E.D. database to verify excise codes - Consultation of customs exchange rates - Consultation of VAT ID-codes to verify their validity

38. AIDA Work Desktop for Customs Staff On-line assistance

39. AIDA Work Desktop While checking a customs declaration, a user can look up in the tariff, retrieve a Regulation ….. Each user is supplied with a customised workstation specifying all the activities to be performed and the deadlines to be met. The computerized control of workflows identifies the operations to carry out and verifies their correct execution. All offices process the same operation in the same manner….

40. Developments after full implementation: total digitalization of customs obligations On-line services Single window No more paper Interoperability Internet Customs Office n. 1Office n. 2 Office n. 3

41. www.agenziadogane.gov.it AEO