1. Mainstreaming e-Government The Case of Trade Facilitation Mainstreaming e-Government The Case of Trade Facilitation Hamid Alavi Finance, Private Sector and Infrastructure Group Middle East and North Africa Region April 26-27, 2005

2. 2 Manifest Bills of Lading Sea/AW Bill Container Plans Invoice Packing List Declaration Delivery Note Storage Air, Sea, Land International Transport Customs Port Pay Taxes Clear Customs Release Goods Ship’s Documents Certificates Of Origin Licenses Certificates Government Approvals Chamber of Commerce Foreign Chambers Commerce Overseas Embassies Post/ Courier “Legal Invoices” DOMESTIC SUPPLY CHAIN Raw Materials Packaging Transport Storage Quotations P.O.s Delivery Notes Con. Notes Invoices Statements Payments Remittance Advice IMPORTER MANUFACTURER EXPORTER FOREIGN BUYER IMPORT Licenses Certificates Government Approvals Certificates Of Origin Form A EUR.1 Government Departments Finance Ministry Port Invoice Packing List Declaration Delivery Note Customs “Informal Processes” Pay Taxes Clear Customs Release to Port Informal Processes Port Processes Internal Transport Storage Container Handling Loading PortCustoms MANUFACTURING/ VALUE ADDEXPORT Receive Goods Bank P.O. Contract Terms Delivery Instructions L.O.C. Pay Bank L.O.C. Packing List Invoice LOC Courier LOC Approval Shipping Documents Book/Confirm Transport /Dues

3. 3 Consignee/ Trade Professional CED 2. Arrival Note 3. Original BOL Importer Pays 1. Doc’t Handling Fee 2. THC 4. Commercial Invoice 5. THC Receipt 7. Letter of Attorney Consignee/ Trade Professional KAMSAB Importer Pays 3. KAMSAB Delivery Order (D.O.) Fee 12. KAMSAB D.O. 13. KAMSAB Receipt 1. Import Permit 2. Arrival Note 11. Trucking Order 18. SGS Certificate 19. Customs Declaration 6. Letter of Guarantee 8. Copy BOL Docs: 2-5 and 7-8. 9. Letter Authority 10. Release Instruction Shipping Line Consignee/ Trade Professional SGS PSI 18. SGS Certificate Docs:3-4, 6-9 and 12 14. Packing List 15. VAT Certificate 16. Insurance Certificate 1. Customs Permit 17. SGS/Permit Authorisation CED Importer Pays 4. Import Duty 5. Document Fees 6. (Late Lodgement Fine) 19 Customs Declaration 20 Document Fee Receipt 21. Import Duty Receipt 22 Inspection Certificate 23 Customs Release Note CamControl Importer Pays 7. 0.1% Inspection Fee 8. Document Fees Port Office Importer Pays 9. Port Entrance Fee 10. Cargo Handling Fee 11. Road No.4 Security Fee Economic Police Docs: 1,3,4, 6-9, 12, 14-18 24 Sancert (if req’d) 25 Document Fee Receipt 26 Inspection Fee Receipt 27 Inspection Report 28 Survey Report 29 Survey Record of Contents Docs: 6-9, 11-12 30 Delivery List 31 Port Entrance Fee Receipt 32 Cargo Handling Receipt 33 Road No. 4 Security Receipt 12 KAMSAB D.O. Importer Pays 12. Port Exit Fee 34 Exit Permit 35 Port Exit Fee Receipt Scanning; Repeat Processes for Irregularities Goods to Consignee Diagram 2.1 IMPORT PROCESSES, DOCUMENTS AND FEES

4. Flow of Documents

5. 5 Trade Facilitation Network (Single Window) 1

7. 7 Implementation Approach Phased Approach Phased Approach –Complexity –Quick wins to secure confidence International Standards (UN EDIFACT, etc.) International Standards (UN EDIFACT, etc.) –International information exchange requires standards Pilot users Pilot users –Surveys / evaluation / fine –tune Implementing body Implementing body

8. 8 Issues Trade Processes - Chain effect Trade Processes - Chain effect –As good as weakest link in the chain –Benefits only visible when everything works Complex Complex –Many details that must fit together Resistance to change Resistance to change –Organizational –Shift from paper to electronic processes Prepare to manage project risks Prepare to manage project risks -Multiple activities / issues to address Inter-institutional dependencies

9. 9 Success Factors Commitment at the highest level of government Commitment at the highest level of government Cooperation among private sector operators and various government stakeholders at all stages of the process Cooperation among private sector operators and various government stakeholders at all stages of the process Cooperation adoption of a regulatory framework that allowed for electronic processing and signature adoption of a regulatory framework that allowed for electronic processing and signature simplification of customs requirements simplification of customs requirements extension of electronic processing to all import and export administration and other agencies involved in trade transactions extension of electronic processing to all import and export administration and other agencies involved in trade transactions adoption of internationally recognized standards and codes in order to ensure a common language among different users and in different countries adoption of internationally recognized standards and codes in order to ensure a common language among different users and in different countries aligning the relative costs of processing paper documentation and on-line processing. aligning the relative costs of processing paper documentation and on-line processing.

10. 10 THANK YOU !