ELECTRONIC TRADING
Paperless system aids Customs

The time has come to bid farewell to Electronic Data Interchange (EDI), and welcome a new paperless electronic customs system.
Importers, exporters, freight forwarders and customs brokers who have to deal with the Customs Department will soon have to leave behind EDI and adopt a new electronic export and import system. The new system will allow entrepreneurs to deal with the department directly and conduct all procedures electronically, with no use of paper or human interaction. Even though EDI has been in use among entrepreneurs and the Customs Department for almost two decades, a senior official at the department's information technology office said the system still required the use of paper-based documents. The official also said that the department had decided to implement the new system with the hope of turning all customs procedures into a paperless operation. The new system is the third such technology makeover at the department. In its initial stages, the department developed a computer system just for data collection, then they adopted EDI to allow entrepreneurs to send electronic documents to the department for further approval. However they always relied on printed documents for confirmation. As of now, exporters and importers can submit their documents to the department and all will be processed step-by-step electronically until the approval stage. "From now,entrepreneurs will no longer need to manually follow customs procedures step by step as the system will complete the process automatically and communicate the result electronically," he said. The new system hopes to offer entrepreneurs more convenience as it helps reduce complexity and redundancy during the process, thus increasing the department's work efficiency. The official added that the system has been designed based on Web services, so it's easier to use and requires less investment, especially when compared to the old EDI system. Exporters can now register and use the new system and it's hoped that all exporters will soon convert to electronic exports within the next two months. The department plans to roll out an electronic import system by the end of June. "We hope that by the end of this year, we can fully run our new Web-based, paperless system replacing the old EDI system for both export and import," he said. The department is now talking with 2,000 entrepreneurs who are using EDI as well as with EDI service providers to change their system to serve the new Web-based system. In the meantime, the department is developing what is called a Single Window System. This will link the department's database with other related government organisations including the Revenue Department and Board of Investment to provide a one-stop service. The official said that with this link, the department would be able to send related information to other organisations, for tax exemption cases or other such privileges. With just a one-time electronic submission at the Customs Department, entrepreneurs will now be able to complete other related process as well. He also added that the department plans to begin information links for the Single Window System and provide the one-stop service by the end of this year. Meanwhile, it will also conduct a pilot test with the Philippines using the Single Window System between the two countries by early next year.
pongpen@nationgroup.com Pongpen Sutharoj The Nation
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