WORLD BANKTTFSE PROGRAMME

(TRADE AND TRANSPORT FACILITATION IN SOUTH AND EASTERN EUROPE)

COMPUTERISATION

OF THE

MOLDAVIAN CUSTOMS ADMINISTRATION

FINAL REPORT

Elaborated byNicolae Popa

KPMG Consulting / Barents Group

Ver.1.0December 2001

CONTENT

1. INTRODUCTION 2. BACKGROUND INFORMATION2.1 GENERAL REMARKS

2.2 LEGISLATION

2.3 CUSTOMS PROCEDURES

2.4 ORGANISATIONAL STRUCTURE

2.5 HUMAN RESOURCES

2.6 IT ENVIRONMENT2.6.1 Hardware2.6.2 Telecommunications2.6.3 System software2.6.4 Application software2.7 TRAINING2.7.1 Customs training2.7.2 IT training2.8 PREVIOUS TECHNICAL ASSISTANCE PROGRAMMES

3. WORLD BANK PROJECT – GENERAL APPROACH4. WORLD BANK PROJECT / COMPONENT B – MODERNISATION

OF THE CUSTOMS SYSTEM4.1 OVERALL OBJECTIVES AND CONTENT

4.2 PROPOSED APPROACH TO THE DESIGN AND/OR IMPLEMENTATION OF THE COMPONENT B

4.3 ARCHITECTURE OF THE MOLDAVIAN ICIS (INTEGRATED CUSTOMS INFORMATION SYSTEM)

4.4 ARCHITECTURE OF THE MOLDAVIAN NCCN (NATIONAL CUSTOMS COMMUNICATION NETWORK)

5. COMPONENT 1 - UNCTAD5.1 ACTIVITIES

5.2 EXPERTS

5.3 DURATION AND TIMESCHEDULE

5.4 BUDGET

5.5 HARDWARE AND SOFTWARE REQUIREMENTS

6. COMPONENT 2 – COMPUTERISATION OF MCA6.1 ACTIVITIES6.1.1 Delivery of IT hardware6.1.1.1 Indicative Procurement List6.1.1.2 Technical specifications6.1.1.3 Special requirements6.1.1.4 Indicative budget6.1.2 Delivery of system software6.1.2.1 Operating Systems (OS)6.1.2.2 Connectivity solution6.1.2.3 Relational Data Base Management System (RDBMS)6.1.2.4 Additional software6.1.2.5 Indicative Procurement List and Budget6.1.2.6 Special requirements6.1.3 Services associated with delivery of IT hardware and system software6.1.3.1 Installation, configuration and testing 6.1.3.2 Training6.1.4 Delivery of telecommunication hardware and software6.1.4.1 Indicative Procurement List and Budget6.1.4.2 Technical specifications6.1.4.3 Local Area Networks (LANs)6.1.4.4 Special requirements6.1.5 Services associated with delivery of telecomm hardware and software6.1.5.1 Installation, configuration and testing 6.1.5.2 Training6.1.6 Implementation of Asycuda nation-wide6.1.6.1 Installation/configuration of Asycuda prototype in IT and telecomm environment 6.1.6.2 Piloting of the system and roll-out of the accepted system6.1.6.3 Training of customs and IT end-users and administrators6.1.7 Integration of the “Frontiera” system into the Asycuda6.1.7.1 Amendment of “Frontiera” system and integration into Asycuda 6.1.7.2 Testing, piloting and roll-out of the system and training of end-users 6.1.8 Preparation of customs sites infrastructure for computerisation6.1.10 Integration of additional customs applications6.2 DURATION AND TIMESCHEDULE

6.3 BUDGET

6.4 PROFILE OF THE CONTRACTOR

7. INTERFACES WITH EXTERNAL SYSTEMS7.1 SGS 7.2 VAT SYSTEM 7.3 TRACKING VEHICLE SYSTEM

8. INSTITUTIONAL/PROCEDURAL ASPECTS9. ORGANISATION OF THE PROJECT10. INDICATORS OF ACHIEVEMENT

11. CONCLUSIONS11. RECOMMENDATIONSANNEXESMap of the Moldavian Customs AdministrationAppendix 1- Organisational chart of the Moldavian Customs DepartmentAppendix 2- List of Customs Offices and subordinated Customs PostsAppendix 3- Indicative List of the Customs Offices and Customs Posts to

be computerised in Stage 1Appendix 4- Indicative List of the Customs Posts to be computerised in

Stage 2Appendix 5- Structure of the personnel in the Moldavian Customs

DepartmentAppendix 6- Structure of the personnel in the Customs Offices and the

subordinated Customs Posts (Stage 1)Appendix 7- Structure of the personnel in the Customs Posts (Stage 2)Appendix 8- Technical solution for the MCD Network and NCCN Appendix 9- Indicative Plan for the deployment of IT hardware in the MCD,

the Customs Offices and the subordinated Customs Posts (Stage 1)

Appendix 10 - Indicative Plan for the deployment of IT hardware in the Customs Posts (Stage 2)

Appendix 11 - Technical specifications of IT hardwareAppendix 12 - Indicative List of the Moldtelecom available

infrastructureAppendix 13 - Technical specifications of telecommunication hardware

and softwareAppendix 14 - List of the Moldavian Customs available infrastructure

LIST OF ABREVIATIONS

Asycuda Automated System for Customs Data – Automated declaration-processing system developed by UNCTAD

CIS Community of Independent States (group of ex-USSR countries)

EU European Union

ICIS Integrated Customs Information System

IRU International Road-Transport Union

IT Information technology

LAN Local Area Network

MCA Moldavian Customs Administration

MCD Moldavian Customs Department (Customs Headquarters)

OS Operating Software

PC Personal Computer

RDBMS Relational Data Base Management System

TACIS Technical assistance programme of the European Commission for the CIS countries

TTFSE Trade and Transport Facilitation in South and Eastern Europe (World Bank Programme)

UPS Un-interruptible Power Supply

UNCTAD United Nations Conference on Trade and Development

US United States of America (USA)

1 INTRODUCTION This document was elaborated at the request of the World Bank, TTFSE Programme Team (Trade and Transport Facilitation in South and Eastern Europe), through a contract with KPMG Consulting/ Barents Group funded by the USAID.

The technical proposals, solutions and recommendations included in this document represent the technical opinions of the author of this document, after more than 20 years of IT and 10 years of customs experience in senior management positions, and of design and implementation of customs computerisation projects/programmes.

2 BACKGROUND INFORMATION

2.1 GENERAL REMARKS The Moldavian Customs Administration (MCA) is one of the two pillars of the state revenue in Moldavia: the customs duties and taxes collected in 2001 have represented 65% of the state budget. MCA subordinated directly to the Government and the Director General is reporting directly to the Prime Minister.

2.2 CUSTOMS LEGISLATION The MCA operates under a streamlined, EU-compatible Customs Code, together with the Customs Service Law, which provides the MCA with wide and autonomous powers of control and enforcement throughout the territory.

From the view point of the TTFSE project, it must be underlined that all provisions of the existing customs legislation allow for the implementation of a computerised customs system, fully compatible with the EU customs legislation and standards.

2.3 CUSTOMS PROCEDURES Following-on from the above, the provisions of the current legislation with respect to the customs procedures is aligned to a great extend to the EU procedures and best practice. However, their practical implementation in the customs operational environment is slightly different, in most cases due to the immediate need to solve practical aspects of the operational work (e.g. in order to fight effectively against various types of commercial fraud – under-estimated invoices, false origin of goods etc – additional checking points have been introduced in the declaration-processing path).

However, the introduction of the Asycuda system will implement a new declaration path, compatible with the EU standards and best practice. Consequently, some of the existing control positions in the declaration-processing path will have to be revised. Due to the fact that these control positions are only the front-desk part of normal functions of any Customs Administration (control of customs value, origin, post-audit etc) the personnel that operates currently in these positions must not be made redundant, but trained in the respective customs subject and function in accordance with the EU standards and best practice, with the view to continue its work in a professional manner in the back-office.

In this respect, the co-ordination of and the complementarity between the Customs computerisation component of the TTFSE project and the US component – ‘ Strengthening of MDC Institutional Capacity’ – is crucial for the successful implementation of the TTFSE project.

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2.4 ORGANISATIONAL STRUCTURE

The MCA comprises: The Headquarters, called “Moldavian Customs Department” – MCD (“Departamentul

Vamal al Republicii Moldova”); 17 Customs Offices (border and inland) 64 Customs Posts (border and inland, dealing with goods and/or private persons)

At the headquarters (MCD) the organisational structure (attached at Appendix 1) is based on management units, which report directly to the director general, and technical and operational units, which report through vice- and deputy directors general.

Field operations are managed by the 17 Customs Offices (equivalent of regional/district Customs Houses), which have in their subordination a number of Customs Posts. A complete list of Customs Offices and their subordinated Customs Posts is at Appendix 2.

At the border with Transnistria, there are also “Fiscal Posts”, where duties and taxes are collected by the “Fiscal Officers”.

The TTFSE project is focussed on facilitation of legitimate trade and transport of merchandises and therefore the components of project related to the computerisation of MCA should primarily be implemented in MCD, in all Customs Offices and in the Customs Posts opened for traffic of goods. I a second stage, the project could be rolled-out to the remaining Customs Posts (dealing with the traffic of tourists/private persons) through the TTFSE project and/or by MCA, within the limit of the remaining resources (budget, re-distributed equipment etc).

An indicative list of the Customs Posts to be included in the 1st stage of the project is attached at Appendix 3 and the corresponding indicative list for the 2nd stage is at Appendix 4.

2.5 HUMAN RESOURCES The total number of personnel within MCA is now around 1,700: around 120 in the headquarters (see also Appendix 5) and more than 1,500 in the operational Customs Offices and Customs Posts (see also Appendix 6 – 1st stage, and Appendix 7 – 2nd stage). The majority of the personnel are university graduated, which results in a significant over-qualification of the staff.

It is obvious from the information concerning the MCA personnel that the MCD is seriously under-staffed, while the operational positions are reportedly to be over-staffed, particularly in the sections dealing with physical control of merchandises and passengers (tourists). However, in terms of performance (e.g. number of declarations vs. number of operational staff, number of vehicles vs. number of operational staff etc) MCA has a relatively lower level of productivity than other countries in the region.

With direct reference to the TTFSE project, it must be underlined that the staff of the Customs Computing Centre “Vama”, who will be in charge with the management and implementation of the ‘Customs Computerisation’ component of the project, is small but very dedicated to produce results and to implement new IT technologies in the customs operational environment.

2.6 IT ENVIRONMENT

2.6.1 HardwareThe IT equipment available within MCA (PCs, matrix printers, UPSs) is mostly obsolete (e.g. PCs 386, 486, Pentium I, Pentium II etc) and very heterogeneous (from brand names to computers assembled by local companies), but there are also some PCs Pentium III and Laser printers.

It was decided by MCA that for the implementation of the TTFSE project only the PCs P III and the Laser Printers will be considered (and re-distributed at the local level); the additional

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hardware will be procured through the TTFSE project, in compliance with the technical and functional requirements of the future ICIS.

2.6.2 TelecommunicationsAs far as the transfer of data between the Customs Offices and Customs Posts, and with the MDC is based on the existing Moldtelecom infrastructure, which is low-quality (up to 64 kbps, but mostly 2 kbps) and is not reliable. This is, potentially, the main problem of the computerisation of the MCA. In addition, the Moldtelecom tariffs for leased lines (voice and data) represent a significant amount in the annual operational budget of MCA.

In this context, MCA envisages the creation of a National Customs Communication Network – NCCN (voice and data) built, in principle, on dedicated lines with the main Customs Offices level and on leased lines with the remaining Customs Offices and Customs Posts. NCCN will use existing Moldtelecom infrastructure (which supports the 256 kbps) and MCA telecom equipment installed in all computerised customs sites.

The technical solution envisaged has the advantage that (1) is feasible and reliable whithin the existing telecomm conditions, (2) is a modular solution, which could be realised in several steps and (3) is the most economically advantageous in the given conditions.

As far as the Local Area Networks (LANs) are concerned, there are only few LANs existing in the newly built or refurbished Customs Offices (Sculeni, Chisinau), but there is no written evidence that the cabling was made at Level 5 standard (active and passive components compliant with EIA/TIA 568/569 standard), which would ensure 100 kbps.

MCA envisages therefore the cabling of the customs sites to be computerised, through the TTFSE project, in modular approach (structured cabling, EIA/TIA 568/569) and with the initial installation limited to the requirements of the TTFSE project.

This approach is the only viable solution in the given conditions and it has the major advantage that the technical solution is scaleable (the LANs could be built step-by step, according to the needs) and it gives a technical perspective of min.10-15 years.

2.6.3 System softwareThe existing computers work in MS-DOS and Windows environment, and support applications developed in Clipper, Foxpro, and Visual Foxpro. There is no experience with Unix OS in the MCA Computing Centre. However, there is experience with Oracle RDBMS: two programmers have been trained in Oracle, an Oracle based application was developed and is in current use.

MCA decided to choose Oracle as RDBMS for their future ICIS, including Asycuda declaration-processing system.

The MCA decision is based on the good in-house experience with this RDBMS, which is crucial for an efficient and professional implementation of ICIS/Asycuda and its subsequent sustainability. In addition, there are complementary modules/applications developed around Asycuda by other CEEC Customs Administrations in Asycuda/Oracle environment that could be, potentially, implemented/ integrated in the Moldavian ICIS. In the perspective of an increased exchange of information between MCA and Romanian Customs operational services (Customs Offices, enforcement units, valuation services etc), the fact that the Romanian ICIS is also based on Oracle would be an advantage.

2.6.4 Application softwareThere are several applications running currently within MCA. The most relevant from the TTFSE viewpoint are:

- Declaration Processing System: Broker Module (“Postul declarantului”), Customs Module (“Postul inspectorului”) and Accounting Module (“Postul economistului”);

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- Statistical system;- Customs valuation;- Accounting system;- Personnel system;- Inventory system;- “Frontiera” system;- Traseca.

Broker Module (“Postul declarantului”) – is an application designed to assist the customs brokers to fulfil the customs declarations. There were initially (1994) two versions of this application, developed by two outsourcers (‘Valah’ and ‘Inform Business-C’) with outdated IT technologies (Clipper, Foxpro) in accordance with the technical MDC requirements. During the implementation and operation of the two versions of the application, one of the outsourcers (‘Valah’) proved to be a professional, prompt and reliable partner of the MDC and, therefore, its updated version (in Visual Foxpro) is currently used in all Customs Offices. Until nowadays, this application answered to all ad-hoc MDC requirements and contributed in a determinant way to the development of operational habits of the brokers’ staff. However, from the functional viewpoint this application is lacking important components of a normal customs broker module and, especially, the mandatory cross-validations of data elements in a customs declaration. As result of the implementation of the Asycuda system, this application will be practically replaced by the Asycuda/MODBRK module.

Customs Module (“Postul inspectorului”) – is an application designed to assist the customs officers to check the information in the customs declaration, as introduced by the customs brokers. Similar to the above, there were initially two versions of this application, developed by the same two outsourcers (‘Valah’ and ‘Inform Business-C’) with the same technologies (Clipper, Foxpro) in accordance with the technical MDC requirements. The ‘Valah’ version of the application is currently in use in all Customs Offices, but it is lacking important validation functions of a normal declaration-processing system. Therefore, despite the fact this application answered to all ad-hoc MDC requirements and contributed in a determinant way to the development of an IT culture and operational habits of the MDC staff, the implementation of the Asycuda system will completely replaced it with the Asycuda/MODCBR module.

Accounting Module (“Postul economistului”) – in order to make customs transactions, the importers must have an account opened with the MDC for the payment of all customs and duties. In this context, this an application was designed to assist the customs officers to check that the amount due be paid by a particular importer for a customs declaration is available in its account, and to transfer the itemised amount due into the customs account. The version in use in the Customs Offices was developed (Visual Foxpro) and is permanently updated by ‘Valah’ company. The current version is lacking important validation functions of a normal declaration-processing system, but it comprises functions requested by the national accounting system and procedures. Therefore, the implementation of the Asycuda system will replace only partially this application with the Asycuda/MODACC module. The functions related to the national accounting system will have to be integrated into/interfaced with the Asycuda/MODACC, prior to the roll-out of the system nation-wide.

Statistical system – is a simple application designed 6-8 years ago and developed with outdated IT technologies. The methodology implemented in MCA for production of customs and foreign trade statistics (flow of documents, processing etc) is long – around 45 days – and does not ensure the reliability and accuracy of customs data. The implementation of Asycuda system will significantly ameliorate the methodology for elaborating customs and foreign trade statistics, and will replace the existing application.

The other applications functioning within MCA - Customs valuation, Accounting, Personnel, Inventory etc – despite the fact that they are currently used and solve some of the operational/ administrative problems of MCA, have been developed in the same period with the statistical

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system and are having serious functional and technical shortfalls. It is strongly recommended to re-design and re-develop them as sub-systems of the Moldavian ICIS.

“Frontiera” system – is an application developed by the Customs Computing Centre with the aim of implementing the ‘single window payment’ scheme within MCA. The system is in testing phase in Sculeni customs office. There is a decision of the Government for its rollout in all Customs Offices at the border). The application is modern from IT viewpoint, but it has serious shortfalls from customs viewpoint, partially in contradiction with normal customs operations. The implementation of Asycuda system will imply the organisation of operations within Customs Offices in a similar way with the other Customs Administrations in Europe, and will complement the missing functions and components of the ‘Frontiera’ application. Therefore, it is strongly recommended to amend the existing application with the view to integrate/interface the existing ‘single window payment’ mechanisms into/with the Asycuda clearance (MODCBR) and accounting (MODACC) functions, prior to any initiative to start effectively its roll-out nation-wide.

Traseca – is a system developed to control the finalisation of transit operations, more from the IRU viewpoint, than from customs viewpoint: the system is actually providing the TIR Association in the country (ITA Chisinau) the information necessary to close the TIR operation (and implicitly the associated guarantee) at the level of the central database in IRU/Geneva. Similar systems have been developed in most of the CEEC through various mechanisms (mainly IRU funding). In the case of Moldavia, the developments were financed by the European Commission through its TACIS programme. The implementation of Asycuda will have an impact on the functioning of this system only if the Asycuda transit module will be used to provide information to the Traseca system.

Barcode System - it is important to mention that the Customs Computing Centre initiated a pilot for a “barcode system”, aiming at recording and controlling the transit operations from customs viewpoint.

2.7 TRAINING

2.7.1 Customs trainingThe MCA staff participated in the last years in several training events organised by different donors (mainly, US Customs, but also the European Commission/TACIS etc), on specific subjects: customs valuation, customs procedures etc.

However, the MCA staff will have to be trained/re-trained from the perspective of the computerisation (and, possibly, amendment) of the customs operations. The first component of the TTFSE project, which will be financed by US, could play an important role in this respect.

2.7.2 IT trainingWith the exception of the two programmers that have been already trained in Oracle RDBMS administration (see also 2.6.3), the IT specialists in the MCD and the MCA personnel using/ administrating IT applications at local level did not participate in any IT functional and/or technical training courses.

It is therefore necessary to provide as soon as possible the relevant MCA personnel with the appropriate IT training courses, to allow them to participate effectively in the prototyping and roll-out of the Asycuda system, the design and implementation of the NCCN, to make the best use of the information and IT technologies that will be available, and to sustain the systems at the end of the TTFSE project.

2.8 PREVIOUS TECHNICAL ASSISTANCE PROGRAMMES The European Commission is assisting MCA under the current TACIS programme with:

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- the improvement of physical infrastructure at two border posts (Leuseni and Ungheni with Romania) and border equipment – Ove Arup;

- the harmonisation of Customs legislation with the EU standards, the improvement of Custom’s control and transit systems, through training in Customs controls and detection, including the provision of training equipment - Eurocustoms.

The future TACIS program will include - improvement of infrastructure and telecommunication equipment at Giurgiulesti (border

with Romania); - a regional/joint co-operation program including Moldavia and Ukraine aimed at

reducing illegal migration and combating human trafficking, and - enhancement of Moldavia border management.

Under the Southeast European Co-operative Initiative (SECI) the US government is assisting Customs by providing training in ‘valuation’ and border control equipment.

3 WORLD BANK PROJECT – GENERAL APPROACHThe World Bank’ draft project documents define the main objectives of the TTFSE programme in the Republic of Moldavia as follows:

“ to reduce smuggling and corruption at border crossings; and to reduce costs to trade and transport,aiming at strengthening regional partnerships and expanding regional trade.”

The same documents provide for an initial outline of the TTFSE project components, as follows:

“(A) Strengthening of MDC Institutional Capacity (estimated cost US$1.3 million) - strengthening of the Customs’ institutional capacity and assisting the change management process through technical assistance and training to - streamline procedures and enhance their transparency by measuring performance at

selected pilot sites and facilitating adoption of corrective measures, as well as by promoting inter-agency co-operation and transparency; and

- recasting a user-based culture for the MDC;

This component, which is an integral part of the MCA’s modernisation strategy, is further divided into four sections, destined to address the more critical needs of the MDC: Operation at pilot sites (MCA identified with the WB mission as pilot sites Chisinau

inland terminal, and Leuseni and Palanka border crossings, with Romania and Ukraine respectively). Includes technical assistance to (i) refine and collect performance indicator data, and (ii) facilitate the work of inter-agency Local Project Teams (LPTs) destined to review the procedures, and recommend improvements in view of their extension throughout the MDC. Baseline figures for the TTFSE performance indicators, and subsequent target values, were agreed during the mission, and are attached (Annex 2). The Bank is seeking funding from the US Government for this section;

Re-engineering of procedures. Includes technical assistance to review and strengthen the declaration and transit procedures and introduce a risk-based selective approach to verifications (US$216,000);

Strengthening of valuation and post-release activities. Destined to complement the PSI operations, it includes technical assistance to introduce and develop a highly trained and skilled valuation and post clearance review unit in the MDC (US$216,000);

Inter-agency co-operation and awareness training. Includes technical assistance to develop the awareness of the specificity of Customs work among judges, prosecutors, and other administrations’ officials, and between operational services of administrations operating in parallel in the field, with a view to closer integration and data sharing. The Bank is seeking funding from the US Government for this section.

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(B) Modernisation of Customs Information System (estimated cost US$3.8 million) - modernisation of the Customs information systems for border point processing and clearance of shipments, through - roll-out of the existing “Frontiera” system (in pilot phase at the Sculeni border

crossing), and - installation and implementation of the Asycuda comprehensive system for customs

clearance;

(C) Implementation of a Transit Vehicle Tracking System (estimated cost US$0.3million) - reduction of smuggling through acquisition and implementation of a transit vehicle tracking system.The system is intended to provide, on a real-time basis, information on the whereabouts of selected vehicles, using the cellular telephone network. It will be applied to transit (border to inland and border to border) traffic, and will assist in tightening control over unreported or smuggled goods. In addition, it could be, subject to an agreement being reached with the Ukrainian authorities, used for the tracking of vehicles entering Transnistria.

(D) Improvement of Border Crossing Facilities (estimated cost US$1.9 million) - increase of the capacity and effectiveness of existing border crossing points through streamlined layout, installation of secondary inspection facilities, and acquisition of specialised equipment for inspecting vehicles;This component will include basic traffic separation, signposting, and the establishing of joint control positions, and some limited inspection facilities using the experience acquired through the Sculeni “Frontiera” system. In addition, the ability to carry out random and, possibly, inland checks of the weight of vehicles would provide an effective deterrent, and a way of detecting frauds.

(E) Trade Facilitation Development (estimated cost US$0.3 million) - facilitation of trade by improving the exchange of information between border control agencies and the trading community through - provision of training (including a distance learning program) and - extending a website being developed in Southeast Europe under the TTFSE Program

to include Moldavia;

(F) Project implementation arrangements (estimated cost US$0.19 million) - project implementation, through operation of a Project Implementation Team with support (as needed) of consultants in procurement, project financial management and audit.

Since most of the critical border infrastructure needs are, or will be supported by the EU through its TACIS program and possibly the USA, the TTFSE project will not include an infrastructure component other than the minor improvements under Component D above.”

4 WORLD BANK PROJECT / COMPONENT B - MODERNISATION OF THE CUSTOMS SYSTEM

4.1 OVERALL OBJECTIVES AND CONTENT

As far as the Component B (Modernisation of the Customs System) is concerned, the World Bank’ draft project documents define the following main objectives:

“ Reduction in time and cost of import/export transactions Modernisation and simplification and streamlining of Customs Clearance and

related procedures Alignment of codes and forms used by Customs and traders with international

norms and standards Improvement of collection of duties

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Fighting smuggling and corruption Facilitating trade Compatibility with European Customs procedures and technology.”

The same documents identify the following activities which may be supported through the proposed project:

“(a) Replication of ‘Frontiera” system (Provisional cost estimate: US$1.5 million) - to 13 border crossing sites, in the coming year, and to all other sites eventually:- Replication will span 28 border sites and benefits several services involved in functions related

to the Custom Clearance;- Related efforts will involve acquisition/installation and commissioning about 40 computer

servers and approximately 350 workstations, linked via local area networks; some linked in-turn via wide-area networks. Provision of basic software and installation of the “Frontiera” system;

- Facility preparation (cabling, electricity, related equipment);- Recruitment of technical staff (1-2 per site) staff and training (technical and users).

(b) Acquisition and implementation of a modern software system for Customs clearance and related activities - compatible with international norms and procedures, and especially those of the European Union and neighbouring trading partners. The Customs Administration decided to acquire Asycuda Customs software package, available from UNCTAD free of charge.

(c) Acquisition of basic software (for data base management, operating system, etc.) and the financing of necessary software licenses, required for the software system, acquired under (b) above (Provisional cost estimate: US$300,000)

(d) Acquisition of additional computer hardware (Provisional cost estimate: US$1.0 million) – acquisition of additional servers, workstations, printers, etc. to support the deployment of the new software system referred to in 2, above – for both the central and local services of the Customs Administration.

(e) Acquisition and installation of telecommunication software and hardware (Provisional cost estimate: US$500,000) – telecom software and hardware, including local and wide areas networks.

(f) Training (Provisional cost estimate: US$500,000) - Both generic and specific IT training on the new technology to be acquired (approximate number 250 persons), users’ training (approximate number 1,000 persons) and professional training (selectivity, assessment, risk-analysis, audit etc).

(g) Technical Assistance (Provisional cost estimate: US$500,000) – for- customs clearance process simplification and streamlining, - review of existing regulations and assistance in preparation of amendments, if

necessary, - adoption of international codes and standards, - forms simplification and alignment to international standards, - migration to the new system.”

4.2 PROPOSED APPROACH TO THE DESIGN AND/OR IMPLEMENTATION OF THE COMPONENT B

In full compliance with the main objectives of the TTFSE programme and of the component B of this programme, and with the content of the components/activities described above, the basis for the proposed approach to the design and implementation of this component is the following:

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- the implementation of Asycuda++ system in Moldavia should be based on the experience capitalised during the implementation of the system in 8 Customs Administrations in Europe (Bosnia and Herzegovina, Estonia, Former Yugoslav Republic of Macedonia, Hungary, Latvia, Lithuania, Romania and Slovakia) in the last four years;

- the modernisation of the MCA system should, in principle, benefit as much as possible of the software developments made by the other Customs Administrations that built their ICIS (Integrated Customs Information Systems) around Asycuda;

- the modernisation of the MCA system should also benefit as much as possible of the experience of and work carried out by the Romanian Customs Administration, given the identical language and similar Customs Codes and Implementing Regulations;

- the modernisation of the MCA system, which will have a direct impact on the organisation and functioning of the Customs Administration, should be closely and strongly co-ordinated with the design and implementation of the Component A of the TTFSE project (Strengthening of MDC Institutional Capacity).

In line with the above, it is proposed to group the activities outlined in section 4.1 as follows:

(1) UNCTAD componentThis sub-project should include, as a minimum: Provision by UNCTAD, at no cost, of the following:

- Asycuda++ software modules for multiple licence use within the legal national boundaries of the Republic of Moldavia;

- updated Asycuda++ training material (functional and technical) and documentation;

- ad-hoc technical support for the Asycuda++ application software; - the latest available versions of the Asycuda++ application software.

Provision by UNCTAD, at current UN rates, of the following:- awareness programmes;- functional analysis;- Asycuda++ technical and functional training for IT and customs experts

within the Customs Headquarters;- Moldavian Asycuda++ Prototype, in accordance with the national user

requirements, legislation, language, system software and hardware specifications etc.

- technical assistance during the piloting and rollout of the prototype, and the integration/customisation and implementation of additional software modules (applications).

With reference to the section 4.1 above, this sub-component will comprise the activities (b), partially (f) and (g).

(2) Computerisation of MCA This sub-project should be implemented as a “turn-key solution” project, supply and services integrated within one package, with one contractor responsible for the delivery and implementation of the whole range of equipment, software and services necessary to make the Moldavian ICIS working at national level 24 hours/day, 7 days/week. This sub-project should include, as a minimum:- delivery and implementation of hardware and system software, including the

associated training, to support the piloting and roll-out of the Asycuda++, “Frontiera” and additional software modules (applications) – e.g. servers, workstations, printers, UPSs, licences for operating system, RDBMS etc;

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- delivery and implementation of installation of telecommunication hardware and software, including the associated training, for the realisation and functioning of the LANs in all relevant Customs Offices and of the Customs WAN;

- piloting and roll-out of the Asycuda++ prototype (provided by MCA), including the training of end-users;

- integration of the “Frontiera” system within the Moldavian ICIS, including its interface with Asycuda++, roll-out of the system in all relevant border Customs Offices and training of end-users;

- integration of additional customs applications, developed by other CEEC Customs Administrations in Asycuda++ technology or complementary to Asycuda core system, e.g. Transit Module (Estonian/Romanian Customs), Enforcement System (Romanian Customs), DTI interfaces (Macedonian/Romanian Customs), Barcode System (Slovak Customs), Customs Accounting Module (Romanian Customs), Management Information System (Romanian Customs) etc;

- Facility preparation (electricity, related equipment etc.) – in principle, in all Customs Offices to be computerised.

With reference to the section 4.1 above, this sub-component will comprise the activities (a), (c), (d), (e), and partially (f).

This approach ensures the achievement of World Bank project objectives and the production of expected results within the budget, in time and at the necessary quality level as result of:- the national Asycuda prototype will be configured and integrated by UNCTAD/

Asycuda team, working jointly with the national team, but UNCTAD will have the final responsibility for the prototype technical and functional set-up and functioning, in compliance with the national requirements;

- the full-time UNCTAD/Asycuda expert in Moldavia will assist the MCA project team in the management and co-ordination of both the Asycuda component and the “Computerisation of MCA” component;

- the “turn-key” solution, which is nowadays a standard for the implementation of governmental systems at national level and the only viable implementation strategy in the particular case of MCA with limited budgetary and human resources, and project/contract management experience.

The estimated budgets for these two components/sub-projects are detailed in the following sections.

4.3 ARCHITECTURE OF THE MOLDAVIAN ICIS

The Asycuda system could be implemented in several architectures:

- decentralised , when the end-users are connected in a LAN at the level of each customs office/post, and the LANs are connected at the central LAN in the MCD.The most important advantage of this type of architecture is that the end-users are able to continue working without any disruption in case the telecommunications are poor and interrupted. This implies however that the reference information in the central database (tariff, taxation rules, codes etc) is replicated on all local servers whenever necessary and the telecommunications are available.

- centralised , when the end-users are connected directly to the server in the MCD.This type of architecture has the advantage that all end-users have access to the same reference information on the single-server and that the exchange of information between two Customs Offices (in case of transit, for example) is automatic. However, this type of architecture that very reliable and high-capacity telecommunications are available, which is not at all the case in most of the CEEC and Moldavia.

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- a combination of the two architectures is also possible in Asycuda and it could be implemented step-by-step on segments of the telecommunication system that fulfil the minimum reliability and high-capacity conditions.

During the elaboration of this report, several possible architectures have been analysed with the MCA experts and it was the MCA project team which decided that, in the current stage of development of the telecommunication system in Moldavia, the most suitable architecture for the implementation of the Asycuda and of complementary applications is the decentralised architecture, with the perspective to migrate gradually in the future to a combined architecture and/or the use of Internet technologies.

The architecture of the Asycuda system and, implicitly, of the Moldavian ICIS is shown in the following picture:

4.4 ARCHITECTURE OF THE MOLDAVIAN NATIONAL CUSTOMS COMMUNICATION NETWORK (NCCN)

As indicated in the section 2.6.2 above, MCA envisages the creation of a National Customs Communication Network – NCCN (voice and data) built, in principle, on dedicated lines from MCD to the ustoms offices and on leased lines from Customs Offices to the subordinated Customs Posts. NCCN would use the existing Moldtelecom infrastructure (which supports the 256 kbps) and MCA telecom equipment installed in all computerised customs sites.

The network architecture should be, ideally, based on the redundancy of the leased lines, which would provide an increased availability of the network services and would avoid unnecessary traffic between the Customs Offices that do not participate in the traffic flow.

A reliable technical solution to connect the MCD on-line with the 17 Customs Offices and these Customs Offices via dial-up connection with the corresponding subordinated Customs Posts, would be:

- to select four “regional” Customs Offices, which would be connected to the MCD through 768 kbps lines, and for redundancy purposes would be connected between them through 256 kbps lines.

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Customs Office

LAN

MCD

These four “regional” Customs Offices will gather the traffic of data from the remaining (13) Customs Offices, which means that each of them will connect on the average 3 other Customs Offices.

- to connect the four “regional” Customs Offices to these (13) remaining Customs Offices through 128 kbps lines, and for redundancy purposes to connect the 13 Customs Offices between themselves through 64 kbps lines.

- to equip the MCD with 2 high-class routers (type A), one of them for redundancy purposes, the “regional” Customs Offices with medium-class routers (type B) and the remaining (13) Customs Offices with standard-class routers (type C). All routers should meet the specific requirements for data transmission and voice services and should have synchronous interfaces for connecting leased lines, and asynchronous interfaces for connecting dial-up modems.

- to equip all the Customs Offices with asynchronous interfaces for the access points to dial-in through 56 kbps access modems.The modems to be used for leased lines should be broad band modems, for the 128 kbps lines and 64 kbps lines, and for the 256 kbps lines and 768kbps lines, while the modems to be used for dial-up could be external modems.

The proposed architecture of the National Customs Communication Network (NCCN) is shown in the following picture:

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13

Particular attention should be paid to the architecture of system at the MCD level, which would be the central point for the whole systems and, especially, of all customs data.

The MCD network could be organised in more LANs (Computing Centre “Vama”, Economic Department, Accounting, Human Resources etc), each LAN being able to interconnect to each other.

An ideal architecture of the MCD network is shown in the following picture:

A more detailed description of the technical solution for the MCD network and for the telecommunication network (NCCN) is attached at Appendix 8.

5 COMPONENT 1 - UNCTADThe Asycuda system is currently implemented in 6 Candidate Countries (Estonia, Hungary, Latvia, Lithuania, Romania and Slovakia) and 2 countries in the Balkan region (Bosnia and Herzegovina, and the Former Yugoslav Republic of Macedonia). The Asycuda team in Geneva has an extensive and successful experience in implementing the system in Europe and around the world.

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5.1 ACTIVITIES The standard package that is offered by UNCTAD at no cost to the beneficiary countries, on the basis of a Memorandum of Understanding, comprises:

- Asycuda++ software modules, for multiple licence use within the legal national boundaries of the beneficiary Customs Administration, including the subsequent available versions of the Asycuda++ application software for an undermined period of time;

- Asycuda++ technical and functional documentation;- Asycuda++ training material (functional and technical);- remote ad-hoc technical support for the Asycuda++ application software.

UNCTAD provides also technical assistance associated with the implementation of the Asycuda system, on the basis of a service type contract (depending on the Contracting Authority). In the standard Asycuda projects, this associated technical assistance comprises:

(1) Awareness programmesThe past experience proved that a project for the computerisation of a governmental agency would fail if the project is not supported politically by the top and medium-level management, and it is not considered useful by the end-users.In the case of a customs computerisation project, there is a wide range of reasons (most of them, subjective) for which different categories of customs personnel (managers in the headquarters, experts in the headquarters, managers at regional and local level, customs officers in the field etc) would support the implementation of such a projectThese UNCTAD programmes address all categories of customs personnel and aim at making them aware about the implications of the computerisation, in general, and the specific benefits it could bring to each professional category and to them, personally.In the particular case of MCA, the implementation of the TTFSE project will change the way the MCA staff works currently at central and local level. It is therefore crucial for the success of the TTFSE project that UNCTAD awareness programmes, correlated with and complemented by the activities of the US component (see section 3 above), secure the commitment of the MCA personnel to accept the changes and to implement the project.

(2) Asycuda++ technical and functional training The UNCTAD/Asycuda team should provide a core MCA project team, ideally, at the beginning of the project with complete functional and technical training courses. The MCA team should therefore comprise the best specialists in the project team, representing both the end-users and the IT department.It is in UNCTAD practice to organise the first complete course in its premises in Geneva, where the national experts have free access to the UNCTAD/Asycuda experts (customs analysts, engineers, programmers) that designed, developed and continuously amend the Asycuda software. A similar course should also be delivered by UNCTAD in the country for the remaining MCA project team, who will participate actively in the project activities from prototyping and testing to piloting and rollout of the system. Ideally, the in-country Asycuda training courses should be delivered with the assistance of the already trained experts. For the organisation and delivery of the second training course it will be necessary to set-up a training class (LAN and computers). The hardware and software necessary for setting-up the training system could be (1) made available by MCA, (2) procured through the UNCTAD contract, (3) provided by the second project component – ‘Computerisation of MCA’ or (4) purchased through a separate supply contract. The

15

second alternative is more recommendable, but a strong co-ordination of the activities of UNCTAD and ‘Computerisation of MCA’ components is necessary.

(3) Functional analysisThis activity is performed by UNCTAD customs analyst(s) at the beginning of any Asycuda implementation in a beneficiary country. It comprises - the identification of the user requirements, based on the national legislation (Customs

Code and Implementing Regulations) and practice;- definition of structural, operational and/or procedural changes that might be required;- corresponding definition of declaration-processing flow;- definition of the parameters of the system to be implemented (codification, taxation

rules, accounting procedures etc).As underlined several times in this report, all activities related to the amendment of the MCA organisational structure, working procedures, working methodologies, flow of documents and to the training of the customs personnel under the UNCTAD component (and, therefore, this activity also) should be strongly co-ordinated with the activities under the US component – ‘Strengthening of MDC Institutional Capacity’.

(4) Technical assistance during the piloting and roll-out of the prototype

The UNCTAD role during these two phases is to assist MCA to - verify the set-up and the functioning of the system, including all associated

procedures, methodologies and flow of documents, in real operational conditions;- establish a base system to which formal change control procedures will be applied;- document any limitations regarding functionality, technical performance and

conformity with the agreed user requirements and, eventually, amend the Moldavian prototype accordingly;

- document evaluation criteria for the acceptance of the outputs of the Component 2;- approve acceptance of the system and of the work of the contractor at the end of the

two main phases, pilot and roll-out;

During the lifecycle of the project, if new Asycuda releases/versions will be available and MCA will decide to implement them, UNCTAD should provide the corresponding technical and functional training courses to the core MCA team.

In addition to the above, in order to ensure the implementation of the TTFSE project in time, the production of the project outputs with the envisaged impact within MCA and, finally, the achievement of the project objectives, it is strongly recommended to include in the UNCTAD component the following activities:

(5) Prototyping - the set-up and configuration of the Moldavian Asycuda++ Prototype, in accordance with the national user requirements, legislation, national tariff and taxation rules, language (forms, screens, reports etc), codification, system software and hardware specifications etc.UNCTAD responsibility to realise the prototype would be a guarantee for the realisation of the Moldavian Asycuda system in time and at the necessary functional and technical level, and it would avoid any contractual problems between MCA and the contractor of the second project component – ‘Computerisation of MCA’. The hardware and software necessary for the realisation of the prototype could be (1) made available by MCA, (2) procured through the UNCTAD contract, (3) provided by the second project component or (4) purchased through a separate supply contract. The third alternative is the most suitable, but a strong co-ordination of the activities of UNCTAD and of the second project component is necessary.

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(6) Technical assistance during the integration and implementation of additional software modules (applications).The experience of Macedonia and Romania proved that the technical assistance provided by UNCTAD to the Customs Administrations in the development or customisation of additional software modules (applications), as well as during the implementation (integration/interfacing) of these new modules in the Asycuda environment, increases the efficiency of these activities and, most important, prevents the disruption of the declaration-processing system.The UNCTAD activities in this respect should include, as a minimum: functional and technical advise to MCA team in relation to the validation of technical solutions for the new modules (integration, interfacing, testing, roll-out etc), participation in the functional and technical tests of the new modules, reporting to the project management structures etc.

5.2 EXPERTS It is a long and verified practice in UNCTAD to provide the beneficiary Customs Administrations with two in-country full-time experts (customs and IT), in addition to the UNCTAD experts providing assistance through short- or medium-term missions. Within such a project team the customs expert is in charge with all issues related to organisation, procedures, methodologies, codification etc, in relation to the computerisation of the administration. Complementary, the Customs IT expert is in charge with all issues regarding the configuration of hardware, system and application software, telecommunications, assistance in prototyping etc.

In the particular case of the TTFSE project in Moldavia, the technical assistance in the customs area could be delivered, primarily, through the US component – ‘Strengthening of MDC Institutional Capacity’, and through the UNCTAD short- and medium-term mission of a customs analyst. This approach will ensure the consistence of the technical assistance to be provided to the MCA and will significantly facilitate the co-ordination of activities of the two project components.

It is therefore recommended to include in the UNCTAD component only one full-time customs IT expert with sound proven customs and project management experience.

It is also strongly recommended to explicitly include in the service type contract with UNCTAD the request to have included in the project team

- short-term experts from the CEEC Customs Administrations that have a good experience in the implementation of the system, in particular from the TTFSE countries.This would provide MCA team with the working experience of their colleagues from other Customs Administrations in the region and could create the basis for a regional co-operation in the customs computerisation area and the exchange of information for customs purposes.

- local short-term experts, with the view to develop in-country expertise and a sound basis for the sustainability of the system nation-wide at the end of the TTFSE project.Given the reduced number of IT staff (analysts, programmers, telecom engineers etc) MCA used in the past outsourcers for the realisation and maintenance of the existing systems. This approach is used by numerous public administration agencies in the European Member States for developing IT systems.

5.3 DURATION AND TIMESCHEDULE The experience of implementation of Asycuda system nation-wide in similar conditions (size of the administration, availability of resources, geographical distribution, infrastructure etc) proved that the activities (1) – (5) above could be finalised in 18 months.

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However, in order to ensure the stabilisation of the operation of the system and also the activity (6) above, it is recommended to ensure the UNCTAD technical support, ideally, until the end of the TTFSE project, but not less than 6 additional months.

INDICATIVE TIMESCHEDULE for UNCTAD activities

UNCTAD ACTIVITIES YEAR 1 YEAR 2Trim.1 Trim.2 Trim.3 Trim.4 Trim.5 Trim.6 Trim.7 Trim.8

(1) Awareness programmes (2) Asycuda functional and technical training (3) Functional analysis (5) Prototyping and testing (4) TA during piloting (5) TA during roll-out (6) TA during stabilisation&integration of new modules

5.4 BUDGET The budget necessary for the activities outlined above, at UN technical assistance rates and without the cost of the hardware and software for training and prototyping activities, would amount approx. 1 million USD.

5.5 HARDWARE AND SOFTWARE REQUIREMENTS As described in the section 4.2 above, it is against the proposed approach for the implementation of the TTFSE project to consider the implementation of the Asycuda system in isolation (e.g. the telecommunication solution - National Customs Communication Network – NCCN - will not support the operation of the Asycuda system only, but of all customs IT systems implemented at national level, e.g. transit integrated with the current Traseca system, enforcement etc).

Therefore, the hardware and software needed for the implementation of the Asycuda system and the complementary applications and interfaces are described in the sections below and this version of this document does not include a separate budget estimation for the implementation of Asycuda only.

6 COMPONENT 2 - COMPUTERISATION OF MCA

6.1 ACTIVITIES

As outlined in section 4.2 above (Proposed approach in the design and implementation of the Component B of the TTFSE project), a “turn-key” solution is strongly recommended for all the non-UNCTAD activities and, consequently, one contract, including:

- delivery, installation, configuration and testing of hardware and system software, including the associated training, to support the piloting and roll-out of the Asycuda prototype, “Frontiera” and additional software modules (applications);

- delivery, installation, configuration and testing of telecommunication hardware and software, including the associated training, for the realisation and functioning of the LANs in all relevant Customs Offices and of the Customs WAN;

- installation and configuration of the Asycuda++ prototype in the IT and communication environment (hardware and system software), piloting and roll-out of the accepted system;

- training of the customs and IT end-users and administrators of the system;

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- integration of the “Frontiera” system with the Asycuda prototype, testing, piloting and roll-out of the system in all relevant Customs Offices (at the border), and training of end-users;

- integration, testing, piloting and roll-out of additional customs applications, developed by other CEEC Customs Administrations in Asycuda++ technology or complementary to Asycuda core system;

- preparation of, in principle, all Customs Offices to be computerised (e.g. electricity, related equipment etc.).

A more detailed description of these activities is in the following sections.

8.1.1 Delivery of IT hardwareThe definition of the IT hardware to be provided by the Contractor of this component started from the following objectives:

- the hardware should support the implementation nation-wide of the Asycuda prototype, of the “Frontiera” system and of additional software modules (applications), with the view to cover as much as possible the RCA needs in terms of computerisation;

- the storage and processing capacity of the hardware should support the functioning of the above applications in an, eventual, increase of the customs activity by 300%.

- the technical specifications of the hardware should provide a medium-term perspective from technical and operational viewpoint.

In addition, as already indicated in section 2.6.1 above, MCA decided that for the implementation of the TTFSE project only the existing PCs Pentium III and the Laser Printers will be considered (and re-distributed at the local level) and, consequently, the additional hardware will be provided by the Contractor.

6.1.2.1 Indicative procurement list

The equipment identified as minimum required to support the functioning of the above mentioned customs systems and applications at national level, as well as a detailed Deployment Plan are attached at Appendix 9 – Stage 1 and Appendix 10 – Stage 2.

This list does not include the training hardware and the barcode readers and printers that are proposed by the MCA for the control of transit operation. It is however recommended to consider these items, which could ensure a better evidence, processing and control of transit documents, as well as customs declarations.

6.1.2.2 Technical specifications

The detailed technical specifications of the proposed IT hardware are attached at Appendix 11. However, they represent the minimum requirements at the moment of the production of this document and should be correspondingly amended (according to the development of the IT technology) before contracting the delivery of the hardware.

6.1.2.3 Special requirements

In compliance with normal practice in the IT business and, especially, taking into account the quality and the costs of the IT services in Moldavia, it is strongly recommended to include in the project/contract documents the obligation of the Contractor to offer a guarantee of min. 3 years for the IT hardware and the service at national level (e.g. intervention time – max. 4 hours in any customs office and 6 hours in any customs post, with replacement of the non-functioning equipment if the problem is not solved in 2 calendar days).

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6.1.2.4 Indicative budget

The table below provides estimates of the costs associated to the IT hardware to be provided by the Contractor:

HW TYPE QUANTITYUNIT PRICE

(Estimated US$)TOTAL PRICE(Estimated US$)

Serv

ers

A 2 60,0001) 120,000B 1 6,0001) 6,000C 1 25,0001) 25,000D 4 10,0001) 40,000E 8 7,0001) 56,000F 6 6,0001) 36,000

Wor

ksta

tions A 8 5,0001) 40,000

B 319 2,0001) 638,000C 54 1,1001) 59,400D 8 3,0001) 24,000E 8 2,0001) 16,000

Prin

ters

A 6 700 4,200B 21 2,500 52,500C 80 500 40,000D 18 1,500 27,000

UPS

A 13 600 7,800B 281 450 126,450C 121 150 18,150

TOTAL 1,476,9001) - Includes the price of the OS

6.1.3 Delivery of system software

6.1.3.1 Operating Systems (OS)Asycuda is based on client-server architecture. As far as the server part is concerned, Asycuda is compatible with several Unix type operating systems, e.g. Unixware, Aix (IBM), Solaris (SUN) etc. The Asycuda client functions on Windows (95, 98, 2000, XP).For the implementation of the system in MCA it is recommended to use Red Hat Linux 6.2 Enterprise Edition for Oracle 8I (on the server) and Microsoft Windows XP Professional Edition (on the clients).

6.1.3.2 Connectivity solution

The Asycuda system uses different technical solutions for connecting the client modules (e.g. Broker, Customs, Transit, Accounting etc, depending on the Windows version installed on the client, by using standard connectivity packages: PCTCP or OnNET (FTP Inc.) – for Windows 95 and 98, and WAMESH (LogicLab Ltd.) - on Windows NT (2000, XP).

Following on from the recommendation in the section above, the connectivity package to be used in MCA system should be WAMESH developed by LogicLab Ltd.

6.1.3.3 Relational Database Management System (RDBMS)

The Asycuda system is functioning on several RDBMS (Oracle, Informix etc). However, as already indicated in section 2.6.3 above, MCA decided for Oracle as the RDBMS of the future Moldavian ICIS. Therefore the Asycuda system should also use Oracle (version 8I is recommended).

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6.1.3.4 Additional software

In order to maximise the benefits for the MCA of the TTFSE Computerisation Component, it is recommended to request the Contractor to provide the following additional software:

- Oracle Developer – for development / re-design of additional applications by MCD;- Office automation - Microsoft Office for XP;- Analytical Investigation Tools – for the implementation of Customs Enforcement

applications (e.g. I2, Watson etc).

6.1.3.5 Indicative procurement list and budget

The following table summarises the system software identified as minimum required to support the functioning of the above mentioned customs systems and applications at national level, and the corresponding estimated budget:

SOFTWARETOTAL PRICE(Indicative US$)

OS server - Red Hat Linux 6.2 Enterprise Edition for Oracle 8I 1)

OS client - Microsoft Windows XP Professional Edition 1)

Connectivity software – VAMESH 40,000RDBMS - Oracle 8I 350,0002)

Additional software - Oracle Developer 50,0002)

Microsoft Office for XP 1)

Analytical Investigation tools 200,000TOTAL 640,000

1) – Included in the price of the equipment2) - Oracle had in the past the policy to consider Asycuda as one user and, consequently, only one

license would be needed to be purchased. However, it is for MCA to confirm/negotiate with Oracle local or regional representative that the same commercial policy would be applied in the case of the TTFSE project. If necessary, UNCTAD / Asycuda team could assist MCA in these negotiations.

6.1.3.6 Special requirements

In compliance with normal practice in the IT business and, especially, taking into account the quality and the costs of the IT services in Moldavia, it is strongly recommended to include in the project/contract documents the obligation of the Contractor to offer a guarantee of min. 3 years for the system software, including the provision of all new versions/releases issued in this period and of the associated services at national level.

6.1.4 Services associated with delivery of IT hardware and system software

6.1.4.1 Installation, configuration and testing of IT hardware and system software

The Contractor should be requested to install the system software on the delivered hardware and to configure it for the optimum functioning of the application software, prior to the on-site delivery, in accordance with its destination as per Indicative Deployment Plan at Appendix 9 and, eventually, Appendix 10. The hardware and system software should, ideally, be tested before the installation of the application software.

6.1.4.2 Training

The Contractor should be requested to provide the MCA staff with training courses on the installation, configuration, administration, programming etc. of the system software on the

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proposed hardware. It is recommended to request the Contractor to provide, as a minimum, the following courses:

TRAINING COURSENO. OF

PARTICIPANTSTOTAL PRICE (Indicative US$)

Uni

x Unix theory 8 80,000Red Hat Linux 6.2 Enterprise Edition for Oracle 8I 8 80,000

Microsoft Windows XP Professional Edition 8 20,000VAMESH 4 1)

RD

BM

S O

racl

e

Introductory Courses - Languages:Data Modeling and Relational Database DesignIntroduction to Oracle: SQL and PL/SQLDevelop PL/SQL Program UnitsIntroduction to Oracle: SQLIntroduction to Oracle: PL/SQL FundamentalsAdvanced PL/SQL Extended Data Retrieval with SQL

8 38,6002)

Oracle Server (8I):New Features for AdministratorsDatabase AdministrationBackup and RecoveryNetwork AdministrationPerformance TuningEnterprise Manager

3 17,2502)

Oracle Developer:Build FormsBuild ReportsOracle8 for Application DevelopersDeveloper Server: Deploy Web Based ApplicationsOracle Developer R6: New FeaturesOracle8I: SQL Statement TuningOracle Pre-compilers (Pro*C)

8 46,0002)

Analytical investigation tools 4 1)

TOTAL 301,8501) – Included in the price of the licence2) - Catalogue prices, to be negotiated with Oracle local or regional representative

It strongly recommended to ensure the participation of the MCA IT team in the above courses as soon as possible after the start of the TTFSE project or, at least, to request the Contractor to deliver the above courses as soon as possible after the signature of its contract.

MCD IT Department envisages also the participation of the IT experts in additional Oracle training courses (table below), with the view to further develop the Customs IT System independently from the external technical assistance and in compliance with the development of the IT technology.

These training courses are not critical for the implementation of the project, but would ensure the development of in-house expertise, would provide a larger professional perspective to the IT staff and also a professional motivation for the hard work to be carried in this project. However, the decision to ensure the participation of the MCA IT experts in these training courses should be taken in accordance with the budget available (see also foot note) and necessarily combined with administrative measures to guarantee the continuation of the trained personnel within the project and MCA.

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TRAINING COURSENO. OF

PARTICIPANTSTOTAL PRICE (Indicative US$)

RD

BM

S O

racl

eData warehousing and Datamart Suit:

Oracle Data Warehousing FundamentalsIntroduction to Oracle Data WarehousingImplementing Oracle Warehouse BuilderDatabase Design for Oracle WarehouseOracle Datamart Suit Implementation

3 7,425(*

Oracle Developer Release xIOracle Forms Developer: Build Internet ApplicationsOracle Reports Developer: Build Internet Reports

8 28,600(*

Oracle Designer Release x.XXProduct OverviewRepository ManagementServer Design & GenerationOracle Designer: Web Design and Generation

3 6,000(*

Internet Application ServerAdministrating Oracle xi Application ServerDevelop Web-based Applications with PL/SQL

8 11,000(*

JDeveloper 3Java ProgrammingDevelop Database Applications with JavaCreate Servlets and JavaServerPagesDevelop Applications with Enterprise JavaBeans

8 28,600(*

Oracle Internet Database Operator for WindowsNTJava Database AdministrationDistributed Database ImplementationAdvanced ReplicationParallel Server Implementation

3 13,650(*

Oracle Financial AnalyzerIntroduction to Oracle Financial AnalyzerOracle Financial Analyzer for Administrators

3 3,750(*

Oracle Applications - FinancialsNavigating Oracle ApplicationsIntroduction to Oracle FinancialsOracle General LedgerOracle ReceivablesOracle Fixed AssetsOracle Inventory

3 17,250(*

Oracle Applications - Technical FoundationInstalling and Maintaining Oracle ApplicationsOracle Applications System Administration

1 1,750(*

Oracle Applications - HRMIntroduction to Oracle Human ResourcesOracle Human Resources

2 3,000(*

TOTAL 121,025(* - Catalogue prices, to be negotiated with Oracle local or regional representative

6.1.5 Delivery of telecommunication hardware and softwareThe definition of the telecommunication hardware and software to be provided by the Contractor of this component is in compliance with the approach defined in section 7 above.

6.1.5.1 Indicative procurement list and budget

The following table summarises the equipment required to realise in full the National Customs Communication Network (NCCN), including the MCD LAN, in compliance with the architecture described in section 7:

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TELECOMMUNICATION HARDWARE AND SOFTWARE

QUANTITY /licenses/users

UNIT PRICE (Indicative US$)

TOTAL PRICE (Indicative US$)

Rou

ters

Type A 2 48,920Router A 2 14,000 28,000Network module(s) 2 2,900 5,800Voice interface card(s) 4 480 1,920Associated software 2 6,600 13,200

Type B 4 77,760Router B 4 7,800 31,200Network module(s) 8 3,360 26,880Voice interface card(s) 4 480 1,920Associated software 4 4,440 17,760

Type C 13 65,442Router C 13 3,354 43,602Voice interface card(s) 39 560 21,840

Mod

ems Type A (leased lines) – 64-128 kbps 44 600 26,400

Type B (leased lines) – 256-768 kbps 16 1,300 20,800Type C (dial-up) 78 72 5,616

Fire

wal

l Firewall (central server) 1 56,256 56,256Firewall (Customs Offices) 17 1,200 20,400

Security software (client, 100 users) 5,520Web Server Certificate 120PC certificate 100 18 1,800Entrust Server 30,000Anti-virus 200 65 13,000Security Manager 45,000Entrust Single Application ID 63,600Enrollment Server for Web 22,800

TOTAL 503,434

Note: The prices used for the indicative budget above represent average of catalogue prices, and they should be considered in the context of a tendering offer. However, the budget above indicates that the telecommunication hardware and software will represent an important part in this component.

However, as already indicated in the section 2.6.2 above, this architecture is scaleable and modular. Depending on the available budget and implementation strategy, it could be implemented nation-wide through the TTFSE project (recommended) or it could be realised step-by-step. In the latter case, however, not all envisaged telecomm services would be available during the implementation of the TTFSE project and the impact of its implementation in the MCA would be limited.

In order to take the decision concerning the strategy for the implementation of the NCCN in Moldavia, it is strongly recommended to contract a telecommunication site survey, which should

- provide the final design of the NCCN, within the approach outlined in the section 7, analysing in detail the existing infrastructure in all Customs Offices and Posts;

- clarify with Moldtelecom the availability of the infrastructure in Chisinau and in the country, as indicated in Appendix 12, and the availability to host MCA hardware in their premises etc;

- finalise, accordingly, the technical documentation (quantity and quality) for the telecommunications hardware and software to be provided by the future Contractor of this component, implementation etc.

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The duration of such a site survey would be max. 60 man-days, but it would decide on this crucial part of the Component 2 and will ensure the functioning of the Customs IT systems in optimum conditions.

6.1.5.2 Telecommunication hardware - technical specifications

The technical specifications of the telecommunications hardware and software described in the previous sections are attached at Appendix 13.

6.1.5.3 Local Area Networks (LANs)

An important component of the telecommunications architecture are the LANs that should be installed in each customs site (MCD, Customs Offices and Posts). As already indicated in Section 2.6.2 above, MCA envisages therefore the cabling of the customs sites to be computerised, through the TTFSE project, in modular approach (structured cabling, EIA/TIA 568/569) and with the initial installation limited to the requirements of the TTFSE project.

The available information about the infrastructure of the Customs Offices and Posts is attached at Appendix 14.

However, the available information is not sufficient for the estimation of the passive and active components of the LANs, the installations and testing in all customs sites and the training of the MCA staff involved in this types of activities. It is therefore strongly recommended to finance the site survey mentioned in section 8.1.4.1 above, which should also include the design of all LANs in all customs sites to be computerised, the definition and budgeting of the cabling and passive and active components and the additional services to be performed by the Contractor. In this case, the duration of the site survey should be increased with 45 man-days.

6.1.6 Services associated with delivery of telecomm hardware and software

6.1.6.1 Installation, configuration and testing of telecommunication hardware and software

The Contractor should be requested to install and configure the telecomm hardware and software offered, and to test the functioning of the NCCN at national level both for Asycuda system and the additional application software, and for voice.

6.1.6.2 Training associated to telecommunication hardware and software

The Contractor should be requested to train the MCD IT staff (Telecommunication Department) in the telecomm hardware and software delivered, its installation, configuration and administration at local and national level.

6.1.6.3 Special requirements

In compliance with normal practice in the IT business and, especially, taking into account the quality and the costs of the IT services in Moldavia, it is strongly recommended to include in the project/contract documents the obligation of the Contractor to offer a guarantee of min. 3 years for the telecommunications hardware at national level (e.g. intervention time – max. 4 hours in any customs office and 6 hours in any customs post, with replacement of non-functioning equipment if the problem is not solved in 2 calendaristic days).

Similar to the above, it is strongly recommended to include in the project/contract documents the obligation of the Contractor to offer a guarantee of min. 3 years for the telecommunication software, including the provision of new versions/releases issued in this period, and of the associated services at national level.

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6.1.7 Implementation of Asycuda nation-wide

6.1.7.1 Installation and configuration of Asycuda++ prototype in the IT and telecomm environment

The Contractor should be requested to install and test the Asycuda++ prototype in the MCA IT environment created by the IT and communication hardware and software delivered, installed and configured by the Contractor. In this stage, fine tunings of the prototype and/or the system software could, eventually, be necessary and it is expected that both the UNCTAD/Asycuda team and the Contractor team would be requested to work jointly with the MCA IT team for the functioning of the Asycuda prototype in optimum conditions.

6.1.7.2 Piloting of the system and roll-out of the accepted system

The purpose of the pilot phase is to verify the set-up and the functioning of the system, including all associated procedures, methodologies and flow of documents, in real operational conditions.

In this context, special attention should be given by the Contractor to the programming of specific reports, communication procedures (including the configuration of the Asycuda A++Gate and the programming of A++Agents) and set-up of early-warning procedures (transit).

It is strongly recommended to include in the pilot phase the MCA Headquarters (MCD), one customs office (i.e. Chisinau) with its subordinated Customs Posts (e.g. Railways, Anenii Noi, Orhei, Ialoveni, Straseni, Criuleni), and 1-2 significant border post(s) (i.e. Chisinau Airport and Sculeni/Giurgiulesti) with its subordinated offices ( - / Free zone "Valcanes", Giurgiulesti-Halta 293, Etulia).

When the pilot will be validated and accepted by the parties involved – MCA with the TTFSE project team, UNCTAD/Asycuda team – the Contractor could proceed with its implementation in the remaining Customs Offices and Posts.

It is strongly recommended that the acceptance of the roll-out of the system is done on “each finalised site” basis, and that the payment of the Contractor is conditioned by the functioning of the integrated solution (hardware + system software + telecommunications hardware and software + Asycuda system and A++Gate/Agents + training) in each customs site.

6.1.7.3 On-site training of customs and IT end-users and administrators

The Contractor should be requested to provide all the on-site training for the following categories of personnel:

- customs officers - the use of the system, according to their specialisation (control of documents, accounting, transit etc);

- customs IT personnel - the administration of the system, back-up procedures, communication procedures.

All the costs related to the on-site training should be considered by the Contractor and included correspondingly in its financial offer.

6.1.8 Integration of the “Frontiera” system with Asycuda

6.1.8.1 Integration of “Frontiera” system As indicated in section 2.6.4 above, the implementation of Asycuda would complement the missing functions and components of the ‘Frontiera’ application (single window payment system). Consequently, it is strongly recommended to request the Contractor to amend the existing application, in conjunction with the MCD IT Department, with the view to integrate/interface the existing ‘single window payment’ mechanisms into/with the Asycuda clearance (MODCBR) and accounting (MODACC) functions.

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6.1.8.2 Testing, piloting and roll-out of the system in all relevant Customs Offices (at the border) and training of end-users

The Contractor should be requested to test and pilot the “Frontiera” component of the Moldavian Asycuda prototype in a similar way (and, ideally, time) with the Asycuda pilot. In any case, the roll-out of Asycuda/Frontiera should not be seen as a separate activity, but integral part of the Asycuda roll-out.

6.1.9 Preparation of the infrastructure of the customs sites for computerisation

The preparation of the Customs Offices and Posts for computerisation comprises, in addition to the installation of LANs, the

- assessment of the electrical network (plugs, lights etc) in the offices where computers will be installed and its improvement wherever the case;

- installation of local air-conditioning devices in offices where this is necessary;- anti-dust measures (plastic floors, isolation of windows etc)

The site survey recommended in sections 8.1.4.1 and 8.1.4.3 could also offer the opportunity for assessing the above and could define in detail the necessary works/improvements to be done by the Contractor. It is estimated that 15 additional man-days in total would be sufficient for this additional work in the site survey.

6.1.10 Integration, testing, piloting and roll-out of additional customs applications, developed by other CEEC Customs Administrations in Asycuda++ technology or complementary to Asycuda core system;

As already indicated in section 4.2 above, there are several customs applications that have been developed by other CEEC Customs Administrations as modules complementing the Asycuda system or as independent applications. These applications have been developed in Asycuda++ technology or in various other technologies.

A non-exhaustive list of such applications follows (including the Customs Administration where it was developed):

- Transit Module (Estonian and Romanian Customs)- Enforcement System (Romanian Customs)- DTI interfaces (Macedonian and Romanian Customs), - Barcode System (Slovak Customs), - Customs Accounting Module (Romanian Customs), - Management Information System (Romanian Customs).

In principle, such applications could be obtained at no costs from these Customs Administration and their integration within the Moldavian ICIS could be done by the Contractor of this component of the TTFSE project. Therefore, the Contractor should be requested to explain in detail how it will integrate the additional modules into the Asycuda and ICIS environment.

6.2 DURATION AND TIMESCHEDULE The experience of implementation of similar systems nation-wide in similar conditions (size of the administration, availability of resources, geographical distribution, infrastructure etc) proved that the activities above could be finalised in 18 months.

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INDICATIVE TIMESCHEDULE for Component 2 activities

CONTRACTOR’S ACTIVITIES YEAR 1 YEAR 2Trim.1Trim.2Trim.3Trim.4Trim.5Trim.6Trim.7Trim.8

Delivery of IT hardware and system software Installation, configuration & testing of HW & system SW Training in HW and system SW Delivery of telecommunication hardware and software Installation, configuration & testing of telecom HW & SW Training in telecomm HW and SW Installation & configuration of Asycuda++ prototype Piloting and testing of the system Roll-out of the system On-site training of the Asycuda users and IT experts Integration of Frontiera system with Asycuda prototype Testing and piloting of the system Roll-out of the system in all relevant Customs Offices Preparation of sites infrastructure for computerisation Integration, testing, piloting & roll-out of additional customs applications, developed by other CEEC Customs Administrations

6.3 BUDGET The budget components available at the moment of the elaboration of this system were the following:

COMPONENTTOTAL PRICE(Indicative US$)

IT hardware 1,476,900IT system software 640,000Associated services 1,000,000*)

Training on IT hardware and software 301,850Telecommunication hardware and software 503,434TOTAL 3,922,184

*) – Percentage of the IT hardware and system software

However, this budget does not include the following services:- Preparation of sites infrastructure for computerisation, including implementation of

LANs;- Integration, testing, piloting & roll-out of additional customs applications, developed by

other CEEC Customs Administrations.

6.4 PROFILE OF THE CONTRACTOR

In order to guarantee the implementation of activities described above in the Component 2, the Contractor should be a company/consortium with proven experience, as a minimum, in:

- implementation of similar projects;- customs computerisation projects, including declaration processing, transit,

enforcement, accounting;- design and implementation of telecommunication systems;- implementation of Asycuda system nation-wide;

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- IT integration, in general, and in the Asycuda environment and technology, in particular;- IT and customs training.

7 INTERFACES WITH EXTERNAL SYSTEMSThe following interfaces/systems are external to the Customs IT System and, despite the benefit of exchanging data with them, their development and/or integration cannot be included in the components 1 and 2 described above.

7.1 SGSThe development and implementation of the planned interface between the PSI company (Pre-Shipment Inspection) and the MCA declaration-processing system in not relevant in the current context, especially, due to the fact that there is not a legal basis for the use of this information in the during the customs clearance process. The information provided by the PSI company would be more relevant in customs enforcement activities (e.g. post-clearance audit), which are currently very limited as number and impact.

However, in the context of the implementation of the Asycuda system, including the (re-)training of MCA staff through the US component of the TTFSE project, the interfacing of the PSI system with the MCA declaration-processing system would have a relevant impact on the customs enforcement activities.

Given the particularities of the two systems, it is recommended to develop this interface within the Customs IT Department. This would ensure both the integrity of data and the reconciliation between the CRF (Clear Report Findings) and the import customs declaration with means specific to the customs business.

7.2 VAT SYSTEM

The US is currently assisting the Moldavian Government, through an USAID project, to elaborate and implement an EU compatible legislation on tax collection and fight against smuggling. In this context, it was implemented a computerised VAT system which supports VAT audit activities.

The exchange of data between the VAT system and the customs declaration-processing system and databases would enhance both the effectiveness of the VAT and customs audit activities, and the consistent enforcement of the national legislation.

The solution envisaged by the Tax Administration is simple from technical and functional viewpoint, and it could have a significant impact in the activities of the two administrations. The solution could be summarised as follows:

- a “VAT database/server” (located, eventually, in the premises of the MCD) will comprise the “VAT relevant information” from the customs declarations, transferred from the “Customs database/server”;

- the “VAT database/server” will provide on-line access to the VAT system and further VAT audit officers;

- the “Customs system” will use the available “VAT information” for the specific customs enforcement activities.

The interface between the MCA IT system and the VAT system could be easily developed by the Customs IT Department and the VAT Department within the Ministry of Finance. It is therefore recommended not to include this activity in the TTFSE project activities financed by the World Bank.

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7.3 TRACKING VEHICLE PROJECT

This project was initially proposed by the Telecommunication Department within MCD, with the wide view of streamlining the transit control and reporting. However, this proposal is based more on technical assumptions than on a customs approach to this area of the MCA business. In addition, the involved MCD staff has not an accurate idea, first of all, on the purpose of such a system and, also, on the costs associated with its implementation and operation.

It is therefore recommended to limit this component of the TTFSE project to the use of such electronic means for customs enforcement purposes, as discreet/hidden instruments to survey selected transports.

The barcode system interfaced with Asycuda system is a more simple and cost-effective instrument to streamline the transit control and to implement timely reporting and early-warning functions.

8 INSTITUTIONAL/PROCEDURAL ASPECTSAs already indicated in sections 2.3 and 2.7.1 above, the major institutional impact of the computerisation of MCA is the implementation of a new declaration path, with the result that some of the existing control positions in the declaration-processing path will have to be revised. Due to the fact that these control positions are only the front-desk part of normal functions of any Customs Administration (control of customs value, origin, post-audit etc) the personnel that operates currently in these positions must not be made redundant, but trained in the respective customs subjects and functions in accordance with the EU standards and best practice, with the view to continue its work in a professional manner in the back-office.

In similar way, the enforcement and customs statistical functions within MCD will have to be revised and people re-trained.

Consequently, this computerisation project supported by the US component on ‘Strengthening of MDC Institutional Capacity’ will become a “customs modernisation programme” type with a, potentially, crucial impact on the MCA.

9 ORGANISATION OF THE PROJECTIn spite of the small number of personnel in the MCD, the implementation of this project should be done in accordance with all project management principles, especially, due to its complexity and the tentative timeschedule.

It is therefore recommended to create the following project management and co-ordination structure within the MCA:

- Project Steering Committee (PSC) – as the top decision body of the project. It should comprise the MCA Board of Directors to which the Project Manager should report. The PSC should have the overall responsibility of implementation of the project, should approve the strategy and the priorities of the project, and the final acceptance of the Contractor’s work. The PSC should, ideally, be chaired by the Director General of MCA.

- Review Group (RG) – with the competence to act as the first instance to solve the problems raised by the Project Manager.

- Project Manager (PM) - responsible for the co-ordination of the daily implementation of the project.

- Regional Management Group – with the overall responsibility for the effective implementation of the project in the 17 Customs Offices and the subordinated Customs Posts. In the current in-country activities MCA Team Leaders should liase with the

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MCA Customs Liaison Officers, representing the Heads of the Customs Offices and who are responsible to assure the appropriate organisational conditions for the implementation of the project within their region..

- Users Team – the most important team, comprising representatives of the relevant Customs and Financial and Accounting Departments within MCD and the main Customs Offices, with full responsibility for the customs aspects of the design, development, delivery and implementation of each activity of the project. This team should act as a quality-assurance body in the implementation of project activities.

- Implementation Team - responsible for the effective implementation of the activities, with specific competencies for the hardware and system and application software implementation.

- Telecomm team – responsible for the implementation and operation of the NCCN, comprising the telecommunications hardware and software.

- Integration Team - responsible for the co-ordination of all the activities related to integration of systems and application software with Asycuda.

- Training Team - responsible for the co-ordination of all training related activities (elaboration of training materials, delivery of training, participation of MCA staff to the training courses, evaluation of the trainees and of the impact of the training in the operational activity etc).

- Acceptance Team - responsible for the acceptance procedures (elaboration of acceptance tests and procedures, performance of tests, confirmation/ recommendations etc).

The following diagram outlines a possible project organisational structure:

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Telecomm Team

TrainingTeam

Acceptance Test Team

Users Team

PROJECT STEERING COMMITTEE

Project Director

Project ManagerREGIONAL

DIRECTORSGROUP

Customs Liaison Officers

Implementation Team

WORLD BANKPROJECT TEAM

Integration Team

10 INDICATORS OF ACHIEVEMENTDue to the very short period of time to elaborate this report and given the fact that MCA project team is not familiar with the Asycuda system and/or with what could be the result of a comprehensive customs computerisation programme within the beneficiary administration, it was not agreed with MCA the indicators of achievement for the implementation of the TTFSE project.

However, there are several indicators of achievement that could measure the result of the implementation of this project:

- reduction of time necessary to produce the customs and trade statistics;- decrease of processing time for a customs declaration;- increase of detection rate of customs offences;- percentage of customs declarations submitted on-line;

11 CONCLUSIONSThe author of this report is convinced that the TTFSE project implemented within the approach described in the previous sections could easily be a very successful project and a reference in the south and east of Europe for the World Bank, in general, and of its TTFSE programme, in particular.

In combination with the US component, this project will increase its dimension from a computerisation project to a customs modernisation project. This process was common, to various extends, to all the CEEC Customs Administrations. The advantage of MCA is that it could capitalise on the experience and results of previous projects.

The commitment of the MCA team and the availability of the necessary financial resources, associated with a viable design and a strong project management and co-ordination are the starting base for building the success of one of the most important projects now in Moldavia.

11.1 INDICATIVE PROJECT IMPLEMENTATION PLAN

See sections 5.3 and 6.2 above.

12 RECOMMENDATIONSA brief list of the main recommendations of this report follows:

1. To group the activities of the project outlined initially in various TTFSE project proposals in two components: - Component 1 – UNCTAD, and- Component 2 - Computerisation of MCA, as a “turn-key solution” and contract.

2. Component 1 (estimated budget: 1 million US$) would comprise:- Asycuda++ software modules, for multiple licence use within the legal national

boundaries of the beneficiary Customs Administration, including the subsequent available versions of the Asycuda++ application software for an undermined period of time;

- Asycuda++ technical and functional documentation;- Asycuda++ training material (functional and technical);- Remote ad-hoc technical support for the Asycuda++ application software; - Awareness programmes;- Asycuda functional and technical training; - Functional analysis;- Realisation of the Moldavian Asycuda prototype;

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- Technical assistance during the piloting and roll-out of the prototype;- Technical assistance during the integration and implementation of additional software

modules (applications);- Experts: - one full-time in-country customs IT expert

- UNCTAD/Asycuda experts on short- and medium-term basis- short-term experts from the CEEC Customs Administrations, with

extensive experience in the implementation of the system- local short-term experts, with the view to develop in-country expertise

and the basis for the sustainability of the system nation-wide at the end of the TTFSE project.

3. Component 2 (estimated budget: min. 4 million US$) would comprise: - Delivery, installation, configuration & testing of IT hardware and system software;- Training courses on IT hardware and system software- Delivery, installation, configuration & testing of telecommunication hardware and

software;- Training in telecommunication hardware and software;- Installation & configuration of Asycuda++ prototype in the MCA customs IT

environment; - Piloting and testing of the system;- Roll-out of the system;- On-site training of the Asycuda users and IT experts;- Integration of “Frontiera” system with Asycuda prototype, testing and piloting of the

system;- Roll-out of the system in all relevant Customs Offices;- Preparation of sites infrastructure for computerisation, including implementation of

LANs;- Interfacing with the SGS system;- Interfacing with the VAT system;- Integration, testing, piloting & roll-out of additional customs applications, developed

by other CEEC Customs Administrations.

4. UNCTAD project team:- One full-time customs IT expert with sound proven customs and project management

experience, due to the fact that the technical assistance in the customs area could be delivered, primarily, through the US component (Strengthening of MDC Institutional Capacity), and through the UNCTAD short- and medium-term mission of a customs analyst.

- To include short-term experts from the CEEC Customs Administrations that have a good experience in the implementation of the system, in particular from the TTFSE countries.

- To include local short-term experts, with the view to develop in-country expertise and a sound basis for the sustainability of the system nation-wide at the end of the TTFSE project.

5. US ComponentTo train/re-train the MCA staff from the perspective of the computerisation (and, possibly, amendment) of the customs operations. The first component of the TTFSE project, which will be financed by US, could play an important role in this respect.

6. Architecture of the system:- In the current stage of development of the telecommunication system in Moldavia, the

most suitable architecture for the implementation of the Asycuda and of the complementary applications is the decentralised architecture, with the perspective to migrate gradually in the future to a combined architecture and/or the use of Internet technologies.

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- To purchase the training equipment needed for the organisation and delivery of the Asycuda functional and technical training courses through the Component 2.

7. Oracle:To confirm/negotiate with Oracle local or regional representative that the same commercial policy (i.e. Asycuda is considered one user and, consequently, only one license is needed to be purchased) would be applied in the case of the TTFSE project.

8. Telecommunications:- To contract a telecommunication site survey (60 man-days), which should

- analyse in detail the existing infrastructure in all Customs Offices and Posts, and to provide the final design of the NCCN

- clarify with Moldtelecom the availability of the telecom infrastructure - finalise, accordingly, the technical documentation for the telecomm

hardware and software.- assess the existing infrastructure conditions (electricity etc) and define in

detail the necessary works/improvements to be done(15 additional man-days).

- design all LANs in all customs sites to be computerised, define and budget the cabling and passive and active components and the additional services to be performed (additional 45 man-days).

9. Pilot Phase:To include in the pilot phase - the MCA Headquarters (MCD), - one customs office (i.e. Chisinau) with its subordinated Customs Posts (e.g. Railways,

Anenii Noi, Orhei, Ialoveni, Straseni, Criuleni),

10. Training:To provide as soon as possible the relevant MCA personnel with the appropriate IT training courses, to allow them to participate effectively in the prototyping and roll-out of the Asycuda system, the design and implementation of the NCCN.

11. Interfaces with external systems:To develop interfaces with PSI and VAT systems with internal MCA resources.

12. Tracking vehicle system:To limit this component to the use of such electronic means for customs enforcement purposes only, as discreet/hidden instruments to survey selected transports.

**********************

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APPENDIX 1

ORGANISATIONAL CHART(ORGANIGRAM)

OF THE MOLDAVIAN CUSTOMS DEPARTMENT(MCA HEADQUARTERS)

1

MCAMCADIRECTOR DIRECTOR GENERALGENERAL

VICE-DIRECTOR VICE-DIRECTOR GENERALGENERAL

Fight Against Corruption & Protectionism

Division

Customs Law & External Relations

Division

National Office SECI / RILO

Customs Computing Center

“Vama”

ADVISER

Public Relations Department

Personnel and Training Division

Operational Division

Anti-smuggling & Anti-fraud Div.

Office of the Director General

DEPUTY-DIRECTOR DEPUTY-DIRECTOR GENERALGENERAL

Economic & Financial Control

Division

Customs Control Division

Logistic Division

APPENDIX 2

LIST

OF CUSTOMS OFFICES AND

SUBORDINATED CUSTOMS POSTS

CUSTOMS OFFICE CUSTOMS POST TypeInland Border Railway Ferry

1 Airport 2 Balti

1 Falesti 2 Singerei 3 Glodeni 4 Rascani 5 Telenesti 6 Drochia

3 Basarabeanca 7 Cimislia 8 Free zone "Tvarnita" 9 Cainari 10 Serpniovoie 11 Chiriet-Lunga 12 Maloiaroslavet 13 Novie Troiani

4 Bender 14 Stefan-Voda 15 Cuciurgani 16 Palanca 17 Tudora 18 Saiti

5 Briceni 19 Edinet 20 Bulboaca 21 Grimancauti 22 Larga 23 Medveja 24 Criva 25 Lipcani 26 Briceni-Rososani

6 Cahul 27 Cantemir 28 Taraclia 29 Leova 30 Cairaclia 31 Mirnii

7 Chisinau 32 Railways 33 Anenii Noi 34 Orhei 35 Ialoveni 36 Straseni 37 Criuleni

8 Free zone "Expo-Business-Chisinau" 38 Subzona "Sud-est"

9 Comrat 39 Ceadar-Lunga 40 Vulcanesti

1

10 Costesti

11 Giurgiulesti 41 Free zone "Valcanes" 42 Giurgiulesti-Reni 43 Giurgiulesti-Halta 293 44 Cismichioi-Reni 45 Etulia 46 Vulcanesti-Bolgrad

12 Leuseni 47 Hincesti 48 Nisporeni

13 Ocnita 49 Donduseni 50 Free zone "Otaci-Business" 51 Ocnita 52 Unguri 53 Otaci 54 Naslavcea 55 Clocusna-Sokireani 56 Clocusna-Gvozdivti 57 Ocnita-Sochireani

14 Ribnita 58 Mateuti 59 Soldanesti

15 Sculeni

16 Soroca60 Floresti 61 Soroca 62 Vasilcau 63 Cosauti

17 Ungheni 64 Calarasi

TOTAL 26 39 4 1

2

APPENDIX 3

INDICATIVE LIST

OF THE CUSTOMS OFFICES AND CUSTOMS POSTS

TO BE COMPUTERISED IN IN THE 1 ST STAGE

CUSTOMS OFFICE CUSTOMS POST TypeInland Border Railway Ferry

1 Airport

2 Balti 1 Falesti 2 Singerei 3 Glodeni 4 Rascani 5 Telenesti 6 Drochia

3 Basarabeanca 7 Cimislia 8 Free zone "Tvarnita" 9 Cainari 10 Serpniovoie 12 Maloiaroslavet

4 Bender 14 Stefan-Voda 15 Cuciurgani 16 Palanca 17 Tudora

5 Briceni 19 Edinet 24 Criva 25 Lipcani 26 Briceni-Rososani

6 Cahul 27 Cantemir 28 Taraclia 29 Leova 31 Mirnii

7 Chisinau 32 Railways 33 Anenii Noi 34 Orhei 35 Ialoveni 36 Straseni 37 Criuleni

8 Free zone "Expo-Business-Chisinau" 38 Subzona "Sud-est"

9 Comrat 39 Ceadar-Lunga 40 Vulcanesti

10 Costesti 11 Giurgiulesti

41 Free zone "Valcanes" 43 Giurgiulesti-Halta 293 45 Etulia

1

12 Leuseni 47 Hincesti 48 Nisporeni

13 Ocnita 49 Donduseni 50 Free zone "Otaci-Business" 51 Ocnita 53 Otaci

14 Ribnita 58 Mateuti 59 Soldanesti

15 Sculeni

16 Soroca60 Floresti

17 Ungheni 64 Calarasi

TOTAL 26 39 4 1

2

APPENDIX 4

INDICATIVE LIST

OF THE CUSTOMS POSTS AT THE BORDER

TO BE COMPUTERISED IN THE 2 ND STAGE

CUSTOMS OFFICE CUSTOMS POST TypeInland Border Railway Ferry

3 Basarabeanca11 Chiriet-Lunga 13 Novie Troiani

4 Bender18 Saiti

5 Briceni20 Bulboaca 21 Grimancauti 22 Larga 23 Medveja

6 Cahul30 Cairaclia

11 Giurgiulesti42 Giurgiulesti-Reni 44 Cismichioi-Reni 46 Vulcanesti-Bolgrad

13 Ocnita52 Unguri 54 Naslavcea 55 Clocusna-Sokireani 56 Clocusna-Gvozdivti 57 Ocnita-Sochireani

16 Soroca61 Soroca 62 Vasilcau 63 Cosauti

TOTAL 19 1

1

APPENDIX 5

STRUCTURE OF PERSONNEL IN THE

MOLDAVIAN CUSTOMS DEPARTMENT

DIVISION / Department NO. PERS.

Director General 1Vice-Director General 1Deputy Director General 1Advisor of the Director General 1Secretariat 1Public Relations Department 1PERSONNEL & TRAINING DIVISION (‘Directia de Persoinal si Instruire Profesionala’) 5

Head of Division 1 Experts 4OPERATIONAL DIVISION (‘Directia Operativa’) 8 Head of Division 1 Special Missions (‘Sectia Misiuni Speciale’) 2 Internal Regime (‘Sectia Paza si Regim’) 5ANTI-SMUGGLING & ANTI-FRAUD DIVISION (‘Directia lupta cu Contrabanda si Incalcarea Reglementarilor vamale’) 11 Head of Division 1 Anti-smuggling (‘Sectia de Combaterea Contrabandei’) 4 Investigation (‘Sectia Investigare’) 2 ?? Department (‘Sectia Ancheta Penala’) 4OFFICE OF THE DIRECTOR GENERAL(‘Directia Secretariat si Protocol’)

5 Head of Division 1 Experts 4FIGHT AGAINST CORRUPTION & PROTECTIONISM DIVISION(‘Directia de Combaterea Coruptiei si Protectionismului’) 1CUSTOMS LAW & EXTERNAL RELATIONS DIVISION(‘Directia Drept Vamal si Relatii Externe’)

7 Head of Division 1 Legal Department (‘Sectia Juridica’) 3 External Relations (‘Sectia Relatii Externe’) 3National Office SECI/RILO (‘Biroul national SECI/RILO’) 3CUSTOMS COMPUTING CENTRE “VAMA”(‘Centrul Informational Specializat “Vama”’) 21 Head of Division 1 Programming & Implementation (‘Sectia Programare, Implementare’) 4 Information Control (Processing) (‘Sectia Control Informational’) 5 Customs Statistics (‘Sectia Statistica Vamala’) 6 Telecommunications and Computer Engineering Services (‘Sectia Telecomunicatii’) 5ECONOMIC & FINANCIAL CONTROL DIVISION(Directia Economie si Control Financiar’)

23 Head of Division 1 Accounting (‘Sectia Economico-Financiara’) 5 Customs Tariff (‘Sectia Reglementare Tarifar-Vamala’) 5 Financial Audit (‘Sectia Audit Economic’) 5 Management of Customs Information (‘Sectia Gestionarea Informatiei Vamale’) 4 Customs Valuation & Origin (‘Sectia Evaluarii in Vama & Originea Marfurilor’) 3

1

CUSTOMS CONTROL DIVISION(Directia Control Vamal)

10 Head of Division 1 Customs Inspection (‘Sectia Inspectare Vamala’) 4 Surveillance of Economic Transactions (‘Sectia Supravegherea Tranzactiilor Economice’) 5LOGISTIC DIVISION (‘Directia Administrativa’) 15 Head of Division 1 Logistic & Investment (‘ Sectia Aprovizionare & Exploatarea Fondului Imobil’) 4 Auxiliary personnel (‘Sectia Administrativ-Gospodareasca’) 10TOTAL PERSONNEL 115

2

APPENDIX 6

STRUCTURE OF PERSONNEL IN THE CUSTOMS OFFICES

AND THE SUBORDINATED CUSTOMS POSTS(1ST STAGE)

CUSTOMS OFFICE/Sections CUSTOMS POST/SectionsNO. PERS.(posts/

effectrive)1 AIRPORT 59

Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 3Economic & Financial Control 7Customs Control 7Anti-smuggling & Anti-Fraud 4Tourists/Physical persons 32Logistic 3

2 BALTI 54Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 4Economic & Financial Control 10Customs Control 20Anti-smuggling & Anti-Fraud 4Logistic 3

1 FalestiEconomic & Financial Control 1Customs Control 1

2 SingereiEconomic & Financial Control 1Customs Control 1

3 GlodeniCustoms Control 1

4 RascaniCustoms Control 1

5 TelenestiCustoms Control 1

6 DrochiaDocumentary control, IT & Statistics 1Economic & Financial Control 1Customs Control 1

3 BASARABEANCA 32Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1Economic & Financial Control 4Customs Control 23Anti-smuggling & Anti-Fraud 1Logistic 1

7 CimisliaCustoms Control

8 Free zone "Tvarnita"Customs Control

9 CainariCustoms Control

10 SerpniovoieCustoms Control

12 MaloiaroslavetCustoms Control

4 BENDER 193Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics Economic & Financial ControlCustoms ControlAnti-smuggling & Anti-FraudCustoms Surveillance

1

Logistic14 Stefan-Voda

Customs Control 115 Cuciurgani

Head of Customs Post 1Deputy-Head of Customs Post 1Documentary control, IT & StatisticsEconomic & Financial ControlCustoms ControlTourists/Physical persons

16 PalancaHead of Customs Post 1Deputy-Head of Customs Post 1Documentary control, IT & StatisticsEconomic & Financial ControlCustoms Control

17 TudoraCustoms ControlTourists/Physical persons

5 BRINCENI 90Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 1Economic & Financial Control 5Customs Control 3Anti-smuggling & Anti-FraudLogistic

19 EdinetCustoms Control 2

24 CrivaHead of Customs Post 1Documentary control, IT & Statistics 1Economic & Financial Control 1Customs Control 8Tourists/Physical persons 8

25 LipcaniHead of Customs Post 1Documentary control, IT & Statistics 1Economic & Financial Control 1Customs Control 4Tourists/Physical persons 9

26 Briceni-RososaniHead of Customs Post 1Documentary control, IT & Statistics 1Economic & Financial Control 1Customs Control 8Tourists/Physical persons 8

6 CAHUL 69Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 5Economic & Financial Control 7Customs Control 9Anti-smuggling & Anti-Fraud 3Tourists/Physical persons 16Logistic 3

27 CantemirCustoms Control 3

28 TaracliaHead of Customs Post 1Documentary control, IT & Statistics 2Economic & Financial Control 1Customs Control 2

29 LeovaCustoms Control 2

31 MirniiHead of Customs Post 1Customs Control 7

7 CHISINAU 212Head of Customs Office 1Deputy – Head of Customs Office 3Documentary control, IT & Statistics 18Economic & Financial Control 43Customs Control 51Mail 16

2

Customs Surveillance 33Customs Anti-fraud & Legal Dept. 3Mobile Customs Patrols 14Personnel & Secretariat 4Logistic 3

32 RailwaysHead of Customs PostDocumentary control, IT & StatisticsCustoms Control

33 Anenii NoiCustoms Control 1

34 OrheiCustoms Control 2

35 IaloveniCustoms Control 1

36 StraseniCustoms Control 2

37 CriuleniCustoms Control 1

8 FREE ZONE "EXPO-BUSINESS-CHISINAU" 36Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 4Economic & Financial Control 11Customs Control 15Logistic 3

38 Subzona "Sud-est"Customs Control

9 COMRAT 30Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1Economic & Financial Control 4Customs Control 13Logistic 1

39 Ceadar-LungaCustoms Control 2

40 Vulcanesti Customs Control 2

10 COSTESTI 30Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 2Economic & Financial Control 3Customs Control 5Anti-smuggling & Anti-Fraud 1Tourists/Physical persons 15Logistic 2

11 GIURGIULESTI 152Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 6Economic & Financial Control 12Customs Control 14Anti-smuggling & Anti-Fraud 5Tourists/Physical persons 33Logistic 4

41 Free zone "Valcanes"Head of Customs Post 1Customs Control 9

43 Giurgiulesti-Halta 293Head of Customs Post 1Customs Control 12

45 EtuliaHead of Customs Post 1Customs Control 12

12 LEUSENI 120Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 9Economic & Financial Control 14Customs Control 43Anti-smuggling & Anti-Fraud 8Tourists/Physical persons 37Logistic 6

3

47 HincestiCustoms Control 4

48 NisporeniCustoms Control 3

13 OCNITA 95Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 5Economic & Financial Control 9Customs Control 12Anti-smuggling & Anti-Fraud 3Logistic 3

49 DonduseniCustoms Control 1

50 Free zone "Otaci-Business"Customs Control 4

51 Ocnita Head of Customs Post (railway)Customs Control

53 OtaciHead of Customs PostDocumentary control, IT & StatisticsEconomic & Financial ControlCustoms ControlTourists/Physical persons

14 RIBNITA 35Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 2Economic & Financial Control 6Customs Control 4Anti-smuggling & Anti-Fraud 2Customs Surveillance 8Logistic 3

58 MateutiCustoms Control 6

59 SoldanestiCustoms Control 2

15 SCULENI 67Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 3Economic & Financial Control 4Customs Control 12Anti-smuggling & Anti-Fraud 1Tourists/Physical persons 41Logistic 2

16 SOROCA 36Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1Economic & Financial Control 4Customs Control 4Anti-smuggling & Anti-Fraud 2Customs Surveillance 3Logistic 3

60 FlorestiCustoms Control 2

17 UNGHENI 65Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 2Economic & Financial Control 6Customs Control 15Anti-smuggling & Anti-Fraud 2Tourists/Physical persons 29Logistic 4

64 CalarasiCustoms Control 2

Anti- Smuggling & Anti-Fraud - ‘Sector Lupta cu Contrabanda & Incalcarea Reg. Vamale’Customs Anti-fraud & Legal - ‘Sectia Fraude Vamale & Asistenta Juridica’Customs Control - ‘Sector Tranzactii Economice Externe’Customs Surveillance - ‘Sectia Supraveghere’

4

Documentary control, IT & Statistics - ‘Sector Informational & Statistic’Economic & Financial Control - ‘Sectia Economie & Control Financiar’Logistic - ‘Sector Administrativ’Mobile Customs Patrols - ‘Serviciul de Escorta’Tourists/Physical Persons - ‘Sector Pasageri’

5

APPENDIX 7

STRUCTURE OF PERSONNEL IN THE CUSTOMS POSTS

(2ND STAGE)

CUSTOMS OFFICE/Sections CUSTOMS POST/SectionsNO. PERS.(posts/

effectrive)3 BASARABEANCA 32

11 Chiriet-LungaTourists/Physical persons

13 Novie TroianiTourists/Physical persons

4 BENDER 19318 Saiti

Tourists/Physical persons5 BRINCENI 90

20 BulboacaTourists/Physical persons 4

21 GrimancautiTourists/Physical persons 4

22 LargaTourists/Physical persons 4

23 MedvejaTourists/Physical persons 4

6 CAHUL 6930 Cairaclia

Tourists/Physical persons 411 GIURGIULESTI 152

42 Giurgiulesti-ReniHead of Customs Post 1Tourists/Physical persons 12

44 Cismichioi-ReniTourists/Physical persons 12

46 Vulcanesti-BolgradHead of Customs Post 1Tourists/Physical persons 12

13 OCNITA 9552 Unguri

Tourists/Physical persons54 Naslavcea

Tourists/Physical persons55 Clocusna-Sokireani

Tourists/Physical persons56 Clocusna-Gvozdivti

Tourists/Physical persons57 Ocnita-Sochireani

Tourists/Physical persons 1216 SOROCA 36

61 SorocaTourists/Physical persons 3

62 VasilcauTourists/Physical persons 1

63 CosautiTourists/Physical persons 4

Tourists/Physical Persons - ‘Sector Pasageri’

1

APPENDIX 9

INDICATIVE PLAN FOR THE DEPLOYMENT OF IT HARDWARE

IN THE MCD, THE CUSTOMS OFFICES AND THE SUBORDINATED CUSTOMS POSTS (STAGE 1)

DIVISION / Department No. Pers.

SERVERS WORKSTATIONS PRINTERS UPSA B C D E F A B C D E A B C D A B C

Director General 1 1 1 1Vice-Director General 1 1 1 1Deputy Director General 1 1 1 1Advisor of the Director General 1 1 1 1Secretariat 1 1 1 1Public Relations Department 1 R 1PERSONNEL & TRAINING DIVISION Head of Division 1 1 1 1 Experts 4 1 1 1OPERATIONAL DIVISION Head of Division 1 1 1 1 1 Special Missions 2 1 1 1 1 Internal Regime 5ANTI-SMUGGLING & ANTI-FRAUD DIVISION Head of Division 1 1 1 1 Anti-smuggling 4 4 2 4 Investigation 2 2 1 2 ?? Department (‘Sectia Ancheta Penala’) 4 4 1 4OFFICE OF THE DIRECTOR GENERAL Head of Division 1 1 1 1 Experts 4 1 1 1 1FIGHT AGAINST CORRUPTION & PROTECTIONISM DIVISION 1 1 1 1CUSTOMS LAW & EXTERNAL RELATIONS DIVISION Head of Division 1 1 1 1 1 Legal Department 3 2 1 2 External Relations 3 2 1 2National Office SECI/RILO 3 3 1 3

1

CUSTOMS COMPUTING CENTRE “VAMA” Head of Division 1 1 1 1 Programming & Implementation 4 2 1 1 1 8 4 2 8 Information Control (Processing) 5 6 1 1 1 Customs Statistics 6 6 1 1 1 Telecommunications and Computer Engineering Services 5 3 1 3ECONOMIC & FINANCIAL CONTROL DIVISION Head of Division 1 1 1 1 Accounting 5 5 1 1 5 Customs Tariff 5 2 1 2 Financial Audit 5 5 2 1 5 Management of Customs Information 4 2 1 2 Customs Valuation & Origin 3 2 1 2CUSTOMS CONTROL DIVISION Head of Division 1 1 1 1 1 Customs Inspection 4 2 1 2 Surveillance of Economic Transactions 5 3 2 3LOGISTIC DIVISION Head of Division 1 1 1 1 1 Logistic & Investment 4 3 2 3 Auxiliary personnel 10 1 1 1

CUSTOMS OFFICE/Sections CUSTOMS POST/Sections1 AIRPORT 59 1

Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 3 3 1 3Economic & Financial Control 7 1 1 1 2Customs Control 7 2 2Anti-smuggling & Anti-Fraud 4 1 1Tourists/Physical persons 32 2 2Logistic 3

2 BALTI 54 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 4 4 1 4Economic & Financial Control 10 8 1 1 2 4Customs Control 20 2 1 2Anti-smuggling & Anti-Fraud 4 1 1Logistic 3 1 1

1 FalestiEconomic & Financial Control 1 R 1Customs Control 1 1

2 SingereiEconomic & Financial Control 1 R 1

2

Customs Control 1 13 Glodeni

Customs Control 1 R 14 Rascani

Customs Control 1 R 15 Telenesti

Customs Control 1 R 16 Drochia

Documentary control, IT & Statistics 1 R 1Economic & Financial Control 1 1Customs Control 1 1

3 BASARABEANCA 32 1Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1 1 1 1Economic & Financial Control 4 2 1 1 2Customs Control 23 2 2Anti-smuggling & Anti-Fraud 1 1 1Logistic 1 1 1

7 CimisliaCustoms Control R 1

8 Free zone "Tvarnita"Customs Control R 1

9 CainariCustoms Control R 1

10 SerpniovoieCustoms Control R 1

12 MaloiaroslavetCustoms Control R 1

4 BENDER 193 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 2 1 2Economic & Financial Control 3 1 1 1 2Customs Control 2 1 2Anti-smuggling & Anti-Fraud 1 1Customs SurveillanceLogistic 1 1

14 Stefan-VodaCustoms Control 1 R 1

15 CuciurganiHead of Customs Post 1Deputy-Head of Customs Post 1Documentary control, IT & Statistics 6 1 6Economic & Financial ControlCustoms Control

3

Tourists/Physical persons16 Palanca

Head of Customs Post 1Deputy-Head of Customs Post 1Documentary control, IT & Statistics 6 1 6Economic & Financial ControlCustoms Control

17 TudoraCustoms Control 4 1 4Tourists/Physical persons

5 BRINCENI 90 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 1 2 1 2Economic & Financial Control 5 3 1 1 2Customs Control 3 1 1 1Anti-smuggling & Anti-Fraud 1 1Logistic

19 EdinetCustoms Control 2 R 1

24 CrivaHead of Customs Post 1 1 1Documentary control, IT & Statistics 1Economic & Financial Control 1 1 1Customs Control 8 2 2Tourists/Physical persons 8 6 1 6

25 LipcaniHead of Customs Post 1Documentary control, IT & Statistics 1Economic & Financial Control 1 1 1Customs Control 4 2 1 2Tourists/Physical persons 9 1 1 1

26 Briceni-RososaniHead of Customs Post 1Documentary control, IT & Statistics 1 1 1 1Economic & Financial Control 1Customs Control 8 1 1Tourists/Physical persons 8 1 1

6 CAHUL 69 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 5 5 1 5Economic & Financial Control 7 5 1 1 3 1Customs Control 9 2 1 2Anti-smuggling & Anti-Fraud 3 1 1Tourists/Physical persons 16 5 5

4

Logistic 3 1 127 Cantemir

Customs Control 3 R 128 Taraclia

Head of Customs Post 1Documentary control, IT & Statistics 2 R 1 1Economic & Financial Control 1 R 1Customs Control 2 1 1

29 LeovaCustoms Control 2 1 1

31 MirniiHead of Customs Post 1Customs Control 7 1 1 1

7 CHISINAU 212 1Head of Customs Office 1 1Deputy – Head of Customs Office 3Documentary control, IT & Statistics 18 15 1 15Economic & Financial Control 43 15 1 1 14Customs Control 51 6 1 6Mail 16 2 2Customs Surveillance 33 2 1 2Customs Anti-fraud & Legal Dept. 3 5 1 5Mobile Customs Patrols 14 1Personnel & Secretariat 4 1 1 1Logistic 3 1 1 1

32 RailwaysHead of Customs PostDocumentary control, IT & StatisticsCustoms Control

33 Anenii NoiCustoms Control 1 R 1

34 OrheiCustoms Control 2 R 1

35 IaloveniCustoms Control 1 R 1

36 StraseniCustoms Control 2 R 1

37 CriuleniCustoms Control 1 R 1

8 FREE ZONE "EXPO-BUSINESS-CHISINAU" 36 1Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 4 2 1 2Economic & Financial Control 11 2 1 1 1 1Customs Control 15 2 1 2Logistic 3 1 1

5

38 Subzona "Sud-est"Customs Control R 1

9 COMRAT 30 1Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1 2 1 2Economic & Financial Control 4 3 1 1 1 2Customs Control 13 1 1 1Logistic 1 1 1

39 Ceadar-LungaCustoms Control 2 R 1

40 VulcanestiCustoms Control 2 R 1

10 COSTESTI 30 1Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 2 1 1 1Economic & Financial Control 3 2 1 1 1Customs Control 5 1 1 1Anti-smuggling & Anti-Fraud 1 1 1Tourists/Physical persons 15 4 4Logistic 2

11 GIURGIULESTI 152 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 6 6 1 6Economic & Financial Control 12 4 1 1 2 2Customs Control 14 3 3Anti-smuggling & Anti-Fraud 5 1 1Tourists/Physical persons 33 6 6Logistic 4 1

41 Free zone "Valcanes"Head of Customs Post 1Customs Control 9 R 1

43 Giurgiulesti-Halta 293Head of Customs Post 1Customs Control 12 R 2

45 EtuliaHead of Customs Post 1Customs Control 12 R 1

12 LEUSENI 120 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 9 5 1 5Economic & Financial Control 14 10 1 1 7 3

6

Customs Control 43 10 1 10Anti-smuggling & Anti-Fraud 8 2 2Tourists/Physical persons 37 10 10Logistic 6 1 1

47 HincestiCustoms Control 4 R 1

48 NisporeniCustoms Control 3 R 1

13 OCNITA 95 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 5 5 1 5Economic & Financial Control 9 5 1 1 3 2Customs Control 12 2 1 2Anti-smuggling & Anti-Fraud 3 1 1Logistic 3 1 1

49 DonduseniCustoms Control 1 R 1

50 Free zone "Otaci-Business"Customs Control 4 R 1

51 OcnitaHead of Customs Post (railway) R 1Customs Control

53 OtaciHead of Customs PostDocumentary control, IT & Statistics 1 1 1Economic & Financial Control 1 1Customs Control 2 2Tourists/Physical persons 4 4

14 RIBNITA 35 1Head of Customs Office 1 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 2 2 1 2Economic & Financial Control 6 4 1 1 2 2Customs Control 4 2 2Anti-smuggling & Anti-Fraud 2 1 1Customs Surveillance 8 1 1Logistic 3 1 1

58 MateutiCustoms Control 6 R 1

59 SoldanestiCustoms Control 2 R 1

15 SCULENI 67 1Head of Customs Office 1 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 3 3 1 3

7

Economic & Financial Control 4 4 1 1 2 2Customs Control 12 3 1 3Anti-smuggling & Anti-Fraud 1 1 1Tourists/Physical persons 41 4 4Logistic 2 1 1

16 SOROCA 36 1Head of Customs Office 1Deputy – Head of Customs Office 1Documentary control, IT & Statistics 1 1 1 1Economic & Financial Control 4 2 1 1 1 1Customs Control 4 2 2Anti-smuggling & Anti-Fraud 2 1 1Customs Surveillance 3 1 1Logistic 3

60 FlorestiCustoms Control 2 R 1

17 UNGHENI 65 1Head of Customs Office 1Deputy – Head of Customs Office 2Documentary control, IT & Statistics 2 2 1 2Economic & Financial Control 6 3 1 1 2 1Customs Control 15 1 1Anti-smuggling & Anti-Fraud 2 1 1Tourists/Physical persons 29 1 1Logistic 4 1 1

64 CalarasiCustoms Control 2

TOTAL 2 1 1 4 8 6 8 319 54 8 8 6 21 80 18 13 281 121 Anti- Smuggling & Anti-Fraud = Sector Lupta cu Contrabanda & Incalcarea Reg. VamaleCustoms Anti-fraud & Legal = Sectia Fraude Vamale & Asistenta JuridicaCustoms Control = Sector Tranzactii Economice ExterneCustoms Surveillance = Sectia SupraveghereDocumentary control, IT & Statistics = Sector Informational & StatisticEconomic & Financial Control = Sectia Economie & Control FinanciarImport/Export Department = Sector Metodologia Perceperii Drepturilor de Imp/ExpLogistic = Sector AdministrativMobile Customs Patrols = Serviciul de EscortaTourists/Physical Persons = Sector Pasageri

8

APPENDIX 10

INDICATIVE PLAN FOR THE DEPLOYMENT OF IT HARDWARE

IN THE CUSTOMS POSTS (STAGE 2)

CUSTOMS OFFICE/Sections Customs Post/Sections No. Pers.

SERVERS WORKSTATIONS PRINTERS UPSA B C D E F A B C D E A B C D A B C

3 BASARABEANCA11 Chiriet-Lunga

Tourists/Physical persons R 113 Novie Troiani

Tourists/Physical persons R 14 BENDER

18 SaitiTourists/Physical persons 5 1 5

5 BRINCENI20 Bulboaca

Tourists/Physical persons 4 R 121 Grimancauti

Tourists/Physical persons 4 R 122 Larga

Tourists/Physical persons 4 R 123 Medveja

Tourists/Physical persons 4 R 16 CAHUL

30 CairacliaTourists/Physical persons 4

11 GIURGIULESTI42 Giurgiulesti-Reni

Head of Customs Post 1Tourists/Physical persons 12 R 1

44 Cismichioi-ReniTourists/Physical persons 12 R 1

46 Vulcanesti-BolgradHead of Customs Post 1

1

Tourists/Physical persons 12 R 113 OCNITA

52 UnguriTourists/Physical persons R 1

54 NaslavceaTourists/Physical persons R 1

55 Clocusna-SokireaniTourists/Physical persons R 1

56 Clocusna-GvozdivtiTourists/Physical persons R 1

57 Ocnita-SochireaniTourists/Physical persons 12 R 1

16 SOROCA61 Soroca

Tourists/Physical persons 3 R 162 Vasilcau

Tourists/Physical persons 1 R 163 Cosauti

Tourists/Physical persons 4 R 1TOTAL 0 0 0 0 0 0 0 5 0 0 0 0 0 0 0 0 22 0

Tourists/Physical Persons = Sector Pasageri

2

1