WCO Regional Workshop on Strategic Initiatives for Trade FacilitationMercator Programme

16 - 18 March 2015

M. Puviharan – Additional Director General of Customs

SRI LANKA CUSTOMS

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Silk Route

Island country in the Indian Ocean

Size – 62710 Sq. Km in Land area

Climate - tropical & warm

Population – 20 M

Languages – Sinhala & Tamil

Main income source – Government Taxes

Important – 57% tax revenue is recovered by Sri Lanka Customs

International Trade represent 50%(approximately) of GDP.

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Sri Lanka

The oldest (200 years) and a key Government Institution under the purview of the Ministry of Finance and Planning.

Main revenue collecting agency (57% of total tax revenue) of the Government at the border.

Sri Lanka Customs 200 years in Service

200th Anniversary 1809 – 2009

Commemorative Coin and Stamp

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Automated System – ASYCUDA

Valuation formalities – In accordance with the WTO GATT

Reform & modernization program was launched in 2010

Hierarchy

Director General of Customs

Additional Director General of Customs – 5 Positions

Directors of Customs - 25

Deputy Directors of Customs - 92

Superintendent of Customs - 192

Deputy & Assistant Superintendent of Customs - 792

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Sri Lanka Customs

DGC

ADGC [Revenue & Services]

Directors (5)

ADGC [Enforcement]

Directors (5)

ADGC [HRM]

Directors (5)

ADGC [Corporate]

Directors (5)

ADGC [Regional]

Directors (5)

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The Administrative Structure of

Sri Lanka Customs

Started the customs automation in 1993 with ASYCUDA(Automated SYstem for CUstoms DAta) version 2.7

Upgraded to ASYCUDA ++ in 1999.

Started the ASYCUDA WORLD (AW) in 2013.

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Automation History

ASYCUDA WORLD

E-manifest

Selectivity criteria

Declarent

Customs intelligence

Shipping lines

CusDec processing & e-payment

E-CusDec Automatic write off

Channel Selection

Sri Lankan Experience

Sri Lanka Customs has a history of nearly 200 years

Sri Lanka has been a member of the World Customs

Organization since 1967

Sri Lanka has been a member of the WTO since

1994

SLC acceded to the RKC in 2009

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National Trade Facilitation

Committee

A National Need Assessment Workshop was

conducted in March 2014 in Colombo.

Government and other agencies involved in the

clearance of goods at the borders and private

sector groups involved in international trade took

part in the workshop.

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WTO TFA – Sri Lanka

An exercise of identifying commitments under

category A,B & C was done.

Time required for the implementation of category B

commitments and Technical Assistance and

Capacity Building needed for category C were

ascertained.

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WTO TFA – Sri Lanka [contd.]

National Trade Facilitation Committee was established in June 2014, as required by Article 23 (2) of the Agreement

The Director General of Customs was elected as the chairperson of the committee unanimously

The committee comprised 9 members who are the Heads of Agencies that play significant roles in the goods clearance processes at the borders of Sri Lanka

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National Trade Facilitation

Committee (NTFC)

Director General of Customs – Chair Person.

Director General of Commerce.

Director General Trade and Investment Policy – Ministry of Finance

Director General Health Services.

Director General – Department of Agriculture.

Director General Sri Lanka Standard Institution (SLSI).

Controller General – Import & Export Control Department.

Controller – Exchange Control Department.

Chairman – Sri Lanka Ports Authority

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National Trade Facilitation

Committee Members

Subsequently, considering the importance the private sector plays in cross border trade, the chamber representing the trading community of Sri Lanka was also made a member of the NTFC.

A Technical Committee comprising representatives nominated by the Member of the National Committee was formed.

A Customs Working Group was also appointed by the Director General of Customs to coordinate matters related to the agreement with the National Trade Facilitation Committee and Technical Committee.

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NTFC [Contd.]

The Technical Committee finalized category A, B &

C commitment identified at the Workshop and

recommended to the National Committee.

The category A commitments were notified to the

WTO on the 31st July 2014, as commitments that

would be in implementation upon entry into force of

the agreement, as required by Article 15 (1).

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NTFC [Contd.]

Sri Lanka’s Category A Commitments.

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NTFC [Contd.]

Provisions Title

4.1 Right to Appeal or Review.

5.2 Detention.

6.3 Penalty Disciplines.

7.2 Electronic payment.

7.8 Expedited Shipments.

9 Movements of Goods Intended for Import under Customs Control.

10.6 Use of Customs Brokers.

10.7 Common Border Procedures and Uniform Documentation Requirements.

10.8 Rejected Goods.

10.9 Temporary Admission of Goods and Inward and outward Processing.

11 Freedom of Transit.

The National and Technical Committees are currently in the process of identifying specifically needed TA & CB for the implementation of the identified category C provisions

Sri Lanka is also willing to assist other member Customs Administrations through WCO with its pool of WCO Accredited expert trainers, if such need arise

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NTFC [Contd.]

Deciding the composition of the committee Selecting members.

Initial discussion between The Sri Lanka Customs and the Trade Ministry.

Analyzing of typical trade flows of different segments of Imports and Exports.

Listing all related parties involved in different segments.

Identifying main stake holders involved in the process.

Incorporation of Private Sector as a member to NTFC.

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Sri Lanka experience on forming the NTFC

NTFC to play steering role on,

Identifying Category B & C commitments on priority basis.

Expediting the internal ratification procedure on TFA.

Ascertain the capacity building/financial needs of border agencies on category C commitments.

Liaise with the donor agencies and the Government of Sri Lanka to secure necessary funding to effective implementation of category C commitments.

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Way forward…

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Thank Youfor your Kind Attention