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Automated cargo clearing system soon

by SUREKHA GALAGODA

Sri Lanka will become the first country in South East Asia to launch the automated cargo clearing system when online operations begin shortly.

Under this system, all Customs import and export documentation will be electronically submitted, which will greatly reduce the time and money spent by exporters and importers of the country. At present, eServices Lanka Ltd. has commenced the pre-registration of Customs house agents on an all island basis. The test submission of Customs declarations is also being processed before the commercial launch.

"Initially, we will link air and sea cargo while transshipment and exports via both sea and air will be linked subsequently. Finally, we hope to connect the banks to the system to facilitate the acceptance of electronic payments," said Managing Director, eServices Lanka, Rohan Weerasinghe.

"All import-export cargo declarations as well as transshipment will be linked to the online system by August," Weerasinghe said confidently.

The project has been set up as a private-public sector partnership with an investment of Rs 300 million. The initiative is supported by the DFCC Bank, National Development Bank, Seylan Bank and Lanka Ventures.

The SLACCS will facilitate the electronic submission of Customs declarations and allied documentation between Customs house agents, freight forwarders, shipping lines, Sri Lanka Customs, Sri Lanka Ports Authority, South Asia Gateway Terminals, Board of Investment and other regulatory and licensing authorities.

Automating the cargo clearance system will not only boost the economy, but will also encourage trade and commerce with the rest of the world. The import-export industries are happy about the process that they will have to follow in the future, he added.

"Countries such as Malaysia, Singapore, Thailand and Hong Kong have the automated clearing system in place. Therefore, to be on a level playing field with neighbouring countries, we are implementing this system. This will further strengthen our position as a shipping hub in the world," Weerasinghe said.

At present, around 2000 declarations take place per day and this is increasing. Therefore, the process is quite tedious since every time importers or exporters import or export goods, they have to submit declarations and there is plenty of duplication and waste of time too. Once the system is in place, it will improve the efficiency of the clearing of goods.

He said that people who do not have computer facilities or do not have much transactions on a daily basis can take the documents to the service bureaus and get the necessary registration.

"We will establish several service bureaus around the country for this purpose," said Weerasinghe. At present, the average time taken to clear a container is four days.

Therefore, all importers pay demurrage for four days, but if the time is reduced by one day, importers will not have to pay demurrage at all. Therefore, implementing this system will not only boost the economy, but also save costs for all importers, which will help them reduce their production or sales costs to a great extent. eServices Lanka, the service provider implementing this electronic system is a venture promoted by the private sector with government participation.

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