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ELECTRONIC  TRACEABILITY  AND  PAPERLESS  TRADE  FACILITATION  

The  Automa+on  of  Philippine  Agri-­‐Import  Processes:  

Francis Norman Lopez InterCommerce

Agenda  

•  Introduc/on:  Supply  Chain  and  Traceability  •  Automa/ng  Agri  Import  Processes  in  the  Philippines  

•  Key  Take  Away  

Typical  AgriFood  Supply  Chain*  

*  Informa/on  Management  in  AgriFood  Chain:  Towards  an  Integrated  Paperless  Framework  for  AgriFood  Trade  Facilita/on  

Collabora6on  in  Trade  •  Iden/fiers:  AEOs,  Product  Codes  

•  Compliance  to  import  requirements  

•  Visibility  across  the  Supply  Chain  

 

Case  Studies  •  India  GrapeNet  •  Malaysia  Food  and  Traceability  

•  Vietnam  TraceVerified  for  Fish  Exports  

•  New  Zealand  eCert  for  Meat  Products  

 

Case  Studies  •  US  ITDS  –GS1  •  China  eCert,  GPS  and  RFID  

Case  Studies  •  Export  

–  India  GrapeNet  –  Malaysia  Food  and  Traceability  –  Vietnam  TraceVerified  for  Fish  

Exports  –  New  Zealand  eCert  for  Meat  

Products  

•  Import  –  China  Tianjin  eCert,  GPS-­‐RFID  –  US  ITDS    

•  Key  Success  Factors  –  Iden/fica/on  of  source  and  products  –  Specific  tes/ng  procedures  –  Export-­‐Import  collabora/on  to  ensure  

Cer/fica/on  for  compliance  to  import  regulatory  requirements  

–  Accessibility  of  data  for  transparency,  monitoring  and  reports  

–  Government  support,  possibly  with  funding,  for  sustainability  

–  Tangible  benefits  to  government  and  the  private  sector  

–  Cost  effec/ve  technical  solu/on    

PH  Agri  Trade  System:  Background  •  From  2002  to  2008,  the  Department  of  Agriculture  (DA)  had  several  a]empts  to  

automate  their  processes;    

•  Execu/ve  Order  no.  482  dated  27  December  2005,  crea/ng  the  Na/onal  Single  Window  Task  Force  

•  In  2007,  ini/al  implementa/on  of  the  PNSW  using  the  Licensing  and  Clearance  System  of  ASYCUDA  

•  In  2008,    the  DA  issued    direc/ve  harmonizing  the  import  procedures  of  3  agencies  i.e.  the  Bureau  of  Animal  Industry  (BAI),  the  Bureau  of  Fisheries  and  Aqua/c  Resources  (BFAR)  and  the  Bureau  of  Plant  Industry  (BPI)  

–  The  Proposal    BIMP-­‐EAGA  Pilot  electronic  Cross  Border  Informa+on  Project  led  to  the  proposal  to  automate  the  SPS  Import  Clearance  Precedures  for  the  3  DA  Agencies  

•  In  2009,  Pilot  Implementa/on  of  the  SPS  Import  Clearance  

•  In  2010,  mandatory  implementa/on  of  SPS  Import  Clearance  and  subsequently  followed  by  the  MAV/MAV  Import  Cer/ficate,  Request  for  Inspec/on  (1st  Border)  and  Veterinary  Quaran/ne,  Meat  Inspec/on  and  Laboratory  Cer/ficate  

PH  Agri  Import  Procedures  –  before  2010  

•  Centralized  manual  processes  done  at  Head  Offices,  in  Metro  Manila  

–  Accredita/on/registra/on  of  importers  and  cold  storage  warehouse  

–  Submission  of  applica/on,  processing  and  approval  of  SPS  Import  Clearance  (SPS/IC)  

–  Minimum  Access  Volume  (MAV)  alloca/on  and  issuance  of  MAV  Import  Cer/ficate  

–  Request  for  transfer  of  delivery  of  imported  meat  products  to  another  cold  storage  warehouse  

–  Manually  accomplished  (hand  wri]en)  Request  for  Inspec/on  and  issuance  of  the  Veterinary  Quaran/ne,  Meat  Inspec/on  and  Laboratory  Cer/ficate  and  Inspec/on  Report  (including  verifica/on  of  SPS  Cerificates  and  other  import  documents)  

•  Consider  3,400  importers  of  agri  products,  average  500  import  shipments  daily  in  57  interna/onal  ports,  with  200  cold  storage  warehouses    

Challenges  in  Manual  Processes  

•  Qualifying  importers,  suppliers  and  exporters  for  accredita/on  and  registra/on  •  Iden/fica/on  and  classifica/on  of  commodi/es,  products  •  Document  submission,  verifica/on,  authen/ca/on  and  storage  

1.  Cer/ficate  of  Product  Registra/on  2.  SPS  Import  Clearance  3.  MAV  Alloca/on  and  Import  Cer/ficate  4.  SPS  Cer/ficates  eg  Health  and  Phyto  Cer/ficates  5.  Commercial  Invoice  6.  AWB/BL  7.  Import  Declara/on  8.  Port  Quaran/ne  Inspec/on  Report/VQMILC  9.  Cer/ficate  of  Meat  Inspec/on  

•  Collec/on/payment  of  fees  and  issuance  of  receipts  •  Monitoring  transport  and  cargo  handling  •  Traceability  from  source  to  consumer  •  Profiling  and  Risk  Management  •  Genera/ng  /mely  and  accurate  sta/s/cs    

Dept  of  Agriculture  

BAI   BFAR   BPI  

Regional  Ofcs  

Regional  Ofcs  

Regional  Ofcs  

Quaran/ne  Ofc  at  Ports  

Quaran/ne  Ofc  at  Ports  

Quaran/ne  Ofc  at  Ports  

Regulated  Commodi/es,  Products  •  Bureau  of  Animal  Industry  (BAI)  

–  Live  Animals,  for  breeding  and  as  pets  

–  Animal  Product  and  By-­‐Products,  eg.  Beef,  Port,  Chicken  and  other  Meat  Products  

–  Feed  and  Feed  ingredients,  Supplements  

–  Veterinary  Drugs,  Addi/ves,  Supplements  

•  Bureau  of  Fisheries  and  Aqua6c  Resources  (BFAR)  –  Live  Fish  –  Fresh/Frozen  Products    

•  Na6onal  Meat  Inspec6on  Service  –  Meat  and  Meat  Products  

•  Bureau  of  Plant  Industry  (BPI)  –  Plant,  including  ornamentals  –  Plant  Products  eg  flowers,  grains,  

fruits  and  vegetables  –  Plan/ng  Materials  

Customs  and  Quaran/ne  Clearance  Invoice,

Packing List Pre-Alert AWB/BL

SPS   SAD  

Lodge  

Manual  Assess  

FAN  

Auto  Assess  

AWB/BL  

Start  

VASP  

AAB  

NSW  

PASS5  Examine  

OLRS  

Online  Prepara6on  Electronic  

Submission  

BAI  Review,  Payment,  

Processing  &  Approval  

Prin6ng  of  Approved  SPS  

Import  Clearance  

Quaran6ne  Inspec6on  

RFI  

•  SPS  Import  Clearance  •  MAV  Import  Cer/ficate  •  SPS/Phyto  Cer/ficate    •  Import  Entry  Declara/on  

SAD    •  Commercial  Invoice    •  Packing  List    •  Bill  of  Lading/AWB  

VQMILC  NMIS  Meat  

Inspec6on  End  

MAV  Import  

Cer6ficate    

SPS    Import    

Clearance  

E-SPS Certificate

From Origin Accredita6on   eRFI

Quarantine Inspection VQMILC

Meat Inspection VQMILC

COMI  Local  Transfer  

Permit  

DA (CSW), BAI, NMIS MAV, BOC

Import  Entry  

Declara6on  

BAI, BFAR,

BPI

BAI, BFAR,

BPI

BAI BFAR,

BPI

NMIS NMIS, BAI DA MAV BOC OGA (Origin)

Agriculture Trade System

TEC

PNSW DOF, NEDA, BAI

AU DAFF

NZ MPI , KR QIA, ASW

Processes  on  the  Import  of  Agri  Products  

IOIS,  Data  Pipeline  

Import  Processes  and  Traceability  

Agriculture Trade System IOIS,  Data  Pipeline  

AgriFood  Supply  Chain  Primary Producer

Retail

Permit Apln SPS IC SPS Cert RFI VQMILC COMI

LTP

ProForma Invoice

PO Comfirmattion

SPS Certification

Transport, Customs Data

Quarantine Inspection

Delivery

Source  Supplier  Products  Quan/ty  

Importer  CSW  

SPS  IC  No,  Validity  

Import  Req  

Exporter,  Products  

SPS  Cer/fica/on  

Shipper,  Consignee,  Meat  Est  No.,  Shipping  Data  

(AWB/BL)),  Invoice  Data  

Products/HSCode  SPS  Ref  No  

Port  Quaran/ne  Inspec/on  

Report  

Meat  Inspec/on,  Laboratory  Cer/fica/on  

Meat  Cer/fica/on,  Products  Des/na/on  

Challenges  in  SPS  Exchange  •  WTO  SPS  Agreement  •  Enabling  Developing  Countries  

–  Legal  framework  :  Cross  border,  Na/onal  and  at  Agency  Level  

–  Online  access  and  Messaging  (EDI/XML,  SOAP,  FTPs)  

–  Receipt/Issuance  of  e-­‐SPS  Cer/ficate  

•  Standards  in  e-­‐SPS  –  UN  CEFACT  E-­‐CERT  

–  IPPC  E-­‐PHYTO  

•  Benefi/ng  from  the  e-­‐SPS  Exchange  –  Authen/ca/ng  SPS  Cer/ficate  –  Compliance  to  import  regula/ons  

–  Facilitate  Replacement  of  non-­‐compliant  SPS  Cer/ficate  

E-­‐SPS  Exchange  

•  Issuance  and  transmission  of  SPS  Cer/ficates  •  Receipt  of  SPS  Cer/ficate  and  ensuring  compliance  to  import  quaran/ne  requirements    

KR  

NZ  

AU   SP  AU  DAFF  in  2007  

BAI   BFAR  

BPI  

BAI  

DA  Trade  System  2014  

Access  to  DAFF  SPS  eCert  

NPPO/QIA

Exporting Country Importing Country

NPPO/QIA SPS Certificate

Exporter Importer

SPS Import Clearance/ Permit

SPS Notice

SPS Import Clearance/Permit

SPS Status/Change Request SPS Certificate

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4  

3  

2  

E-­‐SPS  Exchange  Model*  

*  Pan  Asian  eCommerce  Alliance  Model  

Collabora/ve  Model  

•  Common  Vision  and  Objec6ves  –  Safe  food  to  consumers  –  Compliance  to  import  

regulatory  requirements  –  Transparency  of  

requirements    –  Trustworthy  Cer/fica/on  –  Cost  reduc/on  

•  Requisites  –  Data  harmoniza/on,  

synchroniza/on  –  Interoperable  systems  for  

exchange  of  SPS  and  other  trade  data  

Seller   Buyer  

Export  QIA/NPPO  

Import  QIA/NPPO  

Transport/Logis/cs  

Customs  Clearance  

Quaran6ne    Clearance  

S  W  A  T   S  W  A  T  

Key  Take  Away  •  Vision  and  commitment  from  top  management  

•  Support  from  “champions”  on  the  ground  

•  Public-­‐Private  partnership  or  collabora/on  

•  Leverage  on  available  resources  –  local  and  global  

•  Work  at  speed  for  ini/al  success  –  then  move  to  the  next  

 

 

Role  of  IT  Service  Provider  

•  Think  outside  the  box    •  Bridge  processes  across  silos  •  Introduce  interoperability  of  systems    •  Adopt  global  best  prac/ces  •  Manage  change    •  Sustainability    ..  funding  if  necessary  

Q  &  A