United Nations Economic Commission for United Nations Economic Commission for Europe (UNECE)Europe (UNECE)

Single Window Single Window forfor

Trade FacilitationTrade Facilitation

Tom ButterlyTom ButterlyDeputy Chief, Global Trade Solutions BranchDeputy Chief, Global Trade Solutions Branch

Workshop on Trade FacilitationWorkshop on Trade FacilitationMoscowMoscow

22-23 November 200422-23 November 2004

UNECE – Global and UNECE – Global and Regional perspectiveRegional perspective

Global levelGlobal level - - development and maintenance of development and maintenance of international standards through international standards through UN/CEFACTUN/CEFACT - - United Nations Centre for Trade Facilitation and United Nations Centre for Trade Facilitation and Electronic BusinessElectronic Business

UNECE regional levelUNECE regional level - - implementation in implementation in member states especially in transition member states especially in transition economieseconomies

Implementation in other regionsImplementation in other regions - - cooperate cooperate extensively with other UN Regional Commissions extensively with other UN Regional Commissions and other multilateral organisationsand other multilateral organisations

UN CEFACT International UN CEFACT International Trade Procedures Working Trade Procedures Working Group (TBG15)Group (TBG15) Single Window Recommendation Single Window Recommendation

developed by UN/CEFACT developed by UN/CEFACT International Trade Procedures International Trade Procedures Working Group (ITPWG), with Working Group (ITPWG), with representation from governments, representation from governments, trade and international organisationstrade and international organisations

All welcome to participate in All welcome to participate in UN/CEFACT work (next Forum in UN/CEFACT work (next Forum in Malaysia in March 05)Malaysia in March 05)

Meeting regulatory Meeting regulatory requirements and exchanging requirements and exchanging information with governmentinformation with government

Electronic

Agriculture

Paper

Trader

Customs

Health Dept

Transport

Current Situation for Government & TradersThe The current current situationsituation

A single windowA single window

Electronic

Agriculture

SingleWindow

TraderTransport

Customs

Health Dept

A 'Single Window' environment

Paper

The new The new approach - approach - a simple, a simple, one-stop one-stop solution solution offering offering official official control control with trade with trade facilitationfacilitation..

Analysis of existing and planned Analysis of existing and planned Single Windows in 12 countries to Single Windows in 12 countries to determine:determine:– current practices;current practices;– structures;structures;– products and services; andproducts and services; and– funding mechanisms.funding mechanisms.

On the basis of this analysis, we On the basis of this analysis, we developed a Recommendation and developed a Recommendation and Guidelines - Extensive review process Guidelines - Extensive review process – finally approved in September 2004– finally approved in September 2004

The UN/CEFACT Single The UN/CEFACT Single Window RecommendationWindow Recommendation

UN/CEFACTUN/CEFACT Recommends Recommends that governments and those that governments and those involved in international involved in international trade should…trade should…

Proceed with the setting up of a Single Proceed with the setting up of a Single Window facility at the national level Window facility at the national level through a collaborative effort with all through a collaborative effort with all relevant governmental authorities and relevant governmental authorities and the business community the business community

Give full consideration to the guidelines Give full consideration to the guidelines attached to the present attached to the present recommendation in the establishment recommendation in the establishment of their Single Window facility of their Single Window facility

The Single Window The Single Window facility should allow:facility should allow:

Lodgement of standardised Lodgement of standardised information and documents with a information and documents with a single entry point single entry point (to fulfil all export, (to fulfil all export, import and transit related regulatory import and transit related regulatory requirements) requirements)

if the information is electronic, if the information is electronic, then individual data elements then individual data elements should only be submitted once should only be submitted once

The Single Window The Single Window facility should:facility should:

Support the sharing of information by Support the sharing of information by a legal framework that provides a legal framework that provides privacy and security in the exchange privacy and security in the exchange of informationof information

Co-ordinate the controls of the Co-ordinate the controls of the various governmental authorities, various governmental authorities, where appropriatewhere appropriate

Provide facilities to receive payment Provide facilities to receive payment of duties and other chargesof duties and other charges

Provide access to Provide access to trade related trade related government informationgovernment information

The Guide on the The Guide on the establishment of a Single establishment of a Single WindowWindow

The GuidelinesThe Guidelines Overview description of a Single Overview description of a Single

WindowWindow Common models for a Single WindowCommon models for a Single Window Benefits of a Single WindowBenefits of a Single Window Practical steps in planning and Practical steps in planning and

implementing a Single Window implementing a Single Window Key factors for a successful Single Key factors for a successful Single

WindowWindow

Key factorsKey factors

Political willPolitical will Strong lead agencyStrong lead agency Partnership between government and trade Partnership between government and trade

(need for dialogue)(need for dialogue) Establish clear and measurable objectivesEstablish clear and measurable objectives Phased approachPhased approach Use of international standardsUse of international standards Legally enabling environmentLegally enabling environment User friendliness, accessibility and trainingUser friendliness, accessibility and training Financial modelFinancial model Promotion and communicationsPromotion and communications

The Guide on the The Guide on the establishment of a Single establishment of a Single WindowWindow

The AnnexesThe Annexes Annex A: Single Window Models - Annex A: Single Window Models -

examples of existing or planned Single examples of existing or planned Single Windows Windows

Annex B: Practical Steps for Planning & Annex B: Practical Steps for Planning & ImplementationImplementation

Annex C: Components of a Feasibility Annex C: Components of a Feasibility StudyStudy

Annex D: Tools & TechniquesAnnex D: Tools & Techniques Annex E: Signposts - contact details for Annex E: Signposts - contact details for

operational Single Windows and operational Single Windows and international organisation projectsinternational organisation projects

The most common The most common modelsmodels

A Single Authority that receives information, either on paper or electronically, disseminates this information to all relevant governmental authorities, and co-ordinates controls to prevent undue hindrance in the logistical chain (e.g. Sweden)

A Single Automated System for the collection and dissemination of information (either public or private) that integrates the electronic collection, use, and dissemination (and storage) of data related to trade that crosses the border (e.g. Unites States).

An automated Information Transaction System through which a trader can submit electronic trade declarations to the various authorities for processing and approval in a single application. In this approach, approvals are transmitted electronically from governmental authorities to the trader’s computer. (e.g. Mauritius, Singapore)

Single Window Single Window ExamplesExamples

Sweden Sweden

United StatesUnited States

GermanyGermany

MauritiusMauritius

(From 3 day workshop on (From 3 day workshop on documents, edocuments and Single documents, edocuments and Single

WindowsWindows))

Information is gathered by Swedish Information is gathered by Swedish Customs on behalf of more than 30 Customs on behalf of more than 30 different authorities (import VAT, trade different authorities (import VAT, trade statistics, monitoring of licenses, pets, statistics, monitoring of licenses, pets, weapons etc.)weapons etc.)

Swedish Customs Single Window Swedish Customs Single Window solutions are available using different solutions are available using different technologies:technologies:– EDIFACTEDIFACT– InternetInternet– Mobile solutionsMobile solutions

Single Window in Single Window in SwedenSweden

ParticipantsParticipants

Swedish importers, exporters and Swedish importers, exporters and brokers.brokers.

National Board of Taxation.National Board of Taxation. Statistics Sweden.Statistics Sweden. National Board of Agriculture.National Board of Agriculture. National Board of Trade.National Board of Trade. European Union.European Union. Annually 94 % of all Customs Annually 94 % of all Customs

declarations are submitted using a declarations are submitted using a Single Window solution.Single Window solution.

Business modelBusiness model

The Virtual Customs Office, including The Virtual Customs Office, including Single Window solutions, is financed Single Window solutions, is financed within existing budgetary means of within existing budgetary means of Swedish Customs.Swedish Customs.

eServices of Swedish Customs is free eServices of Swedish Customs is free of charge and no user fees are applied.of charge and no user fees are applied.

However, clients are charged for However, clients are charged for submitting paper documents ….submitting paper documents ….

ResultsResults

Major benefit: automatic clearance of Major benefit: automatic clearance of Customs declarationsCustoms declarations– For trade: release times 90 secondsFor trade: release times 90 seconds– For trade: no requirements for For trade: no requirements for

supporting documentssupporting documents– For trade: one interface regarding all For trade: one interface regarding all

information related to international information related to international trade.trade.

– For Customs: reallocation of resourcesFor Customs: reallocation of resources– For Customs: improved collectionFor Customs: improved collection

United StatesUnited StatesSingle WindowSingle Window

International Trade Data System International Trade Data System (ITDS)(ITDS)

USDA

FWS

CPSC

ACE/ITDSSingle

Window

FDAfood

INSimmigration

DOTtransport

arrive/depart

CBPACE/ITDS

ITDS/Single WindowProcessingITDS/Single WindowProcessing

TruckDriverGoods

CBP

USTR

(operational)

(interfaced)

(periodic)

ProcessProcess

Survey of all relevant Government Survey of all relevant Government Agencies involved in tradeAgencies involved in trade

Revealed that over 300 forms Revealed that over 300 forms consisting of approx. 3000 data consisting of approx. 3000 data fieldsfields

Over 90% of information redundentOver 90% of information redundent Through harmonisation and Through harmonisation and

standardisation reduced this to standardisation reduced this to 200 data elements200 data elements

Participants/ClientsParticipants/Clients

Federal Trade Agencies:Federal Trade Agencies:– Admissibility and export control Admissibility and export control – Statistical and analytical Statistical and analytical – Trade promotion Trade promotion

Trade CommunityTrade Community– ImportersImporters– ExportersExporters– Customs BrokersCustoms Brokers– CarriersCarriers– Port Authorities Port Authorities

Single Window in GermanySingle Window in Germany

Port of HamburgPort of HamburgExperience of DAKOSY Experience of DAKOSY AGAG

ParticipantsParticipants / Clients / Clients

UNIX and IBM AS/400

IBM AS/400

IBM AS/400

IBM AS/400

IBM AS/400

IBM AS/400IBM AS/400

890 Forwarders

254 Exporters/Importers/Manufacturing Industry

35 Quay Operators andContainer Packing Companies

3 Tally Companies

Public AuthoritiesHamburg Water Police StationHamburg Fire Service HeadquartersEnvironment AuthorityBAGS (Hamburg Safety and Health Authority)Customs Office Hamburg Harbour (ZAPP)Federal Customs Departments (ATLAS)

3 Carriers - Feederand River Barges

DAKOSY DPC

22 Carriers - Rail

15 Carriers - Road

96 Liner Agents and Shipping Lines

Terminal-Server-FarmOutsourcing

HABIS

InternetATLAS

Backup

ASP

EDIFirewall

DAKOSY-Bremen

DAKOSY-Denmark

Router NodeIBM AS/400Router Node

Customs DP CentreFrankfurt

GEGIS

web-hosting

Backup

Backup

DAKOSYInternet-Server

ExamplesExamples

Business dataVolume

(daily)

LA = Liner Agent, Shipping L. = Shipping Line

between and

Quay Order 600 Forwarders > 30 Quay operators 3.400

Bills of Lading 150 Forwarders > 50 LA / Shipping L. 1.500

Transport Order > 75 Forwarders German Rail / 1.600 Rail LA / Shipping L. Private Rail Operators

Export Declaration 750 Forwarders Customs Hamburg 4.900 LA / Shipping L.

Import Release > 870 Forwarders German Customs 9.500 - ATLAS

Dangerous Goods 90 Quay Operator River Police 1.250Announcement LA / Shipping L.

ParticipantsParticipants / Clients / Clients

18 43 57 81138162171183203230244256270286

480500530610

730761

925

1317

0

200

400

600

800

1000

1200

1400

Business modelBusiness model

Shareholders to pay a yearly fee for Shareholders to pay a yearly fee for the so called „traditionell EDI-Business the so called „traditionell EDI-Business within the port - community“within the port - community“

Each participant has to sign a contract Each participant has to sign a contract with one of the shareholders and has with one of the shareholders and has to pay to them for the usage of the to pay to them for the usage of the EDI-Network of DAKOSYEDI-Network of DAKOSY

Additional services of DAKOSY (EDI, Additional services of DAKOSY (EDI, ASP and IT- Services) are charged byASP and IT- Services) are charged byDAKOSY directly DAKOSY directly

Lessons learnedLessons learned

90 % Talking, 10 % Doing90 % Talking, 10 % Doing

Most important: All people to tow Most important: All people to tow one rope in the same direction!one rope in the same direction!

““Eat the elephant piece by piece”Eat the elephant piece by piece”

Single Window MauritiusSingle Window Mauritius

Mauritius TradeNetMauritius TradeNet

Submission, processing and approval of Submission, processing and approval of declarations to Customs within a 15-declarations to Customs within a 15-minute minute

Access to air and sea cargo manifests, Access to air and sea cargo manifests, ships’ arrivals and departures, movement ships’ arrivals and departures, movement of containers, etc.of containers, etc.

Notice of release of consignmentsNotice of release of consignments

Payment of duties by electronic meansPayment of duties by electronic means

Contributions Network Project has been Contributions Network Project has been launched, allowing the payment of launched, allowing the payment of various fees & taxesvarious fees & taxes

Services Services

TradeNet AccessTradeNet Access

PC, a modem, a telephone line and a PC, a modem, a telephone line and a Declarant IDDeclarant ID

Documents and trade information entered Documents and trade information entered into the system transmitted between all into the system transmitted between all parties involved in the movement of parties involved in the movement of goods (imports and exports) and the goods (imports and exports) and the Customs DepartmentCustoms Department

Links with Customs Management System Links with Customs Management System for automatic processing and approval of for automatic processing and approval of Customs declarationsCustoms declarations

ParticipantsParticipants

Customs & Excise Department Customs & Excise Department Importers, exporters and re-exportersImporters, exporters and re-exporters Freight forwarders Freight forwarders

Port Authority and its cargo handling agency Port Authority and its cargo handling agency

Shipping/airline companies and their agents Shipping/airline companies and their agents

Ministry of International TradeMinistry of International Trade Chamber of Commerce & Industry Chamber of Commerce & Industry Over 1000 declarations on average are received Over 1000 declarations on average are received

and processed every working day by the and processed every working day by the country’s Customs & Excise Department country’s Customs & Excise Department

Business modelBusiness model

Joint-ventureJoint-venture functioning 100% as a private functioning 100% as a private concern concern

Equity (± USD 1 million) provided by shareholdersEquity (± USD 1 million) provided by shareholders Self-sustainability perspective right from the startSelf-sustainability perspective right from the start Activities financed from 2 sources:Activities financed from 2 sources:

- a software single-user licence of $ 1300 at the - a software single-user licence of $ 1300 at the outset - a service fee of USD 5.- per outset - a service fee of USD 5.- per declaration sent thru’ MNS declaration sent thru’ MNS

Highly successful and profitable activity:Highly successful and profitable activity:

- share value multiplied by eight since 1994- share value multiplied by eight since 1994

- yearly dividends = ± 90% of funds invested- yearly dividends = ± 90% of funds invested

ResultsResults

Reduction in processing time of Customs Reduction in processing time of Customs declarations from days/several hours to 15 declarations from days/several hours to 15 min. min.

Declarations sent/information retrieved Declarations sent/information retrieved from one’s office from one’s office

Enhancement of transparency and Enhancement of transparency and productivity productivity

Conclusive public/private sector Conclusive public/private sector collaborationcollaboration

The Mauritian CMS is now used by the The Mauritian CMS is now used by the Ghana CustomsGhana Customs

UN CEFACTUN CEFACT Recommendation 33Recommendation 33Next StepsNext Steps

Establish repository on existing Single Establish repository on existing Single Windows Windows

Meeting in 2005 of all existing Single Meeting in 2005 of all existing Single Windows to discuss standards and Windows to discuss standards and interoperabilityinteroperability

Encourage implementation by developing Encourage implementation by developing Business Cases for the three Single Business Cases for the three Single Window modelsWindow models

Promotion at Capacity Building Workshops Promotion at Capacity Building Workshops for Trade Facilitation Implementation and for Trade Facilitation Implementation and presentations to interested organisationspresentations to interested organisations

Further Information …Further Information …

Tom ButterlyTom Butterly

Deputy ChiefDeputy Chief

Global Trade Solutions BranchGlobal Trade Solutions Branch

UNECEUNECE

E-mail: tom.butterly@unece.orgE-mail: tom.butterly@unece.org

Website: www.unece.org/tradeWebsite: www.unece.org/trade