Customs Modernisation Programme Lesotho Traders Presentation Purpose • To explain the Customs Modernisation Programme – Background and basis for changes – Trade impact – The programme technically – Implementation Basis of CMP • GOALS – To increase the revenue collection – To reduce the cost of collection – To reduce the costs for Border Users • The adoption of international and regional Standards for revenue Collection and trade facilitation. – WCO - Revised Kyoto Convention – WTO - Agreement on Trade Facilitation – SACU Basis of CMP • Overall LRA Strategy – To provide consistent and transparent procedures for trade – to maximise revenue and provide service to Stakeholders – to adopt a transparent Single Trader Approach – encourage and provide benefits for compliant trade – to protect legitimate trade – to make extensive use of computerisation and modern technology The Programme Specifically to reduce the costs for border users through: • The computerization of all appropriate import, export and payment/accounting. WTO • The simplification of procedures, systems and documentation. WCO/WTO • The establishment of a transparent trade portal. WTO • The introduction of an effective guarantee system. WCO/WTO • The adoption of risk management. WTO The Programme • The introduction of advanced information. WCO/WTO • The introduction of a preferred trader scheme. WCO/WTO • The deployment of non intrusive inspection Scanners WTO • To maximize the commonality of procedures with those proposed by the Southern African Customs Union (SACU) and South Africa Revenue Service (SARS) SACU The Programme • • • • • • Established September 2012 Phase 1 – research and development Phase 2.1 Development Phase 2.2 Implementation Preparation Phase 3.1 Implementation of basic procedures Phase 3.2 Implementation of advance procedures • Completion by April 2016 Programme Developments • Launch of the Lesotho Business Partnership 2012 • Launch of the Lesotho Trade Portal 2014 • Pilot Preferred Trader Scheme (ended March 2014) New Procedures Requirements • The electronic submission of all commercial declarations • The electronic submission of supporting documentation • Advanced information required before arrival of consignments • Electronic management of deferment accounts • Segregation of clearance and inspection • Application of administrative penalties New Procedural Outcomes/Benefits for Trade • Intra SACU/extra SACU clearance at point of entry • Consistent transparent procedures • Advanced Clearance • Immediate release on arrival • Electronic management of queries Future Developments The introduction of advanced procedures (From July 2015) • Review of all deferment accounts • Introduction of bank guarantees • Expanding payment methodologies and reducing cash handling at frontiers • Move to single clearance centre and closure of state warehouse as clearance centre. • Introduction of inland clearance • Extending the Preferred Trader Scheme • Introduction of new non-commercial procedures Moving forward • Pilot at Maputsoe Bridge • Roll out to Maseru region by April 2015 • Move to central clearance by September 2015 • Introduction of advanced procedures, from July 2015 Immediate activity • Communications Programme for Trade from 6.5.2014 • Completion of Trader registration (TIN) • Registration of importers and exporters for ASYCUDA World from 1.6.2014 (Initial priority Maputsoe Bridge) • Trader education programme from 1.6.2014 • Connection of users to ASYCUDA World • Pilot at Maputsoe Bridge Follow developments and more information on: THE LESOTHO TRADE PORTAL www.lesothotradeportal.org.ls