ECASBA 2009 European Seminar CUSTOMS POLICY 6 May 2009, Brussels

1. ECASBA2009European SeminarCUSTOMS POLICY6 May 2009, Brussels

2. Customs Policy • Short term: « safety and security amendment » • Medium term: Modernised Customs Code • Long term: Policy Vision

3. Short term:'Safety and Security Amendment‘enter into force: 1st of July 2009. It covers three major changes to the Customs Code: • Requiring traders to provide customs authorities with information on goods prior to import to or export from the European Union; • Providing reliable traders with trade facilitation measures - Authorised Economic Operator (AEO); • Introducing uniform Community risk-selection criteria for controls, supported by computerised systems for goods brought into, or out of, the EU customs territory;

4. Short term:'Safety and Security Amendment‘ Transitional period concerning the safety and security amendment. The principle rule: From 1 July 2009 onwards the safety and security data has to be provided before the goods enter or leave the Community customs territory. The security data has to be sent electronically by economic operators. The transitional period: From 1 July 2009 to 31 December 2010, this pre-arrival and pre-departure information will be an option for traders and not an obligation. It means that during that transitional period goods not declared in advance will be submitted to risk analysis after arrival or before the exit is allowed.

5. Short term:'Safety and Security Amendment‘ Legislation: • Regulation (EEC) No 2913/92 establishing the Community Customs Code as amended by Regulation (EC) No 648/2005and • Regulation (EEC) No 2454/93 providing provisions for the implementation of Regulation (EEC) No 2913/92 establishing the Community Customs Code as amended mainly by: • Regulation (EC) No 1875/2006, • Regulation (EC) No 312/2009, and • a third regulation already adopted by the Commission but which the publication is pending (foreseen for 9 May)

6. Short term:'Safety and Security Amendment‘ Legislation (cont.): • Commission Regulation (EC) No 273/2009 of 2 April 2009 laying down provisions for the implementation of Council Regulation (EEC) No 2913/92 establishing the Community Customs Code, derogating from certain provisions of Commission Regulation 2454/93 (transitional period).

7. Short term:'Safety and Security Amendment‘ Communication initiatives: • The leaflet with the information address mainly to the economic operators dealing with the road transport – to be distributed by the end of June 2009; • The “mini Website” to be provided under Commission responsibility enabling to accede all information concerning the implementation of the security amendment by June 2009. • The building up of the mock-up for European Customs Information Portal (mECIP) – pilot phase of ECIP project, based on the security information. To be provided by the end of 2009.

8. Medium term:Modernised Customs Codeenter into force: 2013 Modernisation: WHAT?(1) Rights and obligations of persons • No national restrictions on customs representationbut possible conditions and common criteria to be fulfilled by those persons who want to act as representatives in other Member States; • Common rules for all types of decisions by customs authorities – including right to be heardbefore a negative decision is taken and more protective appeal procedures; • Prohibition of customs fees, charges and costs not corresponding to a service actually rendered; • Possible extension of binding information (advance rulings) to other areas than tariff classification and origin – e.g. valuation; • Common principles forcustoms penalties.

9. Medium term:Modernised Customs Code enter into force: 2013 Modernisation: WHAT?(2) Customs debt and guarantees • Common rules on guaranteefor a potential or existing customs debt, covering all procedures; • Streamlined rules and procedures allowing debtors to benefit from non-recoveryor repayment/remission of duties in specific situations; • Streamlined rules on limitation in time(3 years or 10 years) of the possibility for customs to recover duties.

10. Medium term:Modernised Customs Code enter into force: 2013 Modernisation: WHAT?(3) Customs procedures • All customs formalities and exchanges of data, documents, decisions and notifications between operators and customs made using electronic data processing techniques, as a rule; • Unification of the simplified proceduresfor customs declaration (1 instead of 3 procedures); • Community-wide management of customs procedures:‘single authorisations’ and ‘centralised clearance’; • Additional simplifications of formalities and controls and self-assessment

11. Medium term:Modernised Customs Code enter into force: 2013 Centralised Clearance(Art. 106 MCC) • Centralised Clearanceoffers the possibility for an economic operator to lodge its electronic customs declarations at the customs office of the place where he is established and hold his records, irrespective of the place where the goods enter, leave or are presented in the customs territory • The place of declaration is dissociatedfrom the place where the goods are physically presented and responsibilities are divided between the different customs offices involved: - the ‘border’ office of entry/exitis responsible for security and safety control and other possible controls of the goods declared on request by the office of import/export before releasing them on the Community market - the ‘inland’ office of import/exportis responsible for the other formalities and controls related to the tariff,

12. Medium term:Modernised Customs Code enter into force: 2013 Modernisation: How? • Create a coordination (governance mechanism) • Develop an action plan • Ensure also external consultation

13. Commission • TAXUD Internal • Governance • Action Plan • Draft MCCIP • Explanatory Notes • & Guidelines • Business Process • Modelling • IT systems Member States European Parliament & Council right of scrutiny Institutions Customs Policy Group External Governance MCC National Coordinators Customs Code Committee Specialised Sections General Customs Legislation Section • Third Countries • Candidate countries • EFTA/EEA countries • Customs Unions • Neighbouring • Countries • Other countries • International • Organisations • WCO • WTO • UN-ECE Electronic Customs Group Monitoring National Coordinators assistance • Customs 2013 • Working Groups • MCCIP Project Groups • - PG (sub-groups A, B, C) • - PG AEO • - PG Customs Value • Other groups… Trade Trade Contact Group Open consultation

14. A single tool to identify and follow in a coherent way developments in the three main initial components of the MCC Implementation: Legal provisions Business Process Modelling  IT systems • A presentation of legal provisions, documents, IT systems, process/system owners, corresponding to the customs processes resulting from MCC/MCCIP, to be implemented, with various degrees of priority and dependencies • A common instrument for COM and MS to ensure both the internal and external governance of the implementation Action Plan

15. Long term: Policy Vision • What is the objective? 1- Mainly to integrate all current initiatives into a complete and coherent picture 2- To introduce modern management techniques (such as Business Process Modelling) and clear governance of the process 3- To exploit the possibilities of new areas (example System Based Approach)

16. Common audit approach Systems based Transaction based ICT Leg. What next? Working methods Common training Trade MS experts/COM Future of customs’ impact on activities Expertise on supply chain management Process mapping Harmonisation & standards in customs control Perf. Meas. Customs leading in SW concept Contact groups Co-op. / Coord . Risk management strategy & framework Crisis management Equiv. results Management, profiles, sharing information Other MS experts

17. Long term: Policy Vision • How? 1- Coordination to be ensure by the governance mechanism 2 - Implementation Plan to be prepared by the end of the year (general Multi Annual Strategic Plan (GMASP) covering all aspects – and not only the IT developments)

18. Thank you for your attention. EUROPEAN COMMISSION DG TAXUD Customs policy and Electronic customs Unit C1 Maria-manuela.Cabral@ec.europa.eu tel.: +32 2 2954259