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EU Customs Policy Developments Supply chain security a case study. Manuela Cabral European Commission. EC APPROACH ON CUSTOMS POLICY. WHY Community approach ? The Customs union (1968) The Single Market (1993) Free circulation of goods, persons, services and capital

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eu customs policy developments supply chain security a case study

EU Customs Policy DevelopmentsSupply chain security a case study

Manuela CabralEuropean Commission

ec approach on customs policy
EC APPROACH ON CUSTOMS POLICY
  • WHY Community approach?
    • The Customs union (1968)
    • The Single Market (1993)
    • Free circulation of goods, persons, services and capital
    • One external frontier supervised by 27 customs administrations
aim of eu customs policy
Aim of EU customs policy

THE CUSTOMS UNION is a foundation of the EU

  • Nearly 40 years
  • Single Market
  • €uro

TWIN AIMS OF CUSTOMS POLICY:

  • To protect the EU and citizens
  • To facilitate legitimate trade
changing environment new challenges for customs in general
Changing environment &New challenges for customs in general
  • Increasing volumes of traffic
  • Increasing globalisation of trade and crime
  • Increasing threat of terrorist acts
  • Increasing interconnectivity andinterdependency of societies/countries
changing environment new challenges for customs in europe
Changing environment &New challenges for customs in Europe
  • Total length of external land frontier: 12.440 km
  • Enlargement of the European Union in 2004 and 2007 (e.g. length of the EU Eastern Land Frontier increased nearly 80%)
  • About 1.600 million tonnes of seaborne cargo (annually)
  • About 8 million tonnes of airborne cargo(annually)
changing environment new challenges for customs in europe1
Changing environment &New challenges for customs in Europe
  • 161.000.000custom declarations per year
  • 441.000custom declarations per day
  • 306 custom declarations per minute
  • 5 custom declarations per second
changing role for customs
CHANGING ROLE FOR CUSTOMS
  • Traditional approach: primary concern of customs are fiscal matters and revenue collection
  • New tasks and new challenges
    • due to increasing concerns for safety and security
    • demands of globalisation
challenge for customs
CHALLENGE FOR CUSTOMS

In the light of the new tasks, customs have to ensure, among other:

  • Protection of citizens and their interests while facilitating legitimate trade
  • Interoperable IT systems as a means to fight fraud and increase security while not hindering trade
eu customs policy developments
EU CUSTOMS POLICY DEVELOPMENTS
  • Electronic customs
  • Modernized customs code
  • Security amendments to the customs code(case study)
eu customs policy developments different timepaths
EU CUSTOMS POLICY DEVELOPMENTSDIFFERENT TIMEPATHS
  • E-CUSTOMS

 Communication COM(2005)609

    • Decision in European Parliament and Council
      • process is started
      • Council decision is expected shortly
    • Phase implementation: 2006 - 2013
e customs
E-Customs

Developing secure and interoperable electronic customs systems for exchange of data

  • Facilitation of import and export procedures
  • Reduction of administrative costs
  • Reduction of clearing times
  • Improved conjunction between implementation of legislation and the customs practice
  • Ensure the right levying of duties and taxes
  • Enable a smooth flow of information between the relevant parties and re-use of data
eu customs policy developments different timepaths1
EU CUSTOMS POLICY DEVELOPMENTSDIFFERENT TIMEPATHS
  • Modernized Customs Code

 Communication COM(2005)609

    • Decision in European Parliament and Council
      • process is started
    • Implementation: ?
modernized customs code
MODERNIZED CUSTOMS CODE
  • Simplification of the structure – reduction of articles
  • Revision of the customs procedures – centralised clearance
  • Improving the system for customs guarantees
  • Expansion of the use of authorizations for the whole EU
eu customs policy developments different timepaths2
EU CUSTOMS POLICY DEVELOPMENTSDIFFERENT TIMEPATHS
  • SECURITY AMENDMENTS TO THE CUSTOMS CODE

 Regulation (EC) No. 648/2005

 Implementing reg. (EC) No. 1875/2006

Implementation:

AEO 1/1/2008

Pre-arrival /Pre-departure 1/7/2009

eu customs approach on security
EU CUSTOMS APPROACH ON SECURITY

Integration of security aspects in customs controls and authorisations for traders

  • ensure that responsibilities are specified integration of security aspects in import and export controls
  • increased emphasis on export controls
  • ensure that data can be electronically exchanged
  • integration of security aspects in authorisations for operators
eu customs security initiatives
EU Customs Security Initiatives

Security amendments to the Community Customs Code

  • require traders to provide customs authorities with information on goods prior to import to or export from the European Union
  • provide reliable traders with trade facilitation measures (AEO-concept)
  • introduce a mechanism for setting uniform Community risk-selection criteria for controls, supported by computerised systems
import control system when is it necessary
Import Control System – When is it necessary?
  • First port of entry - Entry Summary Declarations (ESD) for all goods on board (24h (b/loading)-4h-2h)
    • If vessels sharing arrangements Pre-Arrival Notification (PAN) necessary (24h(b/arrival)-4h-2h)
    • Manifest for goods to be unloaded
  • Subsequent ports:
    • ESD for goods to be unloaded – no time limit + manifest for movement between Community points
  • Between Community ports:
    • Regular shipping line: no ESD only manifest
    • Non regular shipping line: ESD for goods to be unloaded + manifest for movement between Community ports
export control system when is it necessary
Export Control System - When is it necessary?

For all goods leaving the Community

  • Normal situation: export, re-export or transit declaration (24h (b/loading)-4h-2h)
  • Freight remaining on board or transhipped at the place of unload – no declaration (ESD fills the role)
  • Others: exit summary declaration
ec security initiatives
EC Security Initiatives

Result :

A secure end-to-end supply chain with secure trading partners and without weak links !

thank you for your attention
THANK YOUFOR YOUR ATTENTION

For up-to-date information about the

Customs Developments

visit our website:

http://europa.eu.int/comm/taxation_customs/index_en.htm