ecustoms.it What future for the Mediterranean Port Systems: trends, challenges and opportunities

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1 ecustoms.it What future for the Mediterranean Port Systems: trends, challenges and opportunities 10th of May 2013 Civitavecchia (Rome) Port Authority Conference Hall

2 The Context: Production Globalization Boeing 787 Dreamliner In the last 20 years production processes have increasingly been fragmented, thus changing the grid of international production and leading to more complex connections among companies. Today many goods are the final outcome of long production chains crossing several countries. 2

3 The Strategic Framework: the Global Supply Chain Nations do not trade, nor do sectors. It is firms that trade The nature of trade is linked to the main production methods The new strategic framework demands to transform customs into a proactive partner to trade, whilst protecting fiscal, safety and security interests Towards a holistics approach to solve the customs dilemma a control system that supports trade 3

4 The Customs Dilemma Favouring reliable traders Fostering the competitiveness of enterprises Protecting the security and safety of citizens Protecting the Community/ national budget speed controls 27 Customs Administrations acting as one 4

5 The Complexity of the Customs Clearance Process Ministry of Economic Development Department of communications elettromagnetic compatibility Ministry of Foreign Affairs armament authorization Ministry of Economic development marks, quality and security of products CITES Ministry of Agricultural, Food and Forestry Policies Ministry of Infrastructure and Transport certifications The World Bank estimates up to In 73 Italy up to 68 documents per documents customs released by declaration, released by 17 OGA over 20 bodies Ministry of Health sanitary and veterinary 5

6 Customs at the Cutting Edge Developing immaterial infrastructures requiring limited investments but granting very-short-term progresses towards port networking. Sharing standardized IT processes to favour wider knowledge of rules (sharp reduction in trading costs linked to procedural uncertainties ) and of new opportunities, while fostering investments in innovation. 6

7 The AIDA IT System Automazione Integrata Dogane Accise Major assets: Computerization and parallel re-engineering of service processes and of the relevant activities, to customize them to the simplification opportunities offered by ICT Re-engineering based on the single-window/one-stop-shop approach (integration of processes and unification of controls carried out by other administrations) Usability of ICT services on-line training/information steady contacts - via web - with enterprises to record their needs and to measure the effectiveness of action Telematic access extended to the services provided and to the information processed Digital Signature Totally free of charge for economic operators

8 Interactive System connecting Traders and Public Bodies Customs Chemical Labs Excise Regional Directions PROCESSING REPORTS P.A. Other bodies Government EDI INFO It dialogues with national and EU bodies. Information derived from customs processes is made available via web to the competent or interested bodies. INFO Digital Signaure Knowledge & E-learning INFO Quality and quantity of the goods, value, transport mode, country/province of provenance and destination: these are some of the data acquired and used to monitor and analyze trade flows. Traders Companies Users It provides an on-line customsclearance service in which controls are integrated European partners EU Customs

9 Real-Time Controls on each Operation RED = Physical Inspection ORANGE = Scanner Control YELLOW = Documentary Control GREEN = Computerized Control All Customs declarations are screened by the system and addressed to 4 control channels (green, yellow, orange, red) according to their matching precise risk profiles developed by combining some of the data in the declarations (origin, provenance, type of goods..) Risk profiles can be modified in real-time Subjective profiles (WHITE/BLACK LIST) can decrease or increase the risk level. Through a voluntary AUDIT procedure, enterprises can obtain the certification of their reliability rate (AEO model - AUTHORIZED ECONOMIC OPERATOR), which is linked to a customized control level 9

10 The Added Value for Traders: a Fully Digital Approach The front-office is no longer needed AIDA Leads you AIDA Corrects you How to get: - on-line assistance - elearning - training environment Usability of ICT services Better compliance Reduction in litigation Knowledge System Recording needs Measuring effectiveness Updating of the Knowledge system Network of assistance to enterprises 10

11 Results Achieved: nearly 100% of e-declarations telematic telematic and floppy 11

12 Number of Customs Num. dic. Declarations import Num. dic. export Customs-Clearance Times belonging to Customs Import 2012 Controllo Computerized Automatizzato Control - CA Controllo Documentale - CD Documentary Control Physical Visita Merci Inspection - VM Scanner Controllo Scanner Control- CS Export 2012 IMMEDIATE clearance for 94.52% of simplified procedures and for 84.97% of normal procedures % 2.21% 3.25% 94.52% IMMEDIATE clearance for 97.82% of simplified procedures and for 92.75% of normal procedures % 0.37% 1.81% 97.82% % The automated control allows to analyze customs declarations and clear goods in 2-5 minutes in 95.4% of cases % 0.27% % % 84.97% 4.66% % AEO only 0 ORDINARIE Normal SEMPLIFICATE Simplified ORDINARIE Normal SEMPLIFICATE Simplified NO-STOP CUSTOMS Since 03 July 2012, a telematic clearance service is available every day from 1.00 to (H23) only for AEOs for export followed by transit operations simplified procedures relevant to export and

13 The Italian Customs Single Window The Customs Single Window has been developed in the framework of the Lisbon Agenda and of Decision 2004/387/EC of the European Parliament and the Council (design egov services to increase the competitiveness of enterprises, thus making the organization of controls more effective) Implementation of a connection mechanism enabling the dialogue between the administrations and bodies that participate in customs operations by granting authorizations, permits, licences or carrying out controls The different Administrations integrate the processes within their competence (of which they are holders), thus offering a common interface to citizens and enterprises Moving from the data collected in the customs declaration an ICT process is triggered to check the documents supporting the declaration and to perform controls

14 Assets of the Italian Customs Single Window Results Remarkable reduction in time and costs for businesses and Public Administrations One Stop Shop: unified controls (more effective and efficient controls based on joint risk analysis) From paper to Web. from web to cloud. 14

15 For more Information visit: - Sportello Unico Doganale 15

16 The Security Amendment (Reg. 648/2005 and 1875/2006) in Italy New import process ENS Arrival Notification MMA Customs Declarations New export process Export Declarations or EXS Arrival Notification MMP New processes design viewing constraints as an opportunity to innovate The Manifest contains the new features (reference to ENS) required by the security amendment MMA: notification of arrival at the office of entry and declaration for Temporary Storage MMP: notification of arrival at the office of exit, OK to boarding 16

17 Results: 100% e-manifest transmitted to and managed by Italian Customs 17 Copyright

18 Temporary Storage, Dry Port, Pre-Clearing Anchorage Port Customs endorse the manifest of inbound goods Temporay storage can be declared before the actual unloading The trader can send the customs declaration Customs Know the destination of a container before it is unloaded Port Goods are immediately addressed to controls cleared, sent to terminals or Dry-port Addressed to the dry-port

19 A Holistic Approach: Re-Use of Port Infrastructures and Integration with Port Community System (PCS) Port Gate Customs Area Container boarding Port Gate The truck or container is subject to a security control by: manual control cameras RFId readers Automatic storage of information related to: the vehicle (licence plate reading) Customs status Customs Automatic verification of: customs formalities Documents eligibility Terminal Customs duty Customs Address in real time the container to boarding, to the terminal or to the customs formality area PCS UIRNet 19

20 Il Trovatore Project: overall Tracking and Tracing DIGITAL GLOBAL SUPPLY-CHAIN Boost the competitiveness of the national logistics system: immaterial infrastructures in order to have a logistics platform virtually extended to the entire national territory extend the network of controls beyond the EU borders to promote the development of new trade routes identification of innovative solutions based on RFId (Radio-Frequency Identification) technologies seal containers, remotely check the goods unloaded up to their transfer to the dry-port, and better define the reference organization model. JRC UIRNet In August 2008 a cooperation agreement was signed with the Institute for the protection and the security of citizens within the Joint Research Center of the EU Commission. The agreement aims at identifying new solutions to trace and track down goods. The agreement will be renewed and is needed to have a European certification of the tested solutions. 20

21 Full Traceability In March 2009 an agreement was signed with UIRNeT S.p.A to develop a computer network for the control and monitoring of goods during the process of "import - destination - unloading - loading - export Designing and innovating by exploiting the opportunities of electronic customs: immaterial structures set up a virtual and larger logistic platform; extend the control network beyond the EU (Tianjin-Genoa Agreement) MONITORING DOCUMENTS + PHYSICAL LOCALIZATION 21

22 SSTL - Smart Secure Trade Lanes The agreement with China will advance checks at departure in the platform that will be implemented at the port of Tianjin, thereby speeding up customs clearance on arrival. Tianjin Integration between MMA and RFID seal RFID seal on container Genoa Real-time check with RFID reader Use of RFID technology to streamline clearance procedures and create real preferential lanes for goods

23 Convergence and Integration of Initiatives The Italian Customs Agency is partner in MEDNET and East-West Med Corridor (La Spezia Port Bologna Freight Village Ravenna Port) Genoa Port Hub Corridor Gioia Tauro Bologna Axis Genoa Fast Corridor (Port Authority of Genoa, Liguria Region, San Giorgio Terminal and Rivalta Terminal Europa) Port Authorities of Bari, Brindisi, Genoa, Gioia Tauro, La Spezia, Savona, Trieste, Taranto Bologna and Tuscany freight villages Lisboa Port Authority, Douro and Leixoes 23

24 Facilities in the Maritime Sector: Directive 2010/65/EU Directive 2010/65/EU modernizes the reporting formalities applicable to maritime transport (information which must be provided for administrative and procedural purposes) for ships arriving in and departing from ports in European Union (EU) countries, foreseeing that parties involved in trade and transport should be able to lodge standardized information and documents via an electronic single window to fulfill reporting formalities (Maritime Single Window). Ongoing works at Commission level to prepare European guidelines. The Italian delegation, supported by the WSC and ECSA, argued the need to ensure a coordinated development of the maritime single window and the customs single window: Art.5 (1) 2 indicates that this single window, linking SafeSeaNet (henceforth: SSN), e-customs and other electronic systems, shall be the place where all information is reported once and made available to various competent authorities. This requirement means that on the one hand the information submitted through this single window should be made available to relevant authorities. On the other hand, the relevant information not provided directly to the NSW but provided through e-customs, SSN and other electronic systems should be accessible/available through this single window service. Technically this means that a common defined interface is to take place in order to enable interoperability among the systems. 24

25 Let s not Reinvent the Wheel. Ministry of Transport Port Authority Ship Maritime Single Window EU Directive 2010/65 PMIS Security Berth authorization Ship release DPCM 242/2010 AIDA Italian Customs Agency Goods 18 Administrations Obligations delegated to the various national authorities by regulations Ship info IMO/FAL Import/Export Cargo Manifest ENS/EXS Obligations delegated to the customs authority by EU legislation Economic Operators 25

26 Let s not Reinvent the Wheel. Ministry of Transport Port Authority Ship Obligations delegated to the various national authorities by regulations Maritime Single Window PMIS Ship info IMO/FAL Berth authorization Ship release AIDA Import/Export Cargo Manifest ENS/EXS Italian Customs Agency Benefits of the cloud of single windows EU Integration Directive of processes and rationalization of 2010/65 Security DPCM 242/2010 information flows in order to reduce obligations Teamwork Goods Cooperation started with Comando Generale Capitanerie di Porto for the ems (electronic Maritime Simplification) EU project - definition of the Master Plan for the Maritime Single Window 18 Administrations Obligations delegated to the customs authority by EU legislation Economic Operators 26

27 Thank you for your attention! Teresa Alvaro Italian Customs Agency DG Technology for Innovation

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