Issues and Challenges In Cross-Border Data Exchange Through a Single Window (SW)



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Session 3 Enhancing Single Windows for Trade Facilitation: Enabling cross-border data exchange through Single Window Issues and Challenges In Cross-Border Data Exchange Through a Single Window (SW) By: Marianne Wong Mee Wan Expert in paperless trade and Single Window, Malaysia Bangkok, 8 September 2015

Information exchange through a SW could be G2G -Transit information, Physical Inspection at Export, Preferential CO B2B - Transport Documents (Bill of Lading, Sea Waybill, Air Waybill), Cargo Manifest (House/Master), Commercial Documents (Commercial Invoice, Packing List) B2G - Import/Export license/permit, customs declaration, conveyance report and cargo report (manifest) Cross-border data exchange more likely involve G2G and B2B Governments generally will only accept legally binding (electronic) trade transactions from legal business entities registered in their own jurisdiction Less red-tape for business entities to establish legal arrangement to accept electronic transactions with counter partners

Issues Security of cross-border exchange of data functional equivalence of paper and electronic documents acceptance of electronic signatures including mutual recognition of digital signatures electronic data retention and archiving data confidentiality and protection use of electronic data in judicial proceedings liability and dispute resolution issues Transaction data retention at the regional level Information security standards at the national level Communication medium (must be a closed secure network, robust and reliable, easy to maintain) The best fit business model Different level of compliance of traders across borders

Challenges Parties at different levels of economic development - the interest and expectations on the regional SW are relatively diverse individual Party may have its own legislation and different levels of automation Operating and maintaining a SW at the regional level requires more than Information and Communications Technology personnel to manage the Regional Services and the regional network Need an agreed business model to govern and sustain the regional SW operation Business process reengineering needs to be carried out to streamline the cross-border processes, followed by data harmonization. Functional integration of local SW with regional SW Effective regional and NSW Legal Frameworks need to be in place and such legal matters tend to be complex

Efficient Cross-Border Data Exchange A Single Window Vs Other Paperless Trade Systems Data Exchange Within a region Single Window Other Paperless Systems National SW as the national single point of connectivity and communication - provides better management and control for G2G information/document For B2B transaction: Paperless systems of business entities cater for respective business needs and less complex to connect systems in similar industry/business environment less bureaucracy involved Data Exchange Between regions Connectivity between pair of regional SWs (systems/facilities) could ease implementation of cross border data exchange provided, Regional business processes and data are harmonized/standardized Issues of regional message/communication protocol standards as well as data security are addressed Regional legal issues are addressed Connectivity between paperless systems could be more viable for B2B than G2G transactions

Others : Efficient Cross-Border Data Exchange A Single Window Vs Other Paperless Trade Systems Multi-National companies may find it more effective for information exchange with their subsidiary entities at different parts of the world through their own paperless systems Group of business entities associated with each other in internationally in the course of doing business may find it more justified to establish their own SW for speedy information exchange