The Australian Border Force (ABF) started a blockchain trial with Singapore Customs and the Singapore Infocomm Media Development Authority (IMDA) for the digitalization of cross-border trade processes. The tests will use both the ABF-developed Intergovernmental Ledger (IGL) and IMDA’a TradeTrust.While one of TradeTrust’s objectives is to enable interoperability, it wasn’t explicitly mentioned in the announcement.
ABF’s trial will initially test digital verification for electronic Certificates of Origin the blockchain platforms and gather feedback from participants on their experience, a document with information regarding the product’s destination and country of export. Typically customs departments rely on this to assess import duties. The trial’s outcomes will be shared in the National Blockchain Roadmap’s Discovery Report.
“In addition to our efforts internationally, this initiative will incorporate paperless trading and secure, digital exchange of trade information as part of the future architecture and design of an Australian Trade Single Window,” said Michael Outram, ABF Commissioner.
The Australian Chamber of Commerce and Industry, Australian Industry Group, and financial institutions in Singapore, such as ANZ will also be involved in the project.
The Australian government recently announced the Simplified Trade Agenda, which aims to reform and digitize trade compliance processes. The Department of Agriculture is already working with Singapore on paperless trading for agricultural trade. ABF’s trial is another step towards the Agenda’s end goal.
Meanwhile, the TradeTrust initiative was launched by Singapore’s government over two years ago with the purpose of strengthening Singapore’s competitiveness in international trading. Ultimately its goal is to enable interoperability for trade documentation. It has broad aims that include legal harmonization, developing standards as well as providing open-source software solutions.
Ten months ago, global organizations, including the International Chamber of Commerce (ICC), signed a cooperation agreement to develop the TradeTrust blockchain framework.
Source: Ledger Insights, 26 November, 2020
You must be logged in to post a comment.