Ghana – Integrated Customs Management Systems to be mandatory in June 2020

The Ghana Revenue Authority (GRA) has stated that effective June 1, 2020, all transactions related to the import and export of goods at the various ports in the country shall be processed through the Integrated Customs Management Systems (ICUMS).

The move, according to the GRA, was aimed at coordinating all import and export activities at the ports on a single platform to reduce cost in clearing and exporting of goods.

ICUMS  is a new port clearing system that processes documents and payments through one window and the system is a departure from the previous system where ‘valuation and classification’ and ‘risk management and payment’ were handled by different entities.

The deployment of ICUMS, which started yesterday at the Tema Port and all other entry points, is envisaged to replace the Pre-Arrival Assessment Report (PAARS) which was being handled West Blue and the GCMS which was jointly operated by the Customs Division of GRA and GCNet.

The GRA in a press statement issued in Accra on Monday, signed by the Acting Commissioner-General, Ammishaddai Owusu-Amoah and copied to the Ghanaian Times, however, said between April 28, 2020 and May 31, 2020, transactions in respect of import and export manifest can be processed through either the ICUMS or the Ghana Customs Management System (GCMS) for the Tema Port as well as all other entry points.

 “All existing transactions commencing prior to the 31st of May 2020 for which processing have not been completed in the GCMS (before or after payment of duty) shall be processed through the ICUMS,” the statement said.

The Ministry of Trade and Industry in March 2018 signed a contract with the Ghana Link Network Services Limited in collaboration with Customs UNI-PASS International Agency (CUPIA) of Korea Customs Services to introduce the UNI-PASS Systems in Ghana for a period of ten years at a cost of $40 million.

However, the Ghana Institute of Freight Forwarders (GIFF) has kicked against the government contract with Ghana Link Network Services and the implementation of the UNI-PASS system in Ghana.

According to the Institute, the GCNet and West Blue Consulting systems were superior and were working perfectly and thus there was no need for a new system.

GIFF in a situation report on the deployment of UNIPASS/ICUMS at Takoradi copied to the Minister of Trade and Industry, Alan Kyeremanteng, cited by this paper, cautioned that the nationwide implementation of the UNI-PASS system, now Integrated Customs Management System will adversely affect their operations.

“The myriad of problems facing declarants mostly due to lack of proper mapping of the process flow, inadequate training of declarants and unresolved systemic issues must be addressed,” the report said. 

But government in a statement it issued a couple of weeks ago debunked reports that UNI-PASS, has no track record and the required competence to execute the work at hand and  that the UNI-PASS technology had not been deployed or tested anywhere in the world was inaccurate.

“The UNI-PASS technology has been deployed successfully in Tanzania since 2015 under the name Tancis, which World Customs Organisation (WCO) has acclaimed as one of the best innovative trade facilitation systems. Cameroun, like Ghana, has deployed the same technology after successfully developing their system early this year,” the statement said.

“The decision to discontinue with the services of GCNet and other service providers was informed by the need to replace the multiplicity of vendors with a single service provider deploying an end-to-end system,” the statement said.

Source: article by Kingsley Asare, Ghanaian Times, 29 April 2020

Ghana – Two Single Windows?

Ghana
Deputy Minister of Trade and Industry, Mr. Carlos Ahenkorah, says Ghana a signatory to the WTO Trade Facilitation Agreement is too small a country to have two Single Window operators.

He challenged the pioneer and only single window operator, Ghana Community Network Services Limited (GCNet) to speedily re-double its efforts in actualising the full breadth of Single Window operations in the country.

He recalled GCNet’s drive to automate trade facilitation and port clearance processes in the country and the difference that brought to trade and port operators.

He praised the Ghana Integrated Cargo Clearance Systems (GICCS) deployed by GCNet as efficient and robust enough to deliver on any valuation needs and address any bottlenecks in the overall clearance systems at the ports to deepen trade facilitation and enhance revenue mobilisation.

He noted that GCNet had taken too long in securing the manifest, the seed document in clearance processes at the ports from source, a situation that may have encouraged other operators to exploit the loophole to try to secure that right from the International Air Transport Association.

The Deputy Trade Minister, however, noted that if GCNet had connected Maersk Lines to transmit its manifest into the Ghana Customs Management System (GCMS) over the past three years then there was no way that it could not oblige other carriers to emulate that example and ensure that both air and sea manifest are transmitted expeditiously.

He also urged GRA (Customs Division) as the statutory body to assist GCNet to get all other carriers to do so with dispatch going forward.

Mr. Ahenkorah also charged GCNet to remain committed to their tenets of innovation and service delivery and work harder to expand the scope of its TradeNet Single Window platforms in order to ward off any superfluous and duplicitous competition.

On his part, the Chief Executive Officer of the Ghana Shippers Authority, Dr. Kofi Mbiah, challenged Government to be bold to speedily resolve critical issues militating against the full actualisation of Single Window implementation in the country.

He said Ghana having been acknowledged as a pioneer in Single Window operations by international bodies like the World Bank and a number of countries having undertaking familiarization visits to Ghana to learn about the GCNet experience.

Dr. Mbiah noted that in as much as there was the need for collaboration between GCNet and other operators, it was also extremely important to define the parameters of engagement to create a level playing field for all players in the trade facilitation and revenue mobilisation eco-system.

Welcoming guests earlier to the event, the Executive Chairman of GCNet, Dr. Nortey Omaboe, noted that as a Public Private Partnership (PPP) conceived since its inception, the model over time had proved to be the most effective way of executing such a national mandate to support revenue mobilisation by Government, foster trade facilitation and enhance business competitiveness.

Dr. Omaboe observed that Government’s quest for increased revenue in an environment of reduced taxes to stimulate private sector growth meant greater focus on GCNet to come up with new initiatives to support revenue mobilisation efforts.

He, therefore, outlined a number of initiatives that GCNet had proposed to Government to enhance revenue mobilization.

These include the need to improve upon the valuation of consignments, the need to invoke bonds for transit goods that do not exit the country after 14 days and the review of the paltry charges currently imposed, ensuring that warehoused goods are ex-warehoused within the stipulated time periods.

Also, tighter control of free zone operations and the duty and tax exemptions granted thereon, the assignment of all newly registered taxpayers to relevant GRA Tax Offices and ensuring they file tax returns, etc.

Dr. Omaboe however expressed concerned about non-clarity in the role of some entrants in the trade facilitation and revenue mobilisation space following the cessation of the destination inspection companies and called for urgent steps to address the worrying development; and its inherent duplications and hence unnecessary cost to Government.

He was confident that what he termed ‘unnecessary complication’ would eventually be resolved mindful of the consideration that the interest of the country should remain paramount and be protected.

Dr. Omaboe assured guests that GCNet was poised for further growth and development in the years ahead as it leverages upon its continuous innovations in deploying systems that bring greater value to the Government and people of Ghana. Source: Ghana News Agency, Two Single Window Operators too much for Ghana, April 19, 2017

Watch Ghana President’s reaction to Corruption

The following video is somewhat dated, but reports still abound regarding corruption within the Customs division of the Ghana Revenue Authority. The video appears to be about 4 years old. The president, John Evans Atta Mills, seen here rebuking staff at the Port of Tema, has since passed on. His message is nevertheless timeless and should be heeded by all customs officials across the continent.