Announcement
New Customs Data Exchange System Benefits Uganda and Kenya
New System Helps Cut Transport Costs and Delays
Kampala, Uganda
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Monday, October 29, 2007
Working collaboratively with the Kenya Revenue Authority and the Uganda Revenue Authority, the USAID/ECA Trade Hub has helped to develop a common interface between Kenyan & Ugandan customs systems to share and store information to meet international standards as per World Customs Organization rules in the Revised Kyoto Convention. In 2005, a field research produced a proof of concept that it is electronically viable to share data between the Kenyan SIMBA2005 and Ugandan ASYCUDA++ systems.
The Revenue Authority Digital Data Exchange (RADDEx) solution enables customs data to be communicated instantly from point of transit origin, through all points of transit, to the point of destination. This advance notification will allow for streamlined processing of goods, increased transparency, increased accuracy in goods verification and risk assessment, and enhanced overall efficiency including avoidance of duplicate data capture at border posts. In addition, complete communication will include reconciliation report transmitted to the country of exit upon receipt of goods into the country of entrance. This data exchange will greatly reduce customs clearance time and overall transport time and is directly beneficial to not only the two countries, Kenya and Uganda, but also the entire Eastern Africa region with benefits accrued by the private sector and Revenue Authorities alike. Transport costs are reduced, throughput of goods is increased, and market access and global competitiveness are increased, communication and Access security is built into this solution to reassure countries of the safety of information being transmitted.
Although initial focus is on Kenya and Uganda, by implementing intermediate web enabled software, the solution is robust enough to be extended to any border countries or along any major transport routes such as the Northern, Central and Southern Corridors, regardless of Automated Customs System in use.
The success of RADDEx demonstrates the commendable cooperation and solidarity between Kenya and Uganda through the Kenya and Uganda Revenue Authorities, a feat that should be lauded, encouraged and replicated in the region.
“The system was proposed with the idea of providing a standardized means of communication between systems, not only for the purposes of customs, but for any stakeholder in the trade process. So far it has been encouraging to see the high standards and level of professionalism amongst the KRA and URA and I hope that we may continue to nurture this excellent relationship.”
Michael Smith, ECA Hub IT Specialist
ECA Trade Hub Background
The East and Central Africa Global Competitiveness Hub (ECA Hub) is funded by USAID East Africa and works with regional partners such as the East Africa Community and COMESA to facilitate trade and investment in the areas of Trade Policy Formulation/Capacity Building, AGOA/Enterprise Development, Customs Harmonization and Simplification Transport Efficiency along the Northern Corridor.
If you would like further information about RADDEX or to schedule an interview with our team to discuss RADDEx and other initiatives in the region please contact: Njoki Mungai on nmungai@ecatradehub.com or call +254 20 2733250