ASEAN told to expedite customs harmonization

ASEAN told to expedite customs harmonization

JAKARTA (JP): ASEAN Secretary-general Dato Ajit Singh
yesterday urged member states to work expeditiously to harmonize
customs procedures to keep up with the rising competition from
other regional trading blocks.

"ASEAN (the Association of Southeast Asian Nations) should not
lag behind others in its regional integration and trade
facilitation processes, but take the measures necessary to remain
ahead of the field," he said.

Speaking at the opening of the fourth meeting of ASEAN customs
director generals, Dato Ajit pointed to the Mercusor common
market of South American countries as an area which has
successfully standardized customs codes and developed common
tariff nomenclature and rules for customs valuations.

"ASEAN faces increasing competition from other countries,
particularly from emerging developing economies in other regional
trading blocks," he said at the start of the two-day meeting.

Formed in 1967, ASEAN comprises Brunei, Indonesia, Malaysia,
the Philippines, Singapore, Thailand and Vietnam.

Dato Ajit pointed to the growing need to simplify
bureaucracies to allow the region to remain competitive in
business.

Environment

"We need an environment in ASEAN which will enable the private
sector to transform our region into an important hub serving
international and regional markets," he remarked.

He then suggested that ASEAN director generals consider
initiating a reform and modernization process to take into
account both the need for customs control and trade facilitation.

By strengthening management capabilities and improving both
customs service performances and the use of computers, Dato Ajit
believes business overheads can be reduced and more effective and
efficient customs administrations developed.

Similarly, Indonesian Minister of Finance Mar'ie Muhammad, in
his written address at the meeting's opening, also stressed the
need for customs improvements.

"As the ASEAN economies prepare to meet the challenges of the
next century, it is important that we initiate improvements in
our customs administration to ensure that we reap the full
benefits from increased international and intra-regional trade,"
the minister said in his speech which was read by Ministry of
Finance Secretary-general Dono Iskandar Djojosubroto. (mds)