Indonesian Political, Business & Finance News

Indonesia ready for world customs harmonization

Indonesia ready for world customs harmonization

By Hendarsyah Tarmizi

NUSA DUA, Bali (JP): Minister of Finance Mar'ie Muhammad said here yesterday that Indonesia is ready to cooperate with the World Customs Organization (WCO) on the simplification and harmonization of customs procedures.

The minister said other countries should also take the same approach of applying relatively simple and standard customs rules.

Simplification of the world's customs procedures will only be achieved with the participation of many countries, the minister said in an address to the WCO's policy commission.

The policy commission, represented by 27 of the WCO's 140 member countries, will discuss reforming the structure of the organization as well as issues related to the simplification and harmonization of customs procedures during its four-day meeting, which ends on Thursday.

WTO chairman V.P.M. Strachan said that efforts to establish a stronger policy for fighting illegal trade and protecting intellectual property rights was also on the meeting's agenda.

"We, a customs administration, have to make sure that we facilitate international trade," said Strachan, who is also a senior British customs and excise official.

Results of the meeting will be submitted at the WCO's council meeting, which will be held next June in Hong Kong, she said.

Minister Mar'ie hailed the WCO's efforts to combat smuggling, customs fraud and illicit traffic in narcotics and intellectual property as well as their push for simpler, standard customs provisions.

"The WCO has responded enthusiastically to the challenges that confront customs organizations in this rapidly changing world," Mar'ie said.

Convention

One of the WCO's most important achievements in facilitating international trade came in 1973, when the organization introduced the international convention on the simplification and harmonization of customs procedures.

The convention covers import and transit procedures as well as traveler facilities.

Director General of Customs and Excise Soehardjo said that most of his office's customs policies conformed to the convention, even though Indonesia has not ratified the pact.

"It is a matter of time and we hope we will ratify the convention soon after the introduction of the new customs law," he said.

The new custom law, which will be passed by the House of Representatives today, will provide a stronger legal foundation for international customs and excise arrangements.

Soehardjo said that Indonesia had partly computerized its customs services to support the country's import activities.

The Electronic Data Interchange system will pave the way for paperless import and export activities when it is introduced next year.

However, he said that the system should also be supported by port authorities, shipping companies, exporters and importers.

"We cannot work alone. The participation of other parties is needed. Otherwise, the new system will be meaningless."

View JSON | Print