EU assists SADC in developing a regional customs transit scheme

Theoretically, all transit goods will soon be able to sail through customs throughout the entire Southern African Development Community (SADC) region without any delay, says David Watts, a consultant for the South African Association of Freight Forwarders (Saaff). The European Union has committed €18 million through the European Development Fund to cover the cost of a Customs Modernisation and Trade Facilitation programme targeted at an eventual Custom Union in the SADC region. A major platform of the programme is the implementation of a Regional Transit Management System (RTMS) designed to allow for the movement of road transit cargo throughout the region with the fewest possible customs delays at border posts. “The RTMS protocol has two critical elements; one is the use of a single administrative document (SADC Transit Document) which, once submitted and endorsed by customs at the point of origin, will be accepted by administrations in each transit country, obviating the need for separate declarations at border posts. The other is the introduction of ‘regional’ bonds or sureties which, when issued in the origin country, will guarantee duty and tax to all customs administrations along the transit corridor,” Watts explains. The protocol, which places obligations on all parties in the transit chain, including state administrations, carriers, forwarders, guarantors and exporters, has been signed by all the relevant SADC countries. The programme commenced on January 1, 2008 and is additional to various other projects designed to help the region meet the goals of the Regional Indicative Strategic Development Plan (RISDP) as adopted by the heads of state of all SADC member countries in August 2003. “Implementation has been delayed for a number of technical reasons, including the need for legislative changes in member states. However, it is hoped that the scheme, which is not obligatory and will run in tandem with the legacy processes, will become fully operational during 2009,” Watts told FTW.