Magashula provides ‘strong evidence’ for customs automation

SA Revenue Service
Commissioner Oupa
Magashula has called for
a joint response by every
link in the supply chain
to improve border post
efficiency.
Speaking at the launch
last Tuesday of The World
Bank Time Release Study
on border posts in South
Africa, Mozambique and
Swaziland, he said it was
pointless for goods to
move rapidly through one
half of the border only to
be delayed in no man’s
land.
There is very strong
evidence on our own
continent for the power of
customs efficiencies, he
added.
Ghana saw customs
revenue grow by 49%
in the first 18 months
after implementing
its electronic data
interchange system for
customs procedures,
and in Uganda reforms
to improve customs
administration and reduce
corruption helped increase
customs revenue by 24%
between 2007 and 2008.
According to
Magashula, the latest
ranking in Ease of
Trading across borders
places Swaziland 148th
and SA 144th out of 183
economies.
There’s a lot that
Customs can do, he said,
to simplify procedures –
from minimising the level
of Customs intervention
in cargo movements
to enhancing risk
management techniques
to better identify suspect
imports and exports for
scrutiny.
“But we need to act
soon and convert our
manual, paper-based
processes to electronic,
automated risk-based
process.”
Pieter Kruger of
Arrowbulk Logistics
points out, however,
that results will only be
forthcoming once all
parties work together and
have the same clearing
and processing on both
sides. “Transport to
Mozambique is double the
rate to Durban because of
the Customs procedures
in that country and their
inability to do anything
quickly,” said Kruger.
“There is hardly anything
in South Africa that we
export there that they
manufacture or could
affect their economy, but
we spend days awaiting
payment of duties. It is
time South Africa made
the rules and did not allow
incompetence to rule in
all our road exports.”