Ongoing customs clearance code headache at Cape Town’s MPT

An ongoing problem around a customs clearance code for breakbulk and bulk cargo at the Multi Purpose Terminal (MPT) in Cape Town to ensure electronic releases of shipments continues to cause headaches. The Port Liaison Forum (PLF) that has undertaken to try and find a solution to the problem is set to meet with customs officials in the coming days to address the matter, which often results in delays in the clearance of cargo. According to one importer a terminal code of G8 was attributed for breakbulk and bulk cargo at MPT, but when used on the customs declaration, the code is rejected. The customs declaration can only be processed with customs by declaring XW in respect of breakbulk cargo, which then requires a printed release of the shipment from customs instead of a paperless release to satisfy the MPT to release the shipment. The problem is further compounded by the fact that customs in Cape Town now also do not automatically print hard copy releases. Since the introduction of a new integrated customs system, called Interfront, on 16 August 2013 agents have to prove to customs that an entry was released via their service provider before customs will print the hard copy release. The result is that the entire process to release cargo takes even longer. Importers and clearing agents maintain that it is an issue between SARS and Transnet, but customs on their part believe the problem must be solved through companies’ EDI service providers through which declarations are submitted electronically to customs. In the light of expected increases in volumes of breakbulk cargo coming into Cape Town for the oil and gas industry a solution has to be found sooner rather than later, the PLF heard. PLF chairman, Mike Walwyn, said all attempts would be made to meet with customs to find a solution that would ultimately allow for the avoidance of red tape while at the same time expediting the release and ultimately the delivery of breakbulk and bulk cargo.