TRADE FACILITATION

Standard dan Implementasi

Agustus
2022
Trade Facilitation
a specific set of measures that streamline and simplify the technical
and legal procedures for products entering or leaving a country to
be traded internationally

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Why
• cargo can take up to 30 days to be cleared
• average customs transaction involves 20-30 parties, 40 documents,
200 data elements (30 of which are repeated at least 30 times) and
the re-keying of 60-70 per cent of all data at least once
• estimates that up to 7 per cent of the US$ 12,000 billion value of
international trade each year is swallowed up by the cost of
documentation

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Goal
• allow governments to apply and conduct border controls more efficiently
• allow traders to move their goods across borders more quickly and easily
• reduce transaction costs and hence reduce prices for consumers and
producers
• reduce transit costs in landlocked countries
• reduce bureaucracy and corruption
• facilitate trade for small and medium-sized businesses burdened with
excessive bureaucracy and red tape
• add to members' GDP by making trade less costly.

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What does it involve
Transparency within government promotes openness and
accountability of a government's and administration's actions. It
entails disclosure of information in a way that the public can
readily access and use it. This information may include laws,
regulations and administrative decisions of general application,
budgets, procurement decisions and meetings. Regulatory
information should be published and disseminated, when
possible, prior to enforcement to allow parties concerned to take
note of it and make necessary changes. Furthermore, relevant
stakeholders and the general public should be invited to
participate in the legislative process, by providing their views and
perspectives on proposed laws prior to enactment.
Simplification is the process of eliminating all unnecessary
elements and duplications in trade formalities, processes and
procedures. It should be based on an analysis of the current, “As-
Is”, situation.
Harmonization is the alignment of national procedures,
operations and documents with international conventions,
standards and practices. It can come from adopting and
implementing the same standards as partner countries, either as
part of a regional integration process or as a result of business
decisions.
Standardization is the process of developing formats for practices
and procedures, documents and information internationally
agreed by various parties. Standards are then used to align and,
eventually, harmonize practices and methods.

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Waypoint 1
Parties Waypoint 2
• Buyer Parties Waypoint 3
• Seller • Carrier Routing Waypoint 4
• Loading Party • Planned Delivery • Port Call(s) Parties
• Ship To • Port of Entry to EU / UK • Actual Delivery Date
Goods • Estimated Arrival Date
Goods • Country of Export • Arrival Location Goods
• No Packages • Country of Destination • No Packages
• Country of Origin • Declared Amounts (if
• HS Code References different)
• Value of Goods • Mm y6aster Bill Number
• Description of Goods

Container Details
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• Container and Seal No
Supply Chain
Perspective
Buy Ship Pay Model presents the supply
chain as a sequence of business processes
that can be grouped into the high-level
domains of Buy, Ship and Pay.
For each domain, the model presents key
activities, such as the activity “insure cargo”
for the step “prepare for export” of the Ship
domain. The model can be used in various
ways, for example to gain understanding of
the processes and actors involved, to help
define the scope of a specific project, and to
identify the impact of given trade facilitation
initiatives and instruments.

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Trade Facilitation Instruments

Conventions (11 Conventions)

Recommendations & Standards (12 + 42)

Guidelines & Guides (26 Specific + 16 General)

Compilations, case studies, and best practices

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Trade Facilitation Implementation

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Indonesia Trade Facilitation Implementation
• Indonesia implement Indonesia National Single Window from 2007
• Along that time Indonesia has manage to:
• Rise sharply in the ranks of the World Bank's latest Logistics Performance
Index (LPI). In the 2018 edition, which was released on 24/07/2018, Indonesia
ranked 46th, up from 63rd in the preceding edition (released in 2016).
• Lower dwelling time from more than 5 days (2017) to maksimum 3 days in
2022 and targeted to be 1 day in 2024

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All UNECE and UN/CEFACT Recommendations, codes, standards and
publications are available for free at:
www.unece.org/cefact/and https://tfig.unece.org

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