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DTIS, Volume I - Enhanced Integrated Framework (EIF)

DTIS, Volume I - Enhanced Integrated Framework (EIF)

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Physical transaction based controls impede the movement of goods at both import and<br />

export. Valuation procedures used for imported goods are inefficient and do not comply<br />

with internationally accepted practices (WTO GATT Agreement) to which the Maldives<br />

is committed. This is aggravated further by the actions of poorly trained customs agents<br />

(brokers) and which affect the timely clearance and movement goods. MCS has<br />

implemented the ASYCYUDA++ entry processing system at Male’ Port, Airport and at<br />

some regional offices, but its full functionality as noted above is not utilized. In fact,<br />

managers make very little use of information systems. The manually based systems that<br />

are applied instead provide opportunities for corrupt practices to take place.<br />

As a result there is duplication of input (form programme and transfer to ASYCUDA++),<br />

with subsequent software errors identified and reported. Secondly, there is only limited<br />

support from the management, which results from inadequate training. It will be<br />

necessary to acquire TA from UNCTAD and implement other relevant ASYCUDA<br />

modules. It is the ambition to introduce the ASYCUDA World version in the near future.<br />

However, this requires management direction to facilitate the implementation process. In<br />

the first instance, TA should be acquired to plan for the implementation of the new upgraded<br />

ASYCUDA version including the identification of a procurement management<br />

strategy.<br />

The main challenges facing MCS in trade facilitation include<br />

• Improving management<br />

• Integrating border institutions (Port Authority, Health, Agriculture, Aviation<br />

Authority, Coast Guard)<br />

• Improving risk management<br />

• Streamlining customs clearance processes<br />

• Addressing Customs infrastructure and training needs<br />

• Improving IT platform and utilization<br />

• Developing stronger and more collaborative public–private sector relationships.<br />

Perhaps the most pressing concern is the perceived corruption, a resurging problem that<br />

can seriously undermine progress made to date and inhibit future progress.<br />

Development and implementation of a comprehensive and sustainable anti-corruption<br />

enhancement programme based on the Revised Arusha Declaration endorsed by WCO<br />

Council in June 2003 should be carried out. However, the technology that is currently<br />

used needs up grading to suit the above needs. Information technology capacity building<br />

requires investment in risk management analysis tools such as the MODSEL module and<br />

Direct Trader Input MODBRK module, which allows traders to lodge a declaration from<br />

their place of work and obtain information on the status of processing their declarations.<br />

Manifests (air/sea) should be computerized by using the MODCAR module. Maldives<br />

Port Authority and airport management may use the module and send their manifests<br />

electronically to customs. Warehouse activities should be computerized by using<br />

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