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APTFF Capacity Building Workshop on Implementing Trade Facilitation Measures: Perishable Goods & Single Window 26 September 2014, BITEC Bangkok, Thailand

26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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Page 1: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

APTFF Capacity Building Workshop on Implementing Trade Facilitation Measures:

Perishable Goods & Single Window

26 September 2014, BITEC

Bangkok, Thailand

Page 2: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Japan’s Effort on Trade Facilitation concerning Perishable Products

Tokio YAMAOKA

Page 3: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

1

Trade Facilitation vs. Prevention of Illicit drugs, Guns, Control on OGA compliance, etc.

Trade Facilitation vs. Human Health

Contradictory Demands

Page 4: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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I. Brief Introduction of NACCS1. Features of NACCS 2. Global initiative

II. TFA provision on Perishable Products1. Implementation of the provision2. Immediate Release upon Arrival

III. Further Trade Facilitation Measures 1. Development of Single Window in Japan2. Procedures on Foods at Ministry of Health,

Labour and Welfare3. Paperless Certification

IV. Further Challenges for Developing Countries

Main topics

Page 5: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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I. Brief Introduction of NACCS 1.Features of NACCS

Page 6: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

MOF(Customs),MAFF,MHLW, MLIT, MOJ,

METI,etc.

NACCS

Air-cargo Sea-cargoAirline

companiesAir cargoagents

Flight caterers& suppliers

Consolidators

Warehouseoperators

Customhousebrokers

Importers/Exporters

Banks

Shippingcompanies

Shippingagents

NVOCC

Shippingbrokers

Container yardoperators

Warehouseoperators

Importers/ExportersBanks

Customhousebrokers

Declaration/Reporting

Submitting arrival/departture report,Manifest and Passenger List

Submitting arrival/departture report,Manifest and Passenger List

CI

CI and Notice of permission

Import/Export Declaration And Notice of permission

Information related business

Settlement

CI and Notice of permission

CI and Notice of permission

Import/Export Declaration And Notice of permission

Information related business

Settlement

4

CI

CI

CI

*CI(Cargo Information)

I.1 Features of NACCS

Page 7: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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I.1. Features of NACCS

-The core system in Japanese import/exportproviding comprehensive logistics information platform to the public and private operations

- Indispensable infrastructure for Japanese economy providing standardized and unified procedures

Page 8: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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ØReliable Service:-24h-365days -Operating ratio of more than 99.99% -Duplex Server System-Backup Center for Natural Disaster-Customer Service: 24h 365 days Help Desk

ØExcellent Services:-Fast Response: Less than one second-Cargo Tracking -Utilization of input data from other users-Automatic calculation of exchange rates and duties-Real Time Tax Payment System from Bank Account- Immediate release upon arrival-Single Window System

I. 1 Features of NACCS

-Stable Operation

-Expedited and Efficient Service

Page 9: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Ø Facilitation of flow of goods in Viet Nam - With high stability and quick response

Ø Promotion of Paperless Clearance- Adoption of electronic signature

From 1 April 2014, VNACCS (Viet Nam

Automated Cargo and Port Consolidated System)

was launched together with VCIS (Viet Nam

Customs Information System) assisted by Japan Customs and JCIA (Japan International

Cooperation Agency).

*March 2012: Conclusion of E/N (Exchange of Note)

between Japan and Viet Nam Government: Conclusion of G/A (Grant Agreement)

between JICA and Viet Nam Government GDVC:General Department of Viet Nam Customs

I.2 Global Initiative - VNACCS -

Page 10: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Ø Introduction of declaration preparation assistancefunction-Auto calculation of Customs duties by inputting HS

number etc.-Auto calculation of Customs value

ØFacilitation of duty payment method- Auto debit function from banks

ØRealization of Single Window- Provide function of connecting

with other government agencies

I.2 Global Initiative - VNACCS -

April 2014: Conclusion of E/N betweenJapan and Viet Nam Government: Conclusion of G/A between JICA and Viet Nam Government

MACCS

Page 11: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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TFA Provision Measures by Japan Customs*

1 7.9.1.a Release within the shortest possible time

Priority is given to Customs clearance of perishable products in

documentary and physical examination.

2 7.9.1.b Provide for the release outside the business

hours

(In general) Customs clearance is available outside the business

hours.

3 7.9.2 Priority in scheduling any examination

Priority is given to the examination of live animals and perishable

goods

*not official

II. TFA provision on Perishable Products1. Implementation of the provision

Page 12: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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TFA Provision Measures by Japan Customs*

3 7.9.2 Priority in scheduling any examination

Priority is given to the examination of live animals and perishable

goods

4 7.9.3 -Arrangement of proper storage pending their

release-Release at storage facilities

-During Customs clearance procedure, foreign goods should be stored in bonded (Hozei) area. However, upon approval, goods could be stored in other than

bonded area.-It is possible to lodge import

declaration and get permission for release.

5 7.9.4 Communication on the reasons for the delay in the

release

Oral communication is done.

*not officialII. 1. Implementation of the provision

Page 13: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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II. 2. Immediate Release upon Arrival (Air Cargo)

Page 14: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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III. Further Trade Facilitation Measures 1. Development of the SW in Japan

Political impetus, political leadershipØCabinet decision to enhance paperless environment regarding import/export and port procedures (July 2001)ØInternational logistics Reform Plan (Shiokawa Initiative) presented by Finance Minister to Cabinet members (August 2001)

[Problems]ØNecessary to submit similar but different documents for various government agenciesØUsers had to manage multiple IDs, PWs

Coordination mechanism across agenciesØLiaison Council for Import/export and Port Procedures-related Ministries and Agencies (September 2001 – July 2003)

Page 15: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

ShippingCompany

PORT EDI

PORT EDI(PORT PROCEDURES MLIT)(QUARANTINE MHLW)

CREW LANDINGSUPPORT SYSTEM(IMMIGRATION MOJ)

ShippingCompanyImporterExporter

IMPORT/EXPORT

POCEDURES

Sea-NACCS〈MOF・CUSTOMS〉

FOOD QUARANTINE(FAINS)〈MHLW〉

ANIMAL QUARANTINE(ANIPAS)〈MAFF〉

PLANT QUARANTINE(PQ-NETWORK)〈MAFF〉

TRADE CONTROL(JETRAS)〈METI〉

Air-NACCS〈MOF・CUSTOMS〉

AirlineCompany QUARANTINE

IMMIGRATION

AIR PLANES’ARRIVAL/DEPARTURE

NOTIFICATIONPROCEDURES

PORT PROCEDURES

PORT PROCEDURES

MANUAL

MANUAL

III 1. Development of the SW in Japan [Jul. 2003 to Oct.2008]

Page 16: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Air-NACCS〈MOF・CUSTOMS〉

AirlineCompany QUARANTINE

IMMIGRATION

AIR PLANES’ARRIVAL/DEPARTURE

NOTIFICATIONPROCEDURES

MANUAL

MANUAL

Sea-NACCS(CUSTOMS PROCEDURES MOF)(PORT PROCEDURES MLIT)(QUARANTINE MHLW)(IMMIGRATION MOJ)

TRADE CONTROL(JETRAS)〈METI〉

ShippingCompanyImporterExporter

FOOD QUARANTINE(FAINS)〈MHLW〉

Common Portal(NACCS)

IMPORT/EXPORTPROCEDURES

PORT PROCEDURES

ANIMAL QUARANTINE(ANIPAS)〈MAFF〉

PLANT QUARANTINE(PQ-NETWORK)〈MAFF〉

III 1. Development of the SW in Japan [Oct.2008 to Feb.2010]

Page 17: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Common Portal(NACCS)

IMPORT/EXPORTPROCEDURES

PORT PROCEDURES

ALL USERS

NACCS(CUSTOMS PROCEDURES MOF)(PORT PROCEDURES MLIT)(QUARANTINE MHLW)(IMMIGRATION MOJ)(TRADE CONTROL METI)

FOOD QUARANTINE(FAINS)〈MHLW〉

ANIMAL QUARANTINE(ANIPAS)〈MAFF〉

PLANT QUARANTINE(PQ-NETWORK)〈MAFF〉

III 1. Development of the SW in Japan [Feb.2010 to Oct.2013]

Page 18: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

〈MOJ〉 MINISTRY OF JUSTICE〈MOF〉 MINISTRY OF FINANCE〈MHLW〉MINISTRY OF HEALTH,LABOUR AND WELFARE 〈MAFF〉 MINISTRY OF AGRICULTURE,FORESTRY AND FISHERIES 〈METI〉 MINISTRY OF ECONOMY,TRADE AND INDUSTRY 〈MLIT〉 MINISTRY OF LAND,INFRASTRUCTURE, TRANSPORT AND

TOURISM

ALL USERS

NACCS(CUSTOMS PROCEDURES MOF)(PORT PROCEDURES MLIT)(QUARANTINE MHLW)(IMMIGRATION MOJ)(TRADE CONTROL METI)

FOOD QUARANTINE(FAINS)〈MHLW〉

ANIMAL QUARANTINE(ANIPAS)〈MAFF〉

PLANT QUARANTINE(PQ-NETWORK)〈MAFF〉

In Oct.2013,ALL OGA system

had been integrated in NACCS

III 1. Development of the SW in Japan [Oct.2013 - ]

Page 19: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Year 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Customs

Procedures

(Sea-NACCS)

Vessel Clearance

(Port EDI)

Landing Permission(Crew Landing Permission

Support System)

Customs

Procedures

(Air-NACCS)

Trade Control

(JETRAS)

Animal Quarantine

(ANIPAS)

Plant Quarantine

(PQ-NETWORK)

Food Quarantine

(FAINS)

Common Portal

Upgraded

Sea-NACCS(since Oct.

2008)

Former Sea-NACCS(until Oct.2008)

5th generation NACCS

(since Feb.2010)

Former Port EDI(until Oct.2008)

Former System(until Oct.2008)

Former Air-NACCS(until Feb.2010)

Former JETRAS(until Feb.2010)

Former ANIPAS(until Oct.2008)

Former

PQ-NETWORK(until Oct.2008)

Former FAINS(until Feb.2010)

ANIPAS(since Oct.2008)

PQ-NETWORK(since Oct.2008)

FAINS(since Feb.2010)

Common Portal(since Oct.2008)

6th genera-

tion NACCS

(since Oct.2017)

III. 1 Development of SW at a Glance

Page 20: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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Increasing numbers of notifications on food procedures

III. 2. Procedures on Foods at Ministry of Health, Labour and Welfare

0

5

1 0

1 5

2 0

2 5

3 0

3 5

4 0

4 5

5 0

5 5

6 0

6 5

0

1 0

2 0

3 0

4 0

5 0

6 0

7 0

8 0

9 0

1 0 0

1 1 0

1 2 0

1 3 0

1 4 0

1 5 0

1 6 0

1 7 0

1 8 0

1 9 0

2 0 0

2 1 0

2 2 0

5 0 5 2 5 4 5 6 5 8 6 0 6 2 元 3 5 7 9 11 13 15 17 19 21 23

Volume

mill

Numbers

19751975 20122012

NumberNumber of notificationof notification

Import VolumeImport Volume

2002200219921992

Page 21: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Contents of the NotificationContents of the Notification

ØØName, Address of importerName, Address of importer

ØØName of the food, quantity, weight, packageName of the food, quantity, weight, package

ØØName of AddictivesName of Addictives

ØØLaw materials for prepared foods, process,Law materials for prepared foods, process, etc.etc.

19

Obligation of importers to submit “Import Notification” to the Ministry (Article 27 of the Food Sanitation Law )

III. 2. Procedures on Foods at Ministry of Health, Labour and Welfare

*Meet products: Obligation of importers to submit a certification by exporting government to prove no diseases designated by MHLW. (Article 9 )

Page 22: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Possib

le d

anger

Possib

le d

anger

HighHigh

LowLow

Insp

ectio

n ra

teIn

spectio

n ra

te

Import BanImport Ban

Inspection Order Inspection Order

Monitoring Inspection

Inspection Instruction

20

III. 2 Various Inspections on Foods at Import

Import first, Inspect later

Page 23: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

FAINS: Food Automated Import Notification and Inspection Network System

Ø MHLW introduced FAINS in 1996. Ø The system allow electronic submission of “food

notification” introducing automatic selectivity system Ø Utilized more than 90%.

With FAINS, Ø Send “food notification” electronicallyØ Food Quarantine Office carries out examinationØ Officer can register the results of the inspectionØ Inspection Management Center register the results of the

trusted inspection

III. 2 Trade Facilitation by Utilization of IT

Page 24: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

・FAINS Function・APS Function

JapanAustralia

Certificate

AQIS (EXDOC)

NACCS

Customs broker Quarantine staff

Paperless “Quarantine Certificate“ issued by Australian Government to Japanese Government through NACCS

Paperless “Quarantine Certificate“ issued by Australian Government to Japanese Government through NACCS

Internet

III.3 Paperless Certification -eCert Collaboration

③ Import Notification④ Import Notification② Cargo arrival

③ Pre-Examination

① Submission the informationof Quarantine certificates

Page 25: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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Institutional Challenges

ØPublication of laws, regulations, etc. (Article 1)

ØAdvance Rulings on classification and rules of origin

(Article 3)

ØPre-arrival Processing (Article 7)

Utilization of IT and further facilitation

ØTime Release Study (Article 7.6)

ØAuthorized Operators (Article 6.7)

ØSingle Window (Article 10.4)

IV. Further Challenges for Developing Countries

Page 26: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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Thank you for your kind attention!

Tokio YAMAOKA

For details, see http://www.naccs.jp/e/index.html

Page 27: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

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- Established in May 1977 as an authorized corporation to administer Air-NACCS

- Transformed into an incorporated administrative agency in Oct. 2003

- Privatized by the new NACCS act* in October 2008 for improved corporate management and provisions of better services to users by enlarging its business scope

-Stockholder: 100% owned by Japan Government-Supervisory Ministries: Minister of Finance (Main) with other relevant Ministers (Justice, Transport, Agriculture, Health and Trade)

*Law for partial revision of the Act on Processing etc. of Business Related to Import and Export by Means of Electronic Data Processing System

Supplementary information – Establishment of NACCS Center

Page 28: 26 September 2014, BITEC Bangkok, Thailand · 26 September 2014, BITEC Bangkok, Thailand. Japan’s Effort on Trade Facilitation ... 〈MOJ〉 MINISTRY OF JUSTICE ... - Established

Outside Japan In Japan

Carrier, Shipping Agent and NVOCC in JAPAN

Carrier, NVOCC

Carrier, NVOCC

NACCS

Service Provider (SP)Service Provider (SP)

CustomJapan

s

EDI

EDI

Web

EDI

Web application provided by SP

2. Connection via Service Provider(SP)

1. Gateway connection using filers’ own systems

Web Entry

Same corporation

Based on Customs Law, from this March 2014, a vessel operator or a non vessel operating common carrier (NVOCC) have to electronically submit information on maritime container cargoes to be loaded on a vessel intended to entry into a port in Japan, to Japan Customs (in principle) no later than 24 hours before departure of the vessel from a port of loading.