Page 7 - Logistics News June 2018

Opinion

E-commerce at the

heart of trade facilitation

By Juanita Maree

The slogan ‘A secure business environment for economic development’ proposed
for 2018 by the Secretary General of the World Customs Organisation (WCO),
Dr Kunio Mikuriya, aims at creating an environment for business to participate in
cross-border trade.

THE FACT that the facilitation of cross-border Revenue Service (SARS), is moving to address
trade throughout Africa is at the heart of the trade facilitation with the implementation of
vision for a united continent and a platform for new Customs Acts, which requires interactions
increasing interaction with the international within the e-commerce space to be facilitated
business community highlights the need for raising electronically from reporting to applications.
the levels of e-commerce across the board. The The application of e-commerce, particularly
emerging Fourth Industrial Revolution – automation in the customs environment, is having a positive
and data exchange in manufacturing technologies impact. In certain areas, it has reduced the
– taking place around the globe is improving the turnaround time frames and errors incurred
entire value chain through the digitalisation of all compared to the manual process relying totally on
processes and the integration and improvement of the ‘human’ factor. It has also led to greater security
the interdependent processes. and a reduction in costs for businesses.
The impact of this is nowhere more apparent However, a number of stumbling blocks are
than in the customs arena with its cross-border limiting the eff ectiveness of the SARS initiative.
transactions. In South Africa, as an example, At the head of this list is that the new reporting
logistics costs are close to 12 percent as a requirements for the conveyance of goods covers a
percentage of GDP (294,8 billion USD – 2016). number of players who have not been required to
The government and its agency, South African report in the past. Aggravating the circumstances,

14 June 2018 | Logistics News