Ghana: Single Window System Reduces Cost of Doing Business

Officials of Customs, West Blue Consulting and the IMF delegation
Officials of Customs, West Blue Consulting and the IMF delegation

After few months of the implementation of the first phase of the Ghana National Single Window System, officials of the Customs Division of the Ghana Revenue Authority (GRA) say the trade facilitation system has reduced the cost of doing business at the Tema Port.

According to the customs officials, since the introduction of the system’s Pre-Arrival Assessment Reporting System (PAARS) last year, traders are able to access Customs Classification and Valuation Report (CCVR) within 48 hours.

In some cases, within an hour that is substantial improvement from the previous situation whereby it used to take traders more than a week or two weeks just to get their CCVR, the Chief Revenue Officer of Customs Division of GRA, Julius Kantum told journalists after conducting the visiting International Monetary Fund (IMF) delegation around the Customs Technical Services Bureau in Accra.

The delegation, led by the Chief of Mission, Joel Toujas Bernate, met with the team of Customs Officers and their technical partners, West Blue Consulting.

The visit, which formed part of the IMF’s annual visit to Ghana, was aimed at reviewing the latest developments in trade facilitation.

The GRA took over the processing of the Customs Classification and Valuation Report (CCRV) from the destination companies in September last year. The CCRV replaced the destination inspection report also known as the Final Classification and Valuation Report (FCVR).

Briefing the IMF delegation earlier, Mr Kantum added that the Single Window project is not an event but a process which supposed to be lasted up to five years.

“So, we are talking about five year period but we are envisaging that within the next five years we should be able to get a reduction of cost by 50%. And when we get a reduction of cost by 50%, we are expecting that revenue will also go up because when cost is reduced traders can increase and expand capacity and bring in more goods and that will mean more revenue to the government”.

On how the Single Window System is helping customs to achieve their targets, Mr Kantum explained: “Our target has been a very big one. It is over GHC14 billion. So, it is something that is really substantial”.

The IMF also gives us target. It is achievable. Last year, we achieved our target. The targets that were given were realistic and then not only realistic but there were forward-looking that was why we were able to achieve them, he told the IMF delegation.

Mr Kantum was quick to add: “As a result of the new measures that we are putting in place, we are able to mobilise and increase revenue for the country”.

Besides, he noted that the Single Window is beneficial for a number of reasons:  It is faster; it is electronic. It created a paperless environment; and it is a well-structured work environment.

“The customs officials are pleased with the environment that there are working in and so they are doing their best and it impacts positively on revenue performance and that is key”, according to Mr Kantum.

“At the same time it impacts positively on the trader. The trader now spends less time with customs. He or she can sit at the comfort of his or her house or office and electronically process his or her documentation and obtain his or her CCVR and then go to the port to clear his or her goods.

So, it is a win-win situation. The traders are winning and customs are winning and the Government of Ghana is also winning”.

Presenting an overview of the Ghana National Single Window System, Aminu Uthman Oluwatoni,  Manager Project Delivery at the West Blue Consulting, the Customs Technical Partner said one of the expected benefits of the system is boost economic growth of the country.

He added that the Single Window System is also expected to enhance institutional and nation building,  improved and effective collection of government revenues, simpler, faster processes for clearance and release,  reduced costs of compliance,  reduced corruption, reduction in bureaucratic processes, among others.

By Masahudu Ankiilu Kunateh, African Eye Report

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