Experiences of Customs Agencies in other Countries

2.5.1. Experience of Customs Agencies in the U.S

In the U.S, businesses usually hire Customs agencies to complete the Customs procedures for them. These Customs agencies normally finish the Customs procedures swiftly and effectively thanks to their knowledge and professionalism in Customs activities.

The Customs registration procedure of the U.S Customs services is done through the Automated Manifest System (AMS) which is the most modern Customs information system in the world. Using this system, the Customs departments can quickly process information on cargos and identify the low risk shipments, thus, reducing the time for Customs clearance. The system allows Customs authorities to facilitate information about origin, destinations, cargo details, required documents of the shipment and share them on a vast network of the Customs services. The U.S Customs Service also integrates the automatic application into the international trade network so that information can flow quickly.

To increase the satisfaction of registration applicants, the Customs Service considers employees training as its first priority to maintain a competent and professional workforce for the Customs service. The information technology is utilized to improve the service quality. Huge database is built to provide updated and precise information for every Customs agency and government office to quickly recognize and identify a shipment detail and decide the following procedures for that shipment. The database also helps custom agencies to assess the risk in a complete way to ensure the homeland security. The

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procedures are standardized and unified at high level to make Customs procedures run more effectively.

2.5.2. Experience of Customs Agencies in South Korea

With the aim to build a Customs service at the highest quality, the Customs Department of South Korea considers customer satisfaction as the highest quality of the Customs agencies.

In South Korea, 100% of imported goods are processed through the electronic Customs network, of which 80% of the cases do not need to submit documents in hard copies. To achieve that result, the Customs Department of South Korea has built the automatic clearance system to reduce the unnecessary steps in clearance process and the waste of time.

At the present, it only takes about 90 minutes for a cargo to get the clearance. Even with that short time, the application of information technology allow the Custom Department of South Korea have detailed information on the shipments coming in and out of the country.

The Customs Department of South Korea hire Samsung to build and run its Customs network. To keep the clearance procedure effective and efficient, the Customs Departments of South Korea divide businesses into different categories for better management. For example, businesses that are put in high ranking category normally get the Customs procedures done quickly while those in low ranking category will be a target for detail checkup.

To improve customer satisfaction, the Customs Department of South Korea has built the Customs Charter to display their commitment to the following statements:

- The business satisfaction to the Customs services is the first priority;

- The Customs Service of South Korea always strives to make the Customs service more friendly, convenient and effective;

- Time and assets of businesses are the priorities, thus, Customs officers are required to fulfill their tasks rapidly and precisely;

- The Customs Department ensures the transparency and convenience in the Customs service;

Business orientation is the aim of the Customs Service. The Customs Department always listen to the opinions of businesses to make the Customs service more effective and completed.

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2.5.3. Experience of Customs Agencies in Singapore

The Customs Service of Singapore is considered as the best Customs service in South East Asia with modern technology and convenient procedures. The Customs Service of Singapore has long used a nation-wide electronic trade network called Trade Net.

Applicants can provide their information such as shipment detail, tax, code, etc. on this network.

By using Trade Net, the documents of a shipment can be transferred at any time of the day. The time required for getting a clearance reduces from 2-7 days to only 10 minutes.

Owing to the Trade Net, both government and businesses can cut a huge cost in processing Customs documents. The application of information technology also helps Singaporean government manage the export-import activities much more effectively and conveniently.

2.5.4. Experience of Customs Agencies in Thailand

In the past, the Customs procedures of Thailand were quite similar to those of Vietnam. However, the Customs Service of Thailand has realized the importance of information technology in Customs management and increasingly utilize this tool.

Customs agencies of Thailand used to exchange information with each other through their electronic data network since 2000. In the recent years, the Customs Service of Thailand switches to a new automated Customs system call “e-Customs” to better manage Customs activities. The new automated system is deeply integrated into the network of government, banks, and businesses. It can facilitate and process information with higher security and faster response time. In the future, the system will be integrated into ASEAN Customs System to fulfill the ASEAN Customs Development Plan.

2.5.5. Lessons for the Customs Department of Vietnam

Through the experiences from the Customs Service of the U.S, South Korea, Singapore and Thailand, there are some good lessons for the Customs Department of Vietnam

First, the electronic Customs system is a must-have system nowadays if the Customs department wants to improve the effectiveness of Customs activities and customer satisfaction.

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Second, hiring a company with appropriate capability to establish Customs network, software and computer network may be a good solution to help the Customs department to apply information technology into its activity.

Third, integrating the clearance system with the network of the relevant management agencies, bank and businesses to reduce time of registration and improve management ability. The Customs procedures should be standardized based on the international standard.

Fourth, the opinion and attitude of frontline employees are important to improve the management.

Fifth, the Customs department should deliver information through different channel to make businesses understand the benefit of electronic Customs systems.

Sixth, gradually adapting the old database into the new one. Building a unified database system for the Customs service.

Seventh, displaying a strong commitment in serving customers, especially businesses.

Eighth, improving the checking activities after clearance.

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