Aimed at implementing trade facilitation programmes and investing in hard and soft infrastructure to promote cross-border trade, the Customs Department has embarked on a Time Release Study (TRS) to identify bottlenecks in cargo clearance in the State.
According to officials, the results of the study, initiated at all sea ports and airports in the State and involving all organisations that have a direct influence on the process, are slated to be released in two weeks. The initiative takes a cue from the recent improvement in the country’s ranking on World Bank’s Ease of Doing Business index, wherein the country vaulted to 80 from 146 in the parameter of ‘trading across borders.’
Delays
“Both the Customs Preventive and the Customs House, Cochin, will be carrying out the survey sector wise to identify the issues involved and to decide on what exactly needs to be done to address the delays. The objective is to build up a repository of actual data and institutional expertise in cutting down on the time-cost involved and improving the competitiveness,” said Sumit Kumar, Commissioner.
A sector-wise analysis, in his opinion, is necessary considering the prominence of different sectors depending on the location.
Various stakeholders
Besides the Customs, the study covers the activities of a broader group of stakeholders from the public and private sectors such as the Directorate General of Foreign Trade, steamer agents, custom brokers, and others involved in the clearance process of goods.
For instance, around 16% of the import cargo in Kerala is being subjected to first check procedures, which stipulate intrusive examination of consignments, which is adding considerably to the cost factor. The department plans to bring down this figure to single digit by next fiscal. As part of it, the department has also kick-started consultations with various trade bodies starting with the dhow manufacturers at Beypore. It has now covered areas up to the Inland Container Depot, Kottayam, and is slated to meet the traders at the Kollam port in November. “During these meetings, the complaints raised against agencies other than the Customs are being recorded and probed,” Mr. Kumar added.
