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Progress of the Kenya Electronic
Single Window System Project
Presentation to: NAIROBI COUNTY STAKEHOLDERSSENSITIZATION WORKSHOP
Venue: Ole-Sereni Hotel, Nairobi
Date: Thursday, July 25, 2013
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Presentation Outline
i. Background
ii. KENTRADE
iii. Project Objective
iv. System Implementation
v. Key Milestones
vi. Benefits
vii. Project progressviii. Road Map
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Problem StatementTrade procedures in Kenya have been inefficient, lengthy and slow resultingin high cost of trade transactions/doing business. The main reasons are asfollows:
Many stakeholders are involved in the cargo clearance process.
Stakeholders exchange many documents among themselves.
Stakeholder ends up sending the same document to each other manytimes.
Exchanges are in hard copy form and in most cases, processing of information is carried out manually.
Results;
Delays in cargo clearance,
Perennial congestion at the port, Underutilization of port facilities Long truck queues at the border posts
Corruption
Loss of competitiveness for the country.
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Inefficient processes addressed by theKenya Electronic Single Window System
Chamber of Commerce
Warehouse
Carriers
KRA
KTB KPA PPB
Other relatedgovernment agencies
Importer/Buyer
Exporter/Seller
Freight Forwarder/Shipping
InsuranceCompany
Inspection Agents
KEBS Many government regulatory agencies
Numerous lodgments
Many Duplicated data elements
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Cargo Dwell Time
GovernmentEnterprises
Present Single Window Objective
8 days maximum - 3 days
5 days
2 days
maximum - 1 day
maximum - 1 hr.
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Results of Inefficiencies
Tons of trade documents
Congestion at Borders & Port
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Problems of paper based tradeGovernment
Complex regulation Lack of transparency Difficult monitoring
Loss of Revenue(Corruption)
DecreaseNational Competitiveness
DecreaseNational Competitiveness
High transaction cost Long lead time
Incorrect processing
Enterprises
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Doing Business RankingDrop in Kenyas ranking Doing Business Index:
Doing Business 2013
RankDoing Business 2012 Rank Change in Rank
121 117 -4
The
linkedimagecannotbedispl
Trading Across BordersDB 2013 Rank DB 2012 Rank
Change in Rank
148 142 -6
Source:http://www.doingbusiness.org/data/exploreeconomies/kenya/#
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The Solution -Single Window System UN CEFACT RECOMMENDATION 33;
A facility that allows parties involved in trade and transport to lodge standardized
information and documents with a single entry point to fulfill all import, export,and transit-related regulatory requirements.
Trader or Agent submits all
information required for
clearance once to theSingle Window System
Responses from various
Authorities and Financial
Institutions are returned to
Trader or Agent
Kenya Revenue
Authority
Kenya Ports
Authority
Other Control
Agencies
Banks
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Single Window System models options
Kenya Sugar
Board
PCPB
Trader
Option 1: Integrated
Internet
Licensing
KNSWS
SingleAutomatedSystem
HCDA
Chamber of
CommerceIndividual data elements are submittedonce to a single entry point (integratedautomated system) to fulfill all import,
export and transit-related regulatoryrequirements
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Benefits- Savings to the EconomyBased on the volume of goods imported/exported:-
First 3 years US$ 150m and US$ 250m per annum Thereafter - US$ 300m to US$ 450m per annum
Arising from improved services e.g.
Reduced trade transaction costs Reduced delays
Reduced Inefficiencies
Reduced corruption
Reduced manual documents/paperwork
Reduced cost of capital ( JIT Concept)
Reduced demurrage
Improved space utilization at ports/Airports-Increasedcapacity utilization
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Benefits Cont
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Benefits Cont Lodgment of documents from anywhere
any time
Greater efficiency, accountability andreduced cost of doing business
Integration/Interface with the RegionalElectronic Single Window System
Greater coordination of GovernmentAgencies-KENTRADE
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Project Objective Establish an electronic platform to integrate
stakeholder systems in cargo clearance process
Facilitate International trade in Kenya byreducing delays and lowering costs associated
with clearance of goods at the Kenyan borders,while maintaining the requisite controls andcollection of levies, fees, duties and taxes,
where applicable, on imports or exports.
SWS is an Enabler project under the EconomicPillar of Vision 2030
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System Implementation Cabinet approved a G2G agreement for the Consultancy,
Acquisition, and Implementation of the National Electronic
Single Window System from Singapore CooperationEnterprise (SCE) May 2012
KENTRADE as the implementing agency entered into a
contract with SCE for the Supply and Implementation of theSystem which includes a 3 year maintenance period afteroperationalization - September 2012
Kick off meeting between KENTRADE and the vendor for theImplementation of the Single Window System was held onthe - October 2012
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Work PlanMilestone Date
Signing of the Implementation contract with
vendor
Completed
Kick off Meeting with vendor and stakeholders Completed
Business Process Re-engineering of stakeholder
processes
Completed
System Design Completed
Software Development July 2013
Training of Trainers July 2013
User Acceptance Tests Aug 2013
Training of Stakeholders Sept/Oct 2013
System Pilot Oct 2013
System roll out 31st Oct 2013
Sensitization of Stakeholders Continuous
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ROAD MAPSystem Implementation Kick off - October 2012
System Go-live - 31st October 2013
Manifest Module -Sea & Air
Declaration Module-Sea & Air
License & Permit Module-Tea Board, HCDA and
Pharmacy & Poisons Board
E-Payment Facility
Integration with SIMBA
Integration with KWATOS
Integration with KEBS
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ROAD MAP
Integration with Weighbridges
Integration with OGAs
Dynamic Risk Management
Road Manifest Module
Road Declaration Module for Land
Integration with the National Electronic
Payment System (NPS) Gateway
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Presentation on Proto-types
OGA Portal To be used for lodgementof applications for permits and licences
Tradenet Portal To be used forlodgement of Declarations and Manifests
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Thank youFacebook: www.facebook.co/kentradeG2B
KENTRADE TV: www.youtube/kentradeG2B
Twitter: @kentrade_G2B
Website: www.kentrade.go.ke