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UNNExT workshop on Paperless trade facilitation for

Small and Medium-sized Enterprises

2-4 February 2015

United Nations Conference Center (UNCC)

Bangkok, Thailand

Single Window Development and

Implementation

Experience of Singapore

Agenda

� Experience of Singapore: The Single Window Implementation

� The Next Big Thing: Integrated Single Window e-Logistics

� Single Window Inter-operability

Infocomm21

Late 90s

Fifth Wave

Connected

Singapore

2003 -

Fourth Wave

Background

Making Waves Since the 1980s ( Singapore Roadmap )

Third Wave

IT2000

Early 90sSecond

WaveNational ITPlan

Mid 80s

TradeNet

•Conceptualized in 1986 as

part of National IT Plan

• Implemented in 1st Jan 1989

by Singapore Customs

First Wave

National

Computerisation

Plan

Early 80s

Traders

Singapore Customs

Checkpoints

(ICA - Immigration Checkpoint Authority)

EDI VAN

Operator

Controlling Agencies

Trade &

manifest info

Permit

Applications

Cargo

Clearance

Permits Cargo

Clearance

Background

TradeNet Process

The Path of TradeNet

Version 1.0 - 1.5

Version 1.6 - 1.7

Version 1.8 - 2.0

Version 3.1

• Implemented Electronic Submission

• Declarations were batched up

• Turnaround time in few days

• Improved validations & features

• Incorporated GST requirements

• Turnaround from hours to ~30 minutes.

• Interactive TradeNet

• Integrate Internal Systems

• Business intelligence/risks profiling

•Approval within 2 - 5 minutes

• Major business process streamlining

• Incorporated Export Control

Consignment System (ECCS)

• New HS Code (Asean Harmonized

Tarrif Nomenclature)

Background

1988 -

1990

1991 -

1994

1995-

2000

2003

2007 Ver 4.0

� Formation of TradeNet Working Committee Chaired by NCB

(currently NCS) and Customs

� Business Process Study

� Trade documentation business processes

� Review all Manual processes involved

� Standards Definition

� Study and Review Goods Classification

� Legal Policy Support

� Introduction of Electronic Transaction Act

� Evaluate Technology

Design and Development Process

� Systems Design

� Consolidate Data Element to form TradeNet specifications.

� Operations Plan

� SOP & Contingency

� Measure Performance

� Evolve, Improve and Enhance

� Payment of Duty and GST via Electronic means ( GIRO )

Design and Development Process

• Submission of TradeNet applications# Import/ Export/ Transshipment

# Controlled/Non-controlled/Strategic goods

# Payment/Non-payment

# Cert of origin and other applications

• Amendment & Cancellation of TradeNet applications

• Auto Process of TradeNet applications (more than 1000

validation rules)

• Enquiry on application status via 24-hours IVR ( Interactive

Voice Response System )

• Auto deduction of duty/GST via GIRO

• Paperless clearance for TradeNetpermits (CCS)

Structure and Services

Front-end

Software

Current Structure of TradeNet

This image cannot currently be displayed.

Technology

VAN

Operator

• IBM zSeries

• MQ Series

• J2EE

• Database

Dial-up or

Internet

Leased Line

•Client-based Software,

• Integrated with Trader’s In-house System or

•Web-based Software

• Interactive Processing

•Online Processing

•Auto-Routing (btw Customs & CAs)

TradeNet Backend

(Customs &

Controlling Agencies)

• Centralised Customs database

Customs

Backend Systems

(eg. Cargo clearance,

Revenue Mgmt, etc.)

EDI ( Using

UNEDIFACT

format)

Gov’t

Network

Government Agencies

� Singapore Customs ( System Owner )

� Controlled Agencies ( e.g. AVA, SPF, etc )

� IRAS ( Accounting of GST collection )

� RCB ( Registration of Company and Business)

� IE Singapore ( Statistics department )

� Chambers of Commerce for COO

Private Sectors

� Systems Integrator and Operator (NCS)

� Front-end vendors ( e.g. IPACS, SCS, PSA Portnet)

� VAN operator (e.g. Crimson Logic)

Participants

Users:

� Importers/Exporters

� Freight Forwarders/Carriers

� 3rd or 4th Party Logistic Companies ( 3PL/4PL )

� Port/Terminal Operators (PSA, Jurong Port)

� Other Trade communities/portals (Warehouse Operators, CCN)

Statistics:

� 3,000+ registered declarant agents

� 1,000+ customs staffs

� 30,000 transactions per day.

Clients

� Front-End Systems

� Development funded by the Government.

� Operated as an ASP model with transaction charges

� Backend System

� Development funded by Government

� Operation outsourced to private sector (NCS)

Business Model

To the Traders:

� Simplified commercial framework for both domestic and international trade

� Faster turnaround time (average approval within 5 minutes)

� Improved Convenience and efficiency

� Productivity improvement and Costs saving

� Faster customs clearance w/ paper-less and cashless transactions

To the Government:

� Increased effectiveness of control methods

� More effective and efficient deployment of resources

� Improved trader compliance

� Facilitates business intelligence through better/faster data capturing

� Accelerated economic development & Encourage Foreign Investment

Results

Single Window Benefits

� Conduct BPR within agencies to remove redundancy and

streamline processes and procedures (for both manual and

automated systems)

� Use industry standards for electronic messaging to ease

adoption (e.g. UNEDIFACT, ebXML, RosettaNet )

� Standardise practises on trade documentation and Goods

classification ( to achieve cross border trading )

� Close Collaboration & Consultation with all parties involved,

including private sectors

Critical Success Factors

� Liberalisation of VAN for competitive pricing & services

� Deeper integration into trade communities & processes

� Objective is to reduce duplicate data entry, facilitate

information sharing and increase cost savings.

� Centralised platform to act as National Hub to facilitate

trade activities

Future Plans

Singapore TradeNet:

Integrated Single Window e-Logistics

“A neutral and open platform enabling the integration and

collaboration among trade, logistics, financial and government

communities to fulfill import, export or transit processes and

documentation through electronic means, in order to increase

information velocity, visibility and accuracy.”

• Single-Window for all logistical information, requests, and

exchange.

• Trade Declaration will be one of the Core Applications

• Owned and Run by Government or Private Sector


ExporterBank

Customs

Domestic

Carriers

Sea Ports &

International

Carriers

Importer

Bank/

Insurance

Freight

Forwarders

Shipping

InstructionsP.O.

BL

BL, Invoice,

Pack List,

etc

Statuses/

Changes

LC

Imagine the scenario of 2000 shippers, 200 LSPs, 20 Banks, 20 Carriers?

A Logistics Scenario Today:

% Data Re-entry?

Declaration/

Permits

Rates &

Schedules

LC

Application

Manual or electronic

communication


Key Issues in e-Logistics Today:


Exporter

Customs 3PL/ Domestic

Carriers

Sea Ports &

International

Carriers

Bank/

Insurance

Freight

Forwarders

Shipping

Instructions

Schedule/

Status

Statuses/

Changes

Declaration/

Permits

Rates &

Schedules

Electronic

communication

Draft

BL

OBL

Shipping

Instructions

BL, Invoice,

Pack List,

etc

Value-Add

Solutions

Message

Translation

Services

Op

en S

tan

dar

ds

Ser

vic

e O

rien

ted

Arc

hit

ectu

re

Draft

BL

OBL

Permit

Integrated Single Window e-Logistics Scenario


Key Benefits of Integrated S.W. e-Logistics


Business

Value

Chain

Single

Window

Customs

Integrated S.W.

e-Logistics

Integrated S.W.

Global Trade

Detached

B2B -> B2ga G2G -> B2G N2N

Agency

Portals

<1980s

>1985

>1995

>2005’s

>2010’s ?

Pre-Internet

Era

Integration Scope

Towards S.W. Global Trade

Single Window Inter-operability

The Problem


Source: Andrey Masalovich, Natalia Makarycheva

Why the need for cross-border inter-operability?

The landscape of global business is being shaped and driven by:

• Increased scale of competition:• 1980’s - Competition of Product Superiority (TQM)

• 1990’s - Competition of Supply Chain (B2B)

• 2000’s - Competition of National Eco-system for Trade Facilitation (G2G, B2G)

• 2010’s - (Prediction) Competition between Regional Eco-system for Trade Facilitation (N2N)

• Increased volume of cross border trade and the need for capacity to handle it.• FTA and WCO implementations to facilitate international trade collaboration

• Lower cost, and simplification of cross-border processes

• Fraud detection and control

• Increased physical threat to business and national security• 911, financing and smuggling of weapons

• Increased physical, health and social threat to citizens from natural disasters or

biological imports• SARS, Avian Flu, Drug recalls, etc.

• Disaster relief operations


Haulier

Forward

er

Customs

Bank

Seller

Country A

Buyer

Country Z

International

Carriers

Country A

Beyond Borders: a Nation-to-Nation (N2N) Vision

HaulierForward

er

Customs Bank

International

Carriers

Haulier

Forward

er

Customs

Bank

Seller

Country A

International

Carriers

Country B

Country

C

Federated Enterprise

Reference Architecture• Message Converter

• Registry & Repository

• Collaborative Event Handler

• Metrics & Reporting Engine

• Choreographer Tools

• ebXML, RosettaNet, Web Services


Create trade

exchange

Examples of Purposes and Benefits

• Single Trade Declaration - re-use of export data for import.• Import permit application

• Submission of manifests and other documents

• Each country retains its own customs procedures and workflow.

• Trade Monitoring & Controls• Visibility of cargo content from port of origin

• Track & Trace of carrier and container routes

• Trade Regulations Streamlining• Clearer export/import and simplified compliance effort for traders

• Faster verification of information leading to faster revenue collection

• Facilitate easier implementation of future security & other trade policies


• Firstly, improve internal government efficiencies & automation toward a comparable

performance standard (benchmark)

• Build your Customs or e-Logistics Single Window with “end-in-mind.”

• Adopt and support international or open standards for systems development,

messaging, product codes and other specifications.

• Adopt a common data messaging and security framework, supported by governments and

trusted by traders.

• Enhance Regulatory and Legal framework to support cross-border electronic document

exchange.

• Begin with specific, low risk product categories to achieve Single Declaration and/or Single

Inspection with another country. Balance between trade facilitation and security.

• Collaborate with commercial organizations and associations to address the issues of Letter of

Credit, Bill of Lading, Inspection Certificates, etc.

learnings


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