SITPROSimplifying International Trade

International Standards to International Standards to stimulate Paperless Trade stimulate Paperless Trade

Gordon CraggeGordon Cragge

Director, Trade Facilitation & Director, Trade Facilitation & e-Businesse-Business

SITPROSITPROMaking International Trade EasierMaking International Trade Easier

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless TradeThe Drivers - BusinessThe Drivers - Business

• Progressive reduction in duty rates have Progressive reduction in duty rates have exposed non Tariff Barriers to Trade exposed non Tariff Barriers to Trade especially official procedures and especially official procedures and documentation documentation

• Integrated production and supply chains have Integrated production and supply chains have cut the costs of manufacture and deliverycut the costs of manufacture and delivery

• Faster, more predictable clearance of goods – Faster, more predictable clearance of goods – reducing delaysreducing delays

• Enhanced competitivenessEnhanced competitiveness• Compliance with official security requirements Compliance with official security requirements • Save the Rainforests!Save the Rainforests!

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

The Drivers - GovernmentThe Drivers - Government• Improved trade related controls Improved trade related controls • More effective and efficient deployment of More effective and efficient deployment of

resources, human and financialresources, human and financial• Need for better trade regulation Need for better trade regulation

compliancecompliance• Accelerated economic developmentAccelerated economic development• Encouragement of foreign investment Encouragement of foreign investment • Security of the international Supply ChainSecurity of the international Supply Chain• Save the Rainforests!Save the Rainforests!

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

The Paperless Trade challengeThe Paperless Trade challenge • Open and transparent migration path toOpen and transparent migration path to l link ink

paper and electronic documentspaper and electronic documents• Business and government Business and government

choose the technology to supportchoose the technology to support• Based on international standardsBased on international standards• Compatible with existing legal and Compatible with existing legal and

regulatory environmentsregulatory environments• Simple, easy to use and cost effective Simple, easy to use and cost effective

spanning from low end applications to spanning from low end applications to advanced technologiesadvanced technologies

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

ObjectivesObjectives• Secure and reliable transmission of trade, Secure and reliable transmission of trade,

logistics and customs documentation logistics and customs documentation • Inter-connection of network services Inter-connection of network services

providing Paperless Trade applications for providing Paperless Trade applications for the business communitythe business community

• Inter-operability of Paperless Trade Inter-operability of Paperless Trade systemssystems

• Partnerships and funding opportunities to Partnerships and funding opportunities to implement pilot schemesimplement pilot schemes

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

In AsiaIn Asia withwithASEM MembersASEM Members Pan Asia Pan Asia

eCommerce eCommerce Alliance (PAA)Alliance (PAA)

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

In Europe In Europe withwithEuropean Union Vision European Union Vision

forforPaperless Trade and Paperless Trade and

Customs Customs Environment Environment

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Tradeto Paperless Trade

The Drivers – Regional Co-operationThe Drivers – Regional Co-operation• 44thth ASEM e-Commerce Conference – February ASEM e-Commerce Conference – February

2005 in London 2005 in London • Paperless Trade one of 5 e-Commerce streamsPaperless Trade one of 5 e-Commerce streams• Workshop organised by SITPRO with extensive Workshop organised by SITPRO with extensive

participation from Asia and Europeparticipation from Asia and Europe• ASEAL (Asia Europe Alliance for Paperless ASEAL (Asia Europe Alliance for Paperless

Trade) recognised by the Conference as part Trade) recognised by the Conference as part of the official Trade Facilitation Action Plan of the official Trade Facilitation Action Plan (TFAP)(TFAP)

• Support for ASEAL work programme and pilot Support for ASEAL work programme and pilot schemes as proof of concept schemes as proof of concept

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Trade to Paperless Trade

Co-operation between Asia and Co-operation between Asia and EuropeEurope

with the Asia Europe Alliance for Paperless with the Asia Europe Alliance for Paperless TradeTrade

SITPROSimplifying International Trade

The Way Forward The Way Forward to Paperless Trade to Paperless Trade

ASEAL established in September 2004ASEAL established in September 2004• Partnership of 4 founding members Partnership of 4 founding members

– KT NET (Korea)KT NET (Korea)– EDIFRANCE (France)EDIFRANCE (France)– DAKOSY AG (Germany)DAKOSY AG (Germany)– SITPRO (United Kingdom)SITPRO (United Kingdom)

• Facilitation offered by GovernmentsFacilitation offered by Governments– Ministry of Commerce, Industry & Energy ( MOCIE, Korea)Ministry of Commerce, Industry & Energy ( MOCIE, Korea)– Ministry of Economy, Finance & Industry (MINEFIN, Ministry of Economy, Finance & Industry (MINEFIN,

France)France)– Federal Ministry of Economics & Labour (Germany)Federal Ministry of Economics & Labour (Germany)– Department of Trade & Industry (Dti, UK)Department of Trade & Industry (Dti, UK)

SITPROSimplifying International Trade

The Way ForwardThe Way Forwardto Paperless Trade to Paperless Trade

Memorandum of Understanding Memorandum of Understanding signed signed

by the partners with an Action Planby the partners with an Action Plan• Mission StatementMission Statement

Promote Paperless Trade between the two Promote Paperless Trade between the two regions, contributing to the economic regions, contributing to the economic development of Asia and Europe development of Asia and Europe

Enable Paperless Trade by creating a global and Enable Paperless Trade by creating a global and coherent framework and removing barrierscoherent framework and removing barriersASEAL Action PlanASEAL Action Plan

SITPROSimplifying International Trade

The Way Forward The Way Forward to Paperless Trade to Paperless Trade

ASEAL DevelopmentsASEAL Developments• Membership expandingMembership expanding

– TRADE-VAN (Taiwan)TRADE-VAN (Taiwan)– Dagang.net (Malaysia)Dagang.net (Malaysia)

• Pilot ProjectsPilot Projects– Korea and GermanyKorea and Germany– UK and TaiwanUK and Taiwan– eCertificate of OrigineCertificate of Origin– eLetter of Credit eLetter of Credit

SITPROSimplifying International Trade

The Way ForwardThe Way Forward to Paperless Trade to Paperless Trade

Global Co-operationGlobal Co-operationThe United Nations The United Nations with with

UN/UN/CEFACTCEFACT

& & UNeDocsUNeDocs

SIMPLE, TRANSPARENT AND EFFECTIVE PROCESSESSIMPLE, TRANSPARENT AND EFFECTIVE PROCESSESFOR GLOBAL BUSINESS.FOR GLOBAL BUSINESS.

SITPROSimplifying International Trade

The Way ForwardThe Way Forward to Paperless Trade to Paperless Trade

UNeDocsUNeDocs• The standard of standardsThe standard of standards

– UN/CEFACT Modelling Methodology UN/CEFACT Modelling Methodology – the international supply chain reference the international supply chain reference

model model ((BUYBUY SHIP SHIP PAYPAY))– Core Component Core Component LibraryLibrary ((ISO ISO & & UNTDEDUNTDED) ) – UN Layout KeyUN Layout Key (UNLK) (UNLK) for trade documents for trade documents – UN/EDIFACT – UN/EDIFACT – UNUN standard messaging standard messaging – Naming & Design Rules – for XML document Naming & Design Rules – for XML document

production (production (schemas schemas and style sheets)and style sheets)

SITPROSimplifying International Trade

The Way Forward to The Way Forward to Paperless Trade Paperless Trade UN/CEFACT & UNeDocsUN/CEFACT & UNeDocs

• Projects Projects – eCert (G2G electronic transfer of eCert (G2G electronic transfer of

Veterinary Health Certificates)Veterinary Health Certificates)– PeCert (G2G transactional data exchange PeCert (G2G transactional data exchange

of Phytosanitary Certificates in North of Phytosanitary Certificates in North America)America)

– eTIR (electronic version of the eTIR (electronic version of the international road transport Carnet)international road transport Carnet)

– eCMR (electronic version of road haulage eCMR (electronic version of road haulage contract of carriage) contract of carriage)

SITPROSimplifying International Trade

The Way Forward to The Way Forward to Paperless Trade Paperless Trade

UN/CEFACT & UNeDocsUN/CEFACT & UNeDocs• eCoO Project eCoO Project

– Prepare high level business Prepare high level business requirement specification using UMMrequirement specification using UMM

– Convert to UN standardsConvert to UN standards– Develop electronic equivalents to Develop electronic equivalents to

Certificate of OriginCertificate of Origin– UN/EDIFACT message and guidelines UN/EDIFACT message and guidelines – XML schemas and style sheets XML schemas and style sheets