UNNExT Workshops on Trade Facilitation - UN ESCAP · 2015. 5. 12. · NARANTSETSEG Tseyenpil Senior customs officer, Customs General Administration OYUNTSETSEG Chuluun Inspector of

UNNExT Workshops on Trade Facilitation

Almaty, Kazakhstan 4-6 May 2015

UNNExT Workshop on Paperless Trade Facilitation for Small and Medium-Sized Entreprises

Paperless Trade Facilitation for SMEs ( Mongolia)

NARANTSETSEG TseyenpilSenior customs officer, Customs General Administration

OYUNTSETSEG ChuluunInspector of food safety, Department of Export and Import Inspection, Professional Inspection Authority of the Capital City

TSETSEGMAA ChuluunbatHead of Export Promotion & Development Department, MNCCI

2015- 05-05Alma Ata

Export market by country / 2014/

Main export articles / 2014/

1 - Copper concentrates

2 - Coal

3 - Crude oil.

4 - Iron ores and concentrates

5 - Gold,unwrought or in semi-manufactured forms.

6 - Containing more than 12,0 % by weight of cashmere

7 - Zinc ores and concentrates

8 - Leucite; nepheline and nepheline syenite; fluorspar.

9 - Other

Current situation of SMEs in Mongolia

790.0 workers in SME sector Shared 0.7 % in total export

Main SME sectors

• handicrafts /felt, leather/

• Wooden production

• Agriculture / meat, plants, milk, fruits, honey…/

• Light industry / cashmere and camel wool, yak woolen, textile garment production/

• Trade service

• Tourism

• Leather shoes service and production

Main SME export sectors

• Cashmere and camel woolen garment

• Yak woolen garment

• Handicrafts

• Traditional furniture production

• Medical plants

• Textile garment

• Felt products

Key challenges for SMEs in trade

• lack of financial resources

• Lack of skilled workers

• Need favorable law environment

• lack of market access information

• Shortage of new technology

• Shortage of industrial building

Key Government agencies in TF

• Cabinet Secretariat of Government

• General Authority for State Registration

• Customs General Administration

• Mongolian Agency Standardization & Metrology

• Information technology, post, telecommunication agency

• General Agency for Specialized Inspection

• Mongolian National Chamber Commerce and Industry

SEW in Mongolia

- Government resolution 2007-05-23

“to adopt SEW program in Mongolia”

-Government resolution on 2013-03-02- “to implement SEW and to establish steering committee”

PROJECTS ORGANIZED BY THE INSPECTION AUTHORITIES IN THE FRAME OFMAKING EASIER THE FOREIGN TRADE OF SMALL AND MEDIUM SIZED

ENTERPRISES

Following projects were performed in the frame of making

easier the foreign trade and transferring to single window

electronic service by the border inspection authorities in 2014.

Ø The government has determined the “criteria for the risks of

imported goods” by the Resolution #233 dated in 2014.

Ø “Items and types of the imported goods to be involved under

the border professional inspection” were identified by the

Resolution #60 of the Deputy Prime Minister of Mongolia dated

in 2014.

Ø “Inspection details were determined” by the Resolution #309 of

the Chief of General Authority of Professional Inspection

Authority dated in 2014.

Previously, the professional inspection authority has controlled all the exported and imported goods through the border but the issuance of the resolution constituted the legal environment for carrying out the risk based inspection. All imported goods are evaluated with their

Ø Human effectsØ Animal effects Ø Plant or cultivation effectsØ And environment effects and the goods with great or

medium risks are inspected and low risk goods are not inspected.

According to damages and negative effects that may result

to the human, animal, plant, health, environment and social

security, the criteria for determining the risks of imported

goods was developed, 5744 types of goods were evaluated

and 3550 types of goods were released from the border

inspection under the classification code of GCDS (goods

coding and determining system). In result of this, the border

inspection for foreign trade became easier by 61,8 percent,

and the inspection became optimal and effective, it

constituted the conditions to reduce the expenses from

business, save time, decrease inspection burden.

Ø Goods with great risks are goods that may damaged quickly

such as different types of meat, seeds, rice, eggs, raw

materials, chemical substances, medicines, alive animals, and

etc,

Ø Medium risk goods are processed foods, raw materials, and

some kinds of chemical substances, and

Ø Low risk goods included the goods which don’t have direct

effects to human health.

By making analysis to the process of issuing certificates and declaration to the foreign trade business of small and medium-sized entrepreneurs by the professional inspection authority:

Ø the entrepreneurs in-person meetings with the professional inspection officer were 5 times but currently it became 2 times.

Ø the number of required document was 6, but it became 3.

Ø there were 14 stages to issue the documents, now it became 7.

Ø there were 5 documents are needed to be developed during the certificate issuance period but now they are not required.

Ø It took 3 working days to issue the certificates, declaration and run laboratory test, now it became only 1 day.

Customs law of Mongolia, 2008Numbers of Documents Required for goods

clearance

8+

ГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХCUSTOMS GENERAL ADMINISTRATION OF MONGOLIA

CUSTOMS GENERAL ADMINISTRATION OF MONGOLIA

Revision of Customs law /2012/Numbers of Documents Required for goods

clearance

4





PAPERLESS CLEARANCE

• Working group was established in February 2014

• Launched in August 2014

•Focused on mining products

• Time

•Cost savings

ЭКСПОРТЫН ГААЛИЙН БҮРДҮҮЛЭЛТГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХCUSTOMS GENERAL ADMINISTRATION OF MONGOLIA


ЭКСПОРТЫН ГААЛИЙН БҮРДҮҮЛЭЛТГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХГАДААД ХУДАЛДААГ ХӨНГӨВЧЛӨХCUSTOMS GENERAL ADMINISTRATION OF MONGOLIA


Selenge Customhouse /North border/

By November 30, 2014: •Total number of customs declaration: 4762 •Estimated duty collection without facilitation: 64,345.0 million tugrug•Percentage of trade facilitation /Exempted from Customs duty andVAT/: 34.8% =22,399.9 million tug •Comparison of Trade facilitation by year: /million MNT/

•“Altanbulag” Free Trade Zone /Launched in June 2014/•Goods exempted from Customs Duty and VAT at Selenge Customhouse: Eqiupment and technology of Agricultural products

2012 2013 2014

15,839.5 18,957.7 22,399.9

THANK YOU