Jamaica Customs Agency adding value with the Introduction of cargo track and trace Service
In a logistics centered economy there is a greater need for visibility in the import/export process. Knowing the turnaround time and where in the process your cargo is is of tremendous value to businesses, especially small businesses.
With the introduction of its track and trace service the Jamaica Customs Agency (JCA) is adding tremendous value to traders and to Jamaica’s trade facilitation commitments generally but more specifically under the World Trade Organization’s Trade Facilitation Agreement.
The system
The JCA’s track and trace facility is part of the ASYCUDA Customs Management System and is available at the click of a mouse.
The service after being initially piloted is now being offered to customs brokers. The track and trace service allows a trader or its representative to enter relevant information such as registration number (TRN), internal reference code, etc and be informed of where in the clearance process they are, the average processing time at the various points along the process and importantly the interaction of other border regulatory agencies (BRAs) and roles in the clearance process.
It cannot be overstated, this is a fundamental step forward for the JCA and evolves Jamaica forward as a logistics centred economy in the Fourth Industrial Revolution. And as I have said before the Logistics Hub Initiative is Jamaica’s policy response to thrive in the Fourth Industrial Revolution.
Logistics Performance Index
The JCA’s track and trace service should also have a positive impact on Jamaica’s Logistics Performance Index (LPI) ranking.
The LPI is:
is an interactive benchmarking tool created to help countries identify the challenges and opportunities they face in their performance on trade logistics and what they can do to improve their performance. The LPI 2018 allows for comparisons across 160 countries. The LPI is based on a worldwide survey of operators on the ground (global freight forwarders and express carriers), providing feedback on the logistics “friendliness” of the countries in which they operate and those with which they trade. They combine in-depth knowledge of the countries in which they operate with informed qualitative assessments of other countries where they trade and experience of global logistics environment. Feedback from operators is supplemented with quantitative data on the performance of key components of the logistics chain in the country of work.— Logistics Performance Index
The LPI is the weighted average of a country’s scores on six key dimensions:
1) Efficiency of the clearance process (i.e., speed, simplicity and predictability of formalities) by border control agencies, including customs;
2) Quality of trade and transport related infrastructure (e.g., ports, railroads, roads, information technology);
3) Ease of arranging competitively priced shipments;
4) Competence and quality of logistics services (e.g., transport operators, customs brokers);
5) Ability to track and trace consignments;
6) Timeliness of shipments in reaching destination within the scheduled or expected delivery time.
Jamaica’s over all LPI ranking was 113 out of 160 countries in 2018 and as can been seen from the graphic below measure each of the six dimensions of the LPI from 1 to 5 we can clearly see that we have some work to do.
However, luckily since its publication in 2018 Jamaica has in fact done some some work under the Trade Facilitation Committee, which is changed with over seeing the implementation of Jamaica commitments under the World Trade Organization’s Trade Facilitation Agreement. The progress of which can be see here.
Some of the notable accomplishments of the Committee since the 2018 LPI, now including the JCA’s track and trace facility are:
- The Trade Information Portal — The portal places export and import-related regulatory information on a single platform. This improves both the ease of business and trade in Jamaica. More than 7,000 persons from 98 countries have used the JTIP as reported in December 2019.
- The Port Community System — A Port Community System is an electronic platform which connects the multiple systems operated by a variety of organizations that make up a seaport, airport or inland port community. Jamaica’s Port Community System, “JamaicaPCS”, enables intelligent, secure and reliable exchange of information, connecting public and private stakeholders in order to improve the competitive position of Jamaica’s sea and airports.
- The Jamaica Single Window for Trade (SWIFT) — It will allow importers and exporters to lodge documents electronically and facilitate the exchange of information between government agencies and traders. It creates a single platform unifying the functions of various government entities involved in trade thereby saving time and reducing the cost of trade in Jamaica.
- The further implementation of the Asycuda Customs management system — has assisted Jamaica to improve its trade efficiency. According to the World Bank Jamaica has reduced the time to complete the documentary requirements for exports by 24% and for imports by 28%.
The ability or better put the inability to track and trace has been a perpetual issue for Jamaica and its LPI performance over the years. However, the new JCA service will go along way in addressing this matter head on.
Conclusion
Jamaica is currently ranked 113 out of 160 countries on the LPI, we are plainly by no means the best, that distinction belongs to Germany, however, we are by no means the worst. What the JCA track and trace facility proves, albeit it still early days, is that Jamaica is well on its was as a logistics centred economy in the Fourth Industrial Revolution.
