WeBOC, emerges real time integration hub for importers, exporters, Customs, bank, airlines, shipping lines, all stakeholders
The Pakistan Customs administration firmly believes that the ‘Change is the law of life. And those who look only to the past or present are certain to miss the future’. Thus innovation and simplification in the Customs clearance system has always been the objective to offer maximum facilitation to the trade.
All import and export of goods in Pakistan is governed by Pakistan Customs Act 1969. In past days custom clearance of all consignments was carried out manually on documents and papers. For Import Bill of Entry (BE) was filed and for export Shipping Bill (SB) was filed. Every stage of the process went on manually where the customs agent would carry B/E and S/B documents physically getting the documents processed through the Custom Formation/staff and obtaining signatures and endorsements of several functionaries. Keeping with the international dimension of customs it was always focus of the International organizations like World Customs Organization to achieve uniformity in customs procedures to facilitate international trade so that trade data could be integrated into one and the global trade flow could be increased and accelerated. Therefore digitalization was the only answer to convert manual processing into cyber processing. It was in this context that in 1982 the first ever computer automation was initiated into customs department; it was called ‘Appraiser Guidance System Statistical Report System Batch Data Entry System’. But this was only to keep the import clearance data on computer for statistical purpose and to serve as guiding/reference pool for the customs appraisement staff. Subsequently the direct role of computer processing was brought in partially in 1992 through ‘On-line Transaction Processing System (OLTP)’ but this only translated some manual steps onto computer during the processing of the clearance such as registration of Import Documents like B E/Shipping Bill and allotment of a Machine Number and feeding of some data from the documents already processed manually by Customs. It was thus only a limited automation and that was too extent of imports within certain sections of Karachi Customs House.
The substantial shift came only with ‘One Custom Clearance System’ introduced in 2004 in which nearly complete process of the import and export documents was brought on computer but again it was a parallel process side by side with the manual process . It took place in a manner in which documents were processed manually with signatures as usual. however at every stage it’s feeding on the computer modules was necessary without which next process could not be started. In the meantime in 2005 a fully Automated system with name Pakistan Automated Computer Clearance System (PaCCS) was also introduced in selected parts of Karachi Customs House and Port Qasim as part of Customs Administrative Reforms (CARE) at Karachi International Custom Terminal (KICT), Pakistan International Custom Terminal (PICT) and Qasim International Custom Terminal (QICT) which were the main terminals for sea ports in Karachi. The declarations were filed by the Importers, exporters and the customs Agents through their own computers from the offices and then the whole processing at all stages took place on computers. This was a revolutionary development as it immediately reduced the dwell time of the consignments changing from weeks and days to hours and minutes. This system reduced huge number of steps on manual processing to a drastic few such Goods Declaration clearance which required 34 signatures and 62 verifications through green channel only one step-Customs processing time from average 04 days to just 08 hrs. Examinations of 100 percent goods went down to only 4 percent in import and 2 percent in exports. Similarly issuance of Rebate cheques reduced from 90 days to only 48 hours.
The PaCCS was introduced for the stated purposes of ACCESS (Automated Customs Clearance System); TARIP (Tariff and Integrated Policy), INTRA (Integrated Regulatory Authority); ECHO (Enhanced Cargo Handling and Port Optimization) however of these four only the first objective that of ACESS was largely and effectively achieved. This solution was carried operated M/s Agility on payment of a huge sum in foreign exchange. During this time Federal Board of Revenue (FBR) endeavored hard to bring out an indigenous product so that it could be locally controlled, amended and expanded and save large amount of foreign exchange. It was also envisaged to put the new system on all Pakistan basis. M/s Pakistan Revenue Automation Limited (PRAL) set up on developing Web Based One Custom (WeBOC) from 2009 which finally replaced the PaCCS as it was rolled out at KICT, PICT and QICT in 2011. After its successful takeover of all the operations under PaCCS it was soon vibrantly rolled out to all Pakistan and at present it has now taken over all operation under PACCS and also that of One Customs except for a very small segment which is operating under One Customs which will be replaced by We BOC in coming months.
The We BOC system operates through a Risk Management System that selects Goods Declarations (GD) filed by the importers, exporters and then isolates specific and particular consignments for checking. The figures show that in import 34 percent of the consignments go out straight away without any intervention in green channel while only 31 percent are selected for a cursory on screen check leaving just 34 percent for physical checking which too is done very quickly. The exports are even more privileged where 68 percent go green and 15 percent yellow whereas just 17 percent are red. This has created a big capacity for handling consignments for custom clearance unprecedented before. The system is successfully able to select consignments for green, yellow and red channels on the basis of Trader profiles and various other parameters. The System allows Advance manifest filing and E-Gates, Secures transit and transshipment processes, handles Bonded carrier registration, Auto blocking, container tracking, check post integration. It manages Quota Management under various exemption and concessionary/conditional regimes and connects directly with Export Development Bureau (EDB). It allows for online feeding of exemption certificates by Inland Revenue Service (IRS) and is able to bind the application of Laws with the various identification codes (i.e. HS codes) of the items/goods under custom clearance. It has Integrated Management Information System (MIS) and keeps complete log of all users. The value added features offered by this system are it ability to real time profiling, System checks, Electronic Data Interchange (EDI) based communication with terminal operators, banks, other stakeholders and has the potential for expanding it to connect with other countries, generate Alerts, links Valuation Rulings, tracks and monitors Securities, provides Discrepancy reports and allows access through portable devices. WeBOC has emerged as real time integration Hub where all stake holders such as importers, exporters, , customs management , custom agents, bank, terminal operators , airlines , shipping lines , bonded carriers and ware houses are linked directly in cyberspace reducing the processing time drastically as a result. WeBOC covers transactions like imports, exports, transshipment, transit, AFU, section 79(1), vehicles, private bond, public bondp Privileged person, DTRE/EDB regulatory mechanisms. It can handle cargos of all kinds like Less than/full container load, air cargo, solid bulk and liquid bulk. Its operation has covered seaports, Air freight unit, dry ports, off dock terminals, border Custom stations. EDI is a cyber-connect which allows real time messaging and transfer of data. It has been already implemented with Container Terminal Operators, Ports and Off-dock Terminals whereas it is under testing for Afghan Customs for reconciliation of Transit Consignments. Now the EDI is being established with China, Afghanistan and other countries which would be a great achievement and a leap forward in reaping the benefits of digitalization under WeBOC.
Khalid Hussain Jamali
Additional Collector
MCC Preventive Karachi.