EU e-Customs Updates (MASP)
- Arne Mielken
- Mar 18, 2024
- 4 min read
Progress Report on the e-Customs MASP initiative of the European Commission
PLEASE NOTE: This article is from the tenth issue of Customs Watch, a weekly study of EU and UK legal and guideline developments for customs experts. If you find this material useful, please subscribe to our plan for a little charge to get weekly updates with insights, documentation, and more.
Executive Summary
On March 14th and 15th, 2024, the 97th Electronic Customs Coordination Group (ECCG) meeting was held jointly with the Trade Contact Group (TCG). The ECCG comprises experts from EU member states who are responsible for implementing e-customs initiatives, while the TCG is invited as an observer and can also take part in discussions.
While businesses are not involved in designing custom IT systems, they are still affected by them. Therefore, it is crucial to closely monitor any developments on this front and every importing and exporting business should take an interest in it.
The meeting served as a platform to discuss the progress made in implementing the e-customs initiatives of the EU Commission. Experts from Member States provided updates on the current status of their respective projects.
Background
The EU's Customs Union is making significant progress with electronic customs. The project aims to establish a more streamlined and contemporary customs environment by substituting paper-based customs procedures with electronic ones implemented throughout the EU.
There are two primary objectives of the project:
Promoting trade;
Strengthening security at the external borders of the European Union.
Over the past two decades, paper-format customs procedures have been replaced with electronic ones to enhance competitiveness and safety. The first step towards the EU-wide electronic exchange of customs declarations was the New Computerised Transit System (NCTS) in 1997.
MASP
A European Union initiative, the Multi-Annual Strategic Plan for Electronic Customs (MASP-C) seeks to transition from paper-based to electronic customs procedures by 2025. The plan was initiated in 2009 and is currently in its 2023 version. All is based on the e-Customs Decision set the framework for creating a paperless environment for customs and trade. The Multi-Annual Strategic Plan (MASP) drafted the vision, objectives, and milestones for implementing the electronic customs initiative. The plan provides an overview of projects and critical issues related to the electronic customs initiative and its current state.
The MASP-C includes
a detailed timeline,
consolidated project files,
governance scheme,
EU customs business process modelling policy,
IT strategy and change log.
You can find the latest details here:
This group tries to implement this plan as best as possible.
To ensure that e-customs in the EU is successful, four priorities need to be implemented:
Risk Management: E-customs can help reduce the passage of low-risk goods while focusing on high-risk goods and cargo by facilitating a risk-based approach to customs controls.
Interoperability: Customs systems should be able to exchange information seamlessly, despite being disparate.
Single Window: To meet customs requirements, businesses need an all-inclusive digital platform that allows them to upload their customs declarations and relevant paperwork only once.
Compliance: Traders need to comply with customs regulations through instruction, support, and enforcement.
Topics discussed during the 97th ECCG meeting
The many IT project-related projects which were discussed during the meeting included:
MASP
ICS2
EU CSW-CERTEX
EORI
EUCDM
Data-related annexes to the UCCIA and UCC-DA
AES
NCTS-P5 T
eTIR
UUM&DS
UCC Centralised Clearance for Import
UCC PoUS Business & IT
UCC GUM
UCC CDS
UCC IT work programme
CBAM project
What are the commercial implications of the work of the ECCG?
The implementation of electronic customs has had a significant impact on companies doing business with the EU. Organizations must adapt their systems and procedures to comply with the recently introduced electronic standards. However, fully digitizing EU customs will also bring several benefits to businesses. These include cost and time savings in customs processes, making it simpler and faster for businesses to trade with the EU. Moreover, it can enhance security and safeguard the EU's borders by making it more difficult for criminals to smuggle goods into or out of the EU. Finally, it can boost competitiveness by reducing the costs and complexities of cross-border trade for businesses.
What preparations should organizations make for EU electronic customs?
There are many things that businesses can do to prepare for the MASP, including:
Assess their current systems and processes: Organizations ought to conduct an evaluation of their existing systems and procedures to detect any deficiencies or regions that necessitate modernization to adhere to the novel electronic mandates.
Develop an implementation plan: Enterprises ought to formulate a strategy to execute the requisite modifications to their operational frameworks and procedures. A schedule and financial investment should be incorporated into this plan.
Seek advice and support: Organizations have the option to consult trade associations, customs intermediaries, and the European Commission for guidance and assistance.
How can customs managers support making electronic customs work for businesses?
Customs managers aid the operation of IT programmes and provide support for the implementation and rollout of customs processes and procedures. Customs Managers verify the accuracy of the masterdata and ensure that the information you provide to customs is complete, timely, and accurate. In addition, as project managers with extensive knowledge of the customs IT systems of the European Union, we can help businesses save time and money while minimising the risk of errors. As AI and automation proliferate in the world, we continue to incorporate human elements and ensure that supply chains and customs are being deliberated by a human mind. Implementing this approach can significantly expedite the import and export processes, reduce administrative costs, and ensure strict adherence to international customs regulations.
Customs Manager can provide the following assistance to organizations:
Time and financial savings on customs declarations
Reduce the likelihood of making errors.
Decrease the durations of imports and exports
Ensure compliance with international customs regulations.
Reduce administrative expenditures
By engaging the services of a customs manager, organizations can improve the efficiency of their customs declaration processes and ensure greater compliance with customs regulations.
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