What Are The Benefits Of The Single Window Services?
Although the initiative was well received, its true impact and the challenges that interfere with its implementation remain to be revealed. For example, the Single Window is part of the 2013 Trade Facilitation Agreement, reached in the multilateral negotiations of the World Trade Organization (WTO). The pilot test that was officially launched in January focuses for now on the operations of the National Service for Agrifood Health and Quality (Seneca) and the National Wine Institute (INV), although it will involve more than 35 public and private organisations in the long term. . The VUCEA fundamentally seeks to digitise, streamline, systematise and make foreign trade authorisations and certifications more transparent.
The advantages and results highlighted by analysts are quite clear: it saves time, facilitates operations, combines criteria and information, improves controls, avoids the duplication of transactions and procedures, and makes the entire customs system more efficient. Likewise, it reduces illegal processes and, fundamentally, saves costs for the Government, companies and intermediaries. “The WTO has studied the subject and shows that the more agile, easier and more flexible the trade is, the costs are reduced, and the expansion of the international incursion of companies is encouraged “Administrative costs at the border are as high as or higher than the tariff barriers, and Argentina is one of the most bureaucratised countries in terms of international trade”.
Challenges in the pipeline But the implementation, it seems, is not that simple and will take a while. Sources from the Ministry assure that if all goes well, it will be put into operation completely and integrally by 2021. “It is not about putting all the procedures online. “We must create a whole system that aims to be more effective, simpler and with shorter deadlines.” In this process, the Government must implement regulations and invest in human and technological resources to ensure the new system’s success.
Analysts also confess that the VUCE would make it possible to think of a more transparent trade with the same rules for everyone. This can become a challenge – they maintain – in a context where, in the absence of clear regulations, the details of large local business operations tend to want to be closed with particular arrangements.
On the other hand, Diego Dumont, Customs Broker and Specialist in Foreign Trade, assure in a column written for the Customs Brokers Center (CDA) that one of the most difficult tasks is to harmonise and agree with all the organisations of other countries and agencies and that, for that reason, implementation is always progressive.
“And a detail that is not minor – he highlights – is the new protectionist currents, which make countries focus much more on simplifying export procedures over import procedures, especially in international marketing, believes that adjustments, corrections, adaptations, and flexibilities will surely have to be made as in any new system.
Although in the long term, it would particularly benefit SMEs by reducing costs, for now, the advantages will not be so clear. “We must remember that this system is applied in other Latin American countries, with greater or lesser success, and that in its early stages, the results are not visible” Although it is a consolidated system in some Latin American countries, there is still a long way to go: it has been implemented since 2006 in Colombia and Peru and for about six years in Ecuador and Mexico. And its implementation is more recent in Brazil, Chile, Uruguay and Bolivia, among others.
Among the main challenges pointed out by analysts is that of trying not to further complicate day-to-day management for companies on this path of transition to simplification. For example, “SMEs have to focus purely and exclusively on doing business,” explains Furnari. “If this does not happen, there would be no reason for the VUCE to exist, nor for any customs system.”
ADVANTAGES AND BENEFITS
- For Participating Institutions
- Optimisation of the Physical Space of each Entity, less paper to file.
- Reduction of the consumption of Paper and Various Supplies (tonner, bibliographies, inks, etc.)
- Optimisation of Human Resources. They will have more time for other functions: Customer Service,
- investigations, etc.
- Considerable reduction of time spent in export processes.
- Reduction in the acquisition or maintenance of Information Systems
- Optimisation and saving of telephone calls. Phone lines available.
- Satisfied exporters and dispatchers will consult the processing from their PCs.
Issuance of Various Management Reports
- Publications and Statistics in minutes: Immediate response by the State to queries from the press, NGOs and other interested Entities.
- Collection Consultation Updated- Better Cash Flow Management with up-to-date data.
- The system measures times by processes. Detection of bottlenecks, bureaucracies or operational inefficiencies.