Imagine imported goods languishing at ports due to lengthy customs procedures, each day accruing additional storage costs and potential lost business opportunities. How can customs authorities precisely identify these bottlenecks and implement targeted solutions to improve clearance times? Peru's National Superintendence of Customs and Tax Administration (SUNAT) is finding answers through an innovative tool called the Time Release Study (TRS), with crucial technical support from the SECO-WCO Global Trade Facilitation Programme (GTFP).
Project Background: The Importance and Challenges of Trade Facilitation
In today's globalized economy, trade facilitation has become a key strategy for enhancing national competitiveness. The World Trade Organization's (WTO) Trade Facilitation Agreement (TFA) explicitly states that simplifying and harmonizing import-export procedures is essential for promoting international trade. Article 7.6.1 specifically requires members to assess the efficiency of international trade operations, identify bottlenecks in commercial processes, and implement appropriate policy and operational measures to enhance border procedure effectiveness without compromising legitimate trade controls.
However, implementing the TFA presents significant challenges for many developing nations, particularly regarding technical expertise, technology, and funding. International cooperation and capacity building thus become critical. The SECO-WCO GTFP was established precisely to help developing countries implement the TFA and improve trade facilitation standards.
Technical Support: Comprehensive Capacity Building for Peruvian Customs
From June 5-9, 2023, the World Customs Organization (WCO) dispatched an expert team to Peru under the SECO-WCO GTFP framework to provide five days of technical assistance for SUNAT's TRS implementation. The mission focused on enhancing Peruvian customs capabilities across all TRS methodology phases:
- WCO TRS Methodology Training: Comprehensive instruction covering theoretical foundations, implementation steps, data collection methods, analysis techniques, and results interpretation.
- Customs and Logistics Process Review: Joint examination of existing procedures to identify inefficiencies, including documentation review, cargo inspection, release processes, and port/airport logistics.
- WCO TRS Software Training: Instruction on specialized software for data collection, analysis, and reporting to enhance TRS accuracy and efficiency.
- Pilot Implementation Support: Hands-on guidance during initial TRS deployment to test methodologies and troubleshoot operational challenges.
Successful Pilot Paves Way for Nationwide Implementation
The WCO-supported TRS pilot concluded successfully, marking a significant milestone in Peru's customs modernization efforts. SUNAT plans to complete a nationwide TRS by late June 2023, building on the pilot's findings and operational experience.
Expected Outcomes: Enhancing Peru's Trade Competitiveness
The TRS implementation is projected to deliver substantial benefits:
- Precise identification of clearance bottlenecks through objective time measurements at each procedural stage
- Data-driven process optimization to reduce clearance times, potentially through document simplification, inspection efficiency improvements, or logistics enhancements
- Elevated trade facilitation standards through reduced trade costs and processing times
- Strengthened global trade competitiveness by creating more efficient cross-border commercial environment
Data-Driven Customs Modernization: The Path Forward
The SECO-WCO GTFP's TRS support represents more than technical assistance—it embodies a paradigm shift toward evidence-based decision making in trade facilitation. As Peru expands TRS implementation, the methodology will enable SUNAT to develop targeted interventions, monitor improvement effectiveness, and ultimately build a more efficient, transparent, and predictable customs environment.
This successful collaboration also establishes a valuable model for other developing nations seeking to enhance their trade facilitation capabilities through international partnerships. The data-driven approach demonstrated in Peru offers replicable methodologies for customs administrations worldwide to optimize their operations while maintaining appropriate trade controls.