Imagine your goods arriving at a port after a long journey, only to be delayed by cumbersome customs procedures, wasting both time and money. The frustration of such delays is all too familiar for many traders. Fortunately, the World Customs Organization (WCO) is working to help customs administrations worldwide improve efficiency, ensuring faster and smoother clearance of goods.
The Time Release Study: A Diagnostic Tool for Customs
How does the WCO achieve this? The answer lies in the "Time Release Study" (TRS). In simple terms, TRS acts as a comprehensive "health check" for customs processes. By precisely measuring the time taken for goods to move from border arrival to final release, it identifies bottlenecks and inefficiencies, enabling targeted improvements.
TRS is more than just a timing tool—it is a scientific analytical framework that helps customs administrations:
- Quantify clearance efficiency: Use data to objectively assess actual clearance speeds.
- Identify bottlenecks: Pinpoint delays in key steps such as document checks, inspections, or tax payments.
- Optimize processes: Implement targeted measures to streamline workflows and enhance efficiency.
- Enhance trade facilitation: Reduce trade costs and improve competitiveness by shortening clearance times.
Kyrgyzstan’s TRS Initiative: Supported by WCO and OSCE
In October 2021, the WCO, with support from the Organization for Security and Co-operation in Europe (OSCE), conducted an online TRS workshop for Kyrgyzstan’s customs administration. The workshop aimed to assist Kyrgyzstan in launching a new TRS cycle to evaluate and optimize its clearance processes.
Representatives from both the WCO and OSCE emphasized the importance of TRS, particularly amid the challenges posed by the COVID-19 pandemic. They encouraged Kyrgyzstan’s customs officials to actively participate and promptly implement TRS to measure procedural efficiency.
TRS and the WTO Trade Facilitation Agreement: A Synergistic Relationship
Notably, TRS aligns closely with the World Trade Organization’s (WTO) Trade Facilitation Agreement (TFA). Article 7.6 of the TFA encourages member states to measure and publish average release times, and the WCO’s TRS guidelines serve as a key tool under this framework.
By conducting TRS, customs administrations not only enhance their own efficiency but also fulfill TFA obligations, contributing to global trade facilitation.
WCO’s Expert Guidance: Technical and Operational Support
To ensure the workshop’s success, the WCO deployed a specialized TRS team, including TRS officers and a certified Technical and Operational Advisor (TOA) from the Mauritius Revenue Authority.
Over two days, WCO experts detailed the TRS methodology and demonstrated the use of WCO TRS software. Through theoretical and practical sessions, Kyrgyzstan’s customs officials gained hands-on experience in applying TRS techniques.
Adapting TRS for the Pandemic: Simplified and Focused Approaches
Given pandemic constraints, WCO experts advised Kyrgyzstan to adopt streamlined TRS measures, such as focusing on internal customs processes rather than engaging other government agencies or stakeholders. This approach minimized health risks while accelerating results for future improvements.
Key Steps for Implementing TRS
Successful TRS implementation typically involves:
- Defining objectives and scope: Clarify the purpose (e.g., identifying bottlenecks) and select target ports or goods.
- Forming a TRS team: Include customs officers, IT specialists, and statisticians.
- Choosing data collection methods: Options include manual timing or electronic data interchange (EDI).
- Collecting and analyzing data: Calculate metrics like average release times and identify inefficiencies.
- Implementing improvements: Streamline processes, reallocate resources, or enhance training.
- Evaluating outcomes: Repeat TRS post-implementation to assess progress.
Beyond Speed: The Broader Benefits of TRS
While TRS focuses on time measurement, its advantages extend further:
- Transparency: Publishing TRS results builds public trust in customs.
- Collaboration: Encourages coordination between customs, other agencies, and businesses.
- Economic growth: Efficient clearance attracts investment and boosts trade.
- National reputation: Faster clearance improves a country’s business climate and global standing.
Challenges and Future Directions
Despite its benefits, TRS faces hurdles such as data collection difficulties, analytical complexity, and stakeholder coordination. However, advancements in technology—like IoT, AI, and machine learning—promise smarter data collection, deeper insights, and tailored solutions for diverse trade environments.
In summary, the WCO’s Time Release Study is a transformative tool for modernizing customs operations. By diagnosing inefficiencies and driving process improvements, TRS helps nations reduce trade costs, enhance competitiveness, and foster smoother global commerce.