Time Release Study at Georgian Customs

1 Purpose of the study

• The WCO Time Release Study is a strategic and internationally recognized tool to measure the actual time required for the release and/or clearance of goods, from the time of arrival until the physical release of cargo, with a view to finding bottlenecks in the trade flow process and taking necessary measures to improve the effectiveness and efficiency of border procedures.

• WCO development partners are recommending it as a key performance measure to assess, evaluate, and enhance the implementation of the WTO TFA.

Study preparation and planning Data Collection &Analysis Findings

2 Involvement of stakeholders

Business Ombudsman

IDS BAG

Panalpina USAID Georgia Ltd. G4G

Association of Ship Brokers and Agents of Georgia

3 Study area

2013-2016- Sarpi, sea port, CCZ, Btumi CCZ, Poti CCZ

2019-CCP Red Bridge, , Tbilisi CCZ

Procedures:

✓ Goods under import

✓ Goods under transit

✓ Goods subject to SPS control Time Release Study 2016, 2019

Time between the entrance of transport means in the customs control zone and exit of the customs control zone TRS 2016 Regime Minimum time Maximum time Average Moda Transit 2 min 24 min 7 min 5 min. Import 2 min 26 min 7 min 5 min Average 2 min 29 min 7 min 5min

TRS 2019 Regime Minimum time Maximum time Average Moda

Transit 2 min 14 min 4 min 4 min Import 2 min 17 min 6 min 3 min Export 2 min 17 min 5 min 3 min Advance declaration Time between the entrance of transport means into the customs control zone and exit of the customs control zone

Min Max Average Moda 4 min 21 min 10 min 30 sec 4 min 2013

Min Max Average Moda 1 min 10 min 4 min 4 min 2016

Min Max Average Moda 2019 2 min 17 min 5 min 4 min 2016 vs 2013 Figures Only for CCP Sarpi

Time on SPS control

year min max average 2016 13 min 3 days 9 hr and 11 min 4hr and 46 min 2013 35 min 3 days 20 hr and 30 min 9 hr and 11 min

Additional control

Procedure year min max average Weighing 2016 1 min 3 min 2 min 2013 1 min 11 min 2 min X-ray 2016 2 min 6 min 3 min 2013 2 min 27 min 4 min Physical 2016 5 min 6 hr and 20 min 3 hr and 16 min examination 2013 8 min 7 hr and 10 min 3 hr and 33 min

7 Time between the unloading and the exit of the port territory

Min Max Average Moda Year CCP “Poti Sea Port” 5 min 01:03 hour 14 min 8 min 2016

1 min 55 min 3 min 1 min 2019

Time purely on customs procedures

Min Max Average Moda Year 1 min 7 min 1 min 1 min 2016

1 min 3 min 1 min 1 min 2019 Filling customs declaration by customs officer

Time for filling declaration Min Average Maximum Moda 100.0%

50.0%

0.0% 10 min 20 min 5 hours 22 10 2016 0:30:00 0:50:00 2:11:00 5:22:00 min 2016

Time of filling declaration

60% Min Average Maximum Moda 50% 40% 30% 20% 2 min 1 7 min 1 hour 45 min 16 10% 2019 0% 0:15:00 0:30:00 1:00:00 1 სთ-ზე მეტი 2019 In 2018 number of annual declarations issued, increased by 39% compared to 2016, number of advanced declarations, by 67%. number of employees increased only by 8%.

Number of declarations Number of staff 120

115 140000

120000 110 100000 ზრდა increase 105 8% 80000 39% 60000 100 increase 40000 67% 95 20000 90 0 2016 2018 2016 2018 Taxpayer satisfaction survey in CCZs • SMS survey -conducted once a month

• Taxpayers' satisfaction survey at clearance places conducted annually via www.rs.ge DOING BUSINESS, 2019

New Zeland 1 Singapore 2 ✓ Ist place in Europe and Central Region Hong-Kong 4 Georgia ✓ 12 place in Paying taxes 6 Average: 1.55 Norway 7 ✓ USA 8 43th place in Trading Across Borders Involvement of trade community: 1.88 United Kingdom 9 Automation: 1.85 Lithuania 14 Estonia 16 Latvia 19 Needs Assessment on: Germany 24 Regulatory and Procedural Barriers Azerbaijan 25 28 to Trade in Georgia Russia 31 Poland 33 Czhech Republic 35 Armenia 41 Slovak Republic 42 Turkey 43 Ukraine 71 THANK YOU FOR YOUR ATTENTION

Irina SIGUA Advisor International Relations Department 68a, Kostava St., 0179 Tbilisi, Georgia Tel : +995 322 26 28 01 Georgia Revenue Service E-mail: [email protected] Tax and Customs Administration Web : www.rs.ge SPS Border Control Agency

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