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Hiqstep HDM-Etrade Elogistics Study Report FINAL

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Hiqstep HDM-Etrade Elogistics Study Report FINAL DIRECTORATE GENERAL FOR NEIGHBOURHOOD AND ENLARGEMENT NEGOTIATIONS – DG NEAR Short term high quality studies to support activities under the Eastern Partnership HIQSTEP PROJECT STUDY ON THE HARMONISATION OF THE DIGITAL MARKETS IN THE EASTERN PARTNERSHIP: ETRADE, ELOGISTICS & DIGITAL TRANSPORT CORRIDORS STUDY REPORT Final version March 2018 This report has been prepared by the KANTOR Management Consultants Consortium. The findings, conclusions and interpretations expressed in this document are those of the Consortium alone and should in no way be taken to reflect the policies or opinions of the European Commission. Any errors are the responsibility of the authors. PREFACE This cross-country report on the Harmonisation of the Digital Markets (HDM) in the Eastern Partnership is produced by the project ‘Short term high-quality studies to support activities under the Eastern Partnership – HiQSTEP, EuropeAid/132574/C/SER/Multi’, carried out by an international consortium under the management of Kantor Management Consultants. The study was implemented by a team under the leadership of Vladimir Abramytchev (Study Team Leader, Electronic Trade), and composed of a senior international expert Vytautas Vitkauskas (Electronic Logistics, Digital Transport Corridors), and national experts: Vahan Hovsepyan (Armenia), Tofig Babayev (Azerbaijan), Sergey Yenin (Belarus), Eka Katamadze (Georgia), Eugeniu Hristev (Moldova) and Oleksandr Fedorov (Ukraine). Valery Virkovski (EU4Digital: eTrade Network Coordinator) and Paulius Valiulis provided their contribution to the study report. Overall supervision was carried out by Przemysław Musiałkowski, Team Leader of the HiQSTEP Project. Administrative management was provided by Vassilis Kopanas (DG CONNECT), Francesco Nicoletti and Viola Calabrese (DG NEAR) 1. Deep appreciation is expressed by the entire team to all staff members of the European Commission and specialists in the Eastern Partnership (EaP) Countries who directly or indirectly helped to complete this study, and in particular to the EC officials who helped define the European Union (EU) baseline and stakeholders in the six EaP Countries who provided information through interviews and by responding to questionnaires. Sincere gratitude is also addressed to the participants of HDM Workshops and the affiliates of the HDM Working Groups for their highly valuable feedback and data. November 2017 1 For any request about the study, please contact Vassilis Kopanas ([email protected]) and Vladimir Abramytchev ([email protected]). TABLE OF CONTENTS Preface 2 Abbreviations 4 Executive summary 8 1 Purpose and objectives of harmonisation 19 2 Methodology of the Study 20 2.1 Paperless Trade Supply Chain Reference Model 20 2.2 Approach to data collection, gap analysis and design of roadmaps 23 2.3 Methodology of monitoring the progress of harmonisation 23 3 European Union baseline 26 3.1 EU baseline in Paperless Trade 26 3.2 EU baseline in electronic Logistics 31 4 Analysis of the Partner Countries 36 4.1 Armenia 36 4.2 Azerbaijan 49 4.3 Belarus 60 4.4 Georgia 73 4.5 Moldova 91 4.6 Ukraine 102 5 Regional analysis 114 5.1 State of play and gap analysis of the Region 114 5.2 Benefit analysis 121 5.3 Regional roadmap 126 5.4 Monitoring of harmonisation progress 134 6 Conclusions 136 References 137 Annexes 140 6.1 EU4Digital: eTrade Network Action Plan 2018-2020 140 6.2 Correlation between the Study Report’s recommendations and the action plan 141 6.3 Summary of the recommended pilot projects 143 6.4 Description of the recommended pilot projects 144 6.5 Summary of the recommended actions by the EaP Countries in paperless trade 153 6.6 Summary of the recommended actions by the EaP Countries in electronic logistics 155 6.7 Detailed EU baseline in Paperless Trade 156 6.8 Detailed EU baseline in Electronic Logistics 168 3 ABBREVIATIONS AA Association Agreement ABADA Azerbaijan International Road Carriers Association ANNA Advanced National Networks for Administrations project A2A Administration to Administration A2B Administration to Business AEO Authorised Economic Operator ASYCUDA Automated System for Customs Data ATA Temporary Admission of Goods AWB Air Waybill BCCI Belarus Chamber of Commerce and Industry BOL Bill of lading B2B Business-to-business B2C Business-to-consumer CC Customs Code CCC Community Customs Code CCTV Closed-Circuit Television CEF Connecting Europe Facility CEFACT Centre for Trade Facilitation and Electronic Business CeT Coordinator for e-transformation CIIS Customs Integrated Information System CIM Uniform Rules on the Contract of International Carriage of Goods by Rail CIS Commonwealth of Independent States CITES Convention on International Trade in Endangered Species of Wild Fauna and Flora CJSC Closed Joint Stock Company CMR Convention on the Contract for the International Carriage of Goods by Road CTC Common Transit Convention CO Certificate of Origin eCO Electronic Certificates of Origin eCommerce Electronic commerce eGC e-Government Centre eID Electronic identification COTIF Convention concerning International Carriage by Rail CVED Common Veterinary Entry Document C2C Customs-to-Customs DCFTA Deep and Comprehensive Free Trade Areas DEA Data Exchange Agency DTC Digital Transport Corridors DTLF Digital Transport and Logistics Forum EaP Eastern Partnership ECU Eurasian Customs Union EEC Eurasian Economic Committee EEU Eurasian Economic Union 4 EU European Union eAWB Electronic Air Waybill EDI Electronic data interchange EIF European Interoperability Framework eIDAS Electronic IDentification, Authentication and trust Services eLogistics Electronic logistics EIF European Interoperability Framework EIS European Interoperability Strategy EIS European Information System eCMR Electronic consignment note under the Convention on the Contract for the International Carriage of Goods by Road eCO Electronic Certificates of Origin EDIFACT Electronic Data Interchange for Administration, Commerce and Transport EDS Electronic digital signature eSMGS Electronic consignment note of the Agreement on Direct International Goods Transport by Rail & Procedure Instruction eTrade Paperless trade eTFS Electronic trade facilitation FFM Freight forward manifest FIATA International Federation of Freight Forwarders Associations GCCI Georgian Chamber of Commerce and Industry GNC Globally Networked Customs GoG Government of Georgia GRS Georgian Revenue Service GS1 Global Standard 1 GSP General System of Preferences GUAM Georgia, Ukraine, Azerbaijan, and Moldova HDM Harmonisation of digital markets HS Harmonised System IATA International Air Transport Association IADFS Inter-agency Documents Flow System ICC International Chamber of Commerce ICCU Ukrainian National Committee of the International Chamber of Commerce ICAO International Civil Aviation Organisation ICT Information and Communication Technology IDMS Inter-agency Document Management System of Government bodies IMP Integrated Maritime Policies IRU International Road and Transport Union IPCS Information Port Community System ISO International Standardisation Organisation JICA Japan International Cooperation Agency JSC Joint Stock Company L/C Letter of credit LEPL Legal Entities of Public Law MCI Ministry of Communication and Informatisation 5 MoESD Ministry of Economy and Sustainable Development of Georgia MoF Ministry of Finance of Georgia MoJ Ministry of Justice of Georgia MSs Member States NAIS National automated information system NAPR National Agency of Public Register NCTS New Computerised Transit System NPTS National Paperless Trade System OELAS Irish Online Export Licensing Application System OSJD Organisation for Cooperation between Railways PAdES PDF Advanced Electronic Signatures PSDA Public Service Development Agency of Georgia QTSP Qualified Trust Service Provider RA Republic of Armenia REX Registered Exporter System RFID Radio Frequency Identification RoLa Rolling highway RTGS Real Time Gross Settlement SAD Simplification of Formalities in Trade of Goods Conventions SEAP Single Electronic Access Point SCC State Customs Committee SCSU State Customs Service of Ukraine SCV Supply Chain Visibility SME Small and Medium Enterprises SMGS Agreement on Direct International Goods Transport by Rail & Procedure Instruction SSFS State Service for Food Safety SW Single Window SWS Single Window Systems TAG Trade Advisory Group TDC Trade Documents Cloud TFA Trade Facilitation Agreement TIR Transports Internationaux Routiers TRACES TRAde Control and Expert System TRACECA Transport Corridor Europe-Caucasus-Asia UCC The Union Customs Code UCCI Ukrainian Chamber of Commerce and Industry UCP Uniform Customs and Practice for Documentary Credits UITE Union of Information Technology Enterprises UN/CEFACT United Nations Centre for Trade Facilitation and Electronic Business UNECE United Nations Economic Commission for Europe VPN Virtual private network XML eXtensible Markup Language) WCO World Customs Organisation 6 Country codes AM Armenia AZ Azerbaijan BY Belarus GE Georgia MD Moldova UA Ukraine LT Lithuania LV Latvia PL Poland RO Romania 7 EXECUTIVE SUMMARY Objectives of the study The overall objective of the study was to assess the readiness of digital markets in the Partner Countries for harmonisation with the EU’s Digital Single Market. The study report evaluates the level of digital market infrastructures, regulation and electronic services development in the Eastern Partnership Countries in paperless trade (eTrade) procedures and in electronic logistics (eLogistics) operations. It also targets facilitation
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