THE Common Market for Eastern and Southern Africa (Comesa) is pushing for the operationalisation of the Regional Customs Transit Guarantee Scheme (RCTG) whose vision is to promote regional integration.
Known as the RCTG CARNET, the scheme is an Insurance Bond/Bank Guarantee issued by sureties on behalf of principals to customs administrations to cover any loss of revenue when goods are transiting in the region.
Speaking at the first session of the three-day RCTGS conference, which began yesterday and is being attended by different regional stakeholders here, Zimbabwe Revenue Authority head of transit management, customs and excise, Mr Alick Mutandiro, who was guest of honour said the success of the RCTG scheme was now assured.
He described this as a landmark achievement for economic integration within Comesa.
“Trade facilitation has emerged as a key factor for international trade efficiency and economic development of countries,” said Mr Mutandiro.
“This is due to its impact on competitiveness and market integration and its increasing importance in attracting direct foreign investments.
“In this respect, customs security and indeed the security of the global supply chain are major issues of concern that we must constantly attend to in freight transport, trade facilitation and revenue administration.
“I also see the implementation of the scheme as providing a consistent service for traders and increasing the reliability of our transport system.”
Mr Mutandiro said trade facilitation was an important tool of economic development for developing countries, particularly, for landlocked/land-linked developing countries, such as Zimbabwe and others.
He noted that member states have taken years discussing issues and concerns in the implementation of the RCTGS and congratulated all stakeholders for the success in the implementation of the scheme.
“I would like to urge member states, especially those who are land-locked and at the end of the transit chain, who will gain most from the implementation of the scheme…to step up efforts to implement the scheme without further delay,” said Mr Mutandiro.
In a speech read on her behalf by Mr Berhane Giday, Comesa secretary, Ms Chileshe Kapwepwe, said the workshop seeks to discuss issues of implementing the RCTG in the North-South Corridor countries, noting that the RCTG CARNET was growing from strength to strength.
She said Ethiopia, Djibouti and DRC have finalised their preparations including the integration of the RCTG with their national systems and are ready to commence operations.
Malawi and Tanzania have agreed to interface their customs system based on a customised destination model adopted by EAC Single Customs Territory.
In 2022 alone, said Mrs Kapwepwe said over 1 282 RCTG Customs Transit Bonds, amounting to US$1 billion were executed, over 330 618 Carnets were issued for goods in transit in the Northern and Central Corridors.
The number of clearing and forwarding agents and sureties, which are participating in the scheme has increased to 1 077 and 51 respectively.
Comesa is made up of 21 African member states that came together to promote regional integration and 13 member states, including Zimbabwe, are party to the scheme.
Development of the modalities of operation of the scheme started in 2002 to reduce costs by eliminating the requirement to raise bonds at each border crossing and ensuring that governments can recover duties and taxes from the guarantors if goods are illegally disposed of or diverted for home consumption.
Over 70 percent of the clearing and forwarding agents are small and medium-sized businesses. Mrs Kapwepwe has expressed concern over some delays in the implementation of the scheme in the North-South Corridor due to the issue and concerns raised by some clearing and forwarding agents.- The Chronicle
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