Home ›› 02 Jan 2022 ›› Front
From the first day of 2022, all duties related to import and export are being collected through e-payment at Chattogram Customs House that has gone out and out digital.
The move comes on the heels of WTO’s Trade Facilitation Agreement (TFA) signed in 2017 by the member countries of which Bangladesh is one.
The ratification aims at reducing trade cost, enabling faster cross-border trade and rapid release of goods, and employment generation.
Earlier, the government introduced the electronic payment system on a limited scale on September 15 last year since when revenue over Tk 2 lakh had been collected through e-payment.
Sala Uddin Rizvi, deputy commissioner, Chattogram Customs House, said from January 1, 2022, all duties are being taken online and this is an important step towards paperless cross-border tariff process.
The introduction of e-payment is mandatory under the Trade Facilitation Agreement (TFA) signed by the WTO member countries.
As part of the treaty, preparations to collect revenue in all ports and land ports had been going on after Bangladesh, one of the founding members of the WTO, ratified the TFA in 2017.
Sources said in electronic payment system, importers or their representative C & F (Clearing and Forwarding) agents are able to pay tariff through Real-time Gross Settlement RTGS of the Bangladesh Bank using their user ID of NBR special software ASYCUDA World.
Earlier, the importer and the exporters had to pay tariff and related payment to the National Board of Revenue through treasury invoices which was time-consuming.
For smooth movement of goods across the borders and reduce bureaucratic red tape, the WTO came up with the TFA in Bali of Indonesia in December 2013 that came into force on February 22, 2017 following its ratification by the two-thirds of WTO members.
Bangladesh ratified the TFA and is working on the implementation of the agreement since long. From July 1 last year, Chattogram Customs House, which was dealing with around 6000 to 7000 bills relating to imports and exports per day organised several training sessions for customs house officials, importers’ representatives and C&F agents on e-payment system.
In the financial year of 2021-22, the CTG customs authority has collected revenue of around Tk 54,000 crore which will go up with the introduction of e-payment. In the fiscal year, the revenue collection target is Tk 70,000 crore.
As the e-payment gets underway, it will no longer be possible to submit fake pay orders and treasury invoices while at the same time it will be easier to investigate any irregularities, according to Sala Uddin Rizvi.
“Sometimes importers were found submitting fake pay orders. It took a long time to investigate the issues. Now if anyone commits such fraud, they will be detected immediately,” said the deputy commissioner.
As per the WTO estimate, if TFA is fully implemented, trade costs could be reduced by 14.3 per cent on average worldwide. At the same time, the global trade will be amplified up to $ 1 trillion, which will subsequently create huge employment. The developing countries will highly benefit from this trade facilitation effort, it said.
A study by the United Nations Economic and Social Commission for Asia and Pacific shows that if TFA is put into practice effectively together with cross-border paperless trade measures, Bangladesh will be able to enjoy 33 per cent trade cost reduction.
For e-payment a set of information is required -- bill of entry number, financial year, customs house office code, amount of duty paid, agent identification number and phone number.
The e-payment will enable faster revenue deposit and rapid release of goods from the port in less time, said Mahmud Imam Bilu, joint general secretary, C&F Association. The revenue department must keep its network and related facilities updated, he added.
The customs officials hope that an effective implementation of e-payment under the TFA will assist Bangladesh to score better at World Bank Doing Business index, which will surely send a green signal to the global business community to invest in Bangladesh.
