Четвер, 28 березня 2024

Roman Kril*

Common Transit Procedure and NCTS Implementation: the Case of Ukraine

Full text PDF [EN]

Suggested citation:

Kril, R. (2021). Common Transit Procedure and NCTS Implementation: the Case of Ukraine. Lex Portus, 7(3), 32-59. https://doi.org/10.26886/2524-101X.7.3.2021.2

*Faculty of Law and Administration, Jagiellonian University (Golebia 24, 31-007 Krakow, Poland).

 

ABSTRACT

The article analyses the EU policies towards the extension of a Common Transit Procedure and the New Computerised Transit System (NCTS) over associated countries given a case of Ukraine. A reasonable amount of the EU actions and aid on implementing the NCTS are performed within frameworks of the Eastern Neighbourhood Policy. It is instrumental for approximation of customs legislation, capacity budling, and modernization of customs authorities of the EU neighboring states. However, the impact of the NCTS implementation goes far beyond mere transit arrangements. It has the potential to introduce basic principles of the EU administrative law and best practices of administration into the day-by-day performance of national customs authorities. Ukrainian customs have favorable start conditions; so far, the national customs authorities and traders have experience in utilizing customs IT solutions. However, the transition to the new transit procedure may face specific issues due to disproportionately strict authorization criteria for transit simplification set by national legislation that exceeds the relevant rules of the EU legislation. Such restrictions cause low popularity of the new procedures harmonized with the EU legislation. Besides, in some cases, the approximation to the EU customs legislation results in discontinuing the existing simplification of customs procedures, which raises the question of possible distortions in the implementation of respective obligations and failure to share basic principles of good administration promoted by the EU.

The key words: Common Transit Procedure, NCTS, Transit Simplifications, Association Agreement, Europeanization, good governance, customs, European Union, Ukraine.

 

REFERENCES

Alisauskas, V. (2021). The EU supports Ukraine’s accession to the Convention on a Common Transit Procedure. EU4PFM. https://eu4pfm.com.ua/interviews/the-eu-supports-ukraine-s-accession-to-the-convention-on-a-common-transit-procedure/#more-2334

Automatic Customs Transit Transport Systems In Operation (NCTS, ACTS, TIM). https://cutt.ly/zmKxBCo

Butin, A., & Shulga, D. (2019). Streamlining EU-Ukraine Customs Procedures. Civic Synergy Project. https://www.civic-synergy.org.ua/wp-content/uploads/2018/04/STREAMLINING-EU-UKRAINE-CUSTOMS-PROCEDURES_en_2019.pdf

Call to participate in the market consultation on the Development of NCTS Phase 5 compatible national transit application. EU4PFM. https://eu4pfm.com.ua/news/call-to-participate-in-the-market-consultation-on-the-development-of-ncts-phase-5-compatible-national-transit-application/

Chow, N. (2018). The Single Window and the TFA: ASEAN’s Best Chance at a Common Rule of Law. Asian Journal of Law and Economics, 9, 2. DOI: 10.1515/ajle-2017-0022

Common Transit Procedure (NCTS). State Customs Service of Ukraine. https://customs.gov.ua/rezhim-spilnogo-tranzitu-ncts [in Ukrainian].

Common Transit Regime. Ministry of Finance of Ukraine. https://www.mof.gov.ua/uk/common_transit_mode-473 [in Ukrainian].

Customs Administration of the Republic of Macedonia. (2010, November). Strategy for Implementation of Common Transit System NCTS (New Computerised Transit System) for The Republic of Macedonia. Ver. 1.0-EN. http://oldweb.customs.gov.mk/en/Uploads/NCTS_STRATEGY_2010_TO_DG_TAXUD_from_CARM_FINAL%20_5_.pdf

Customs Service is testing NCTS. EU4PFM. https://eu4pfm.com.ua/news/customs-service-is-testing-ncts/

Dalton S., & Stosic B. (2021) The Importance of Applying Lean Innovation for Enhancing Harmonization of Customs Procedures in context of Digitalization of Customs Administration – A Case Study of Serbia. Lex Localis, 19, 2, 305-327. DOI: 10.4335/19.2.305-327(2021)

Demchenko, S. (2021) Implementation of all components necessary for Ukraine’s accession to the Convention on the procedure of joint transit in 2022, is on an agreed schedule and in cooperation with European experts. State Customs Service of Ukraine. https://clck.ru/WBP7g [in Ukrainian].

EFTA countries. (1987, May 20). Convention on a Common transit procedure. Consolidated text. 01987A0813(01)-EN-01.01.2021-007.001. EUR-Lex. http://data.europa.eu/eli/convention/1987/415/2021-01-01

EU4Digital. (2019, December 20). R.3.4-3 Analysis and selection of Eastern partner countries to pilot mechanisms of exchange of information. https://eufordigital.eu/wp-content/uploads/2020/06/eCustoms-Confirmed-list-of-pilot-countries.pdf

European Neighbourhood Instrument (ENI). Programme Statements. DB2021. https://cutt.ly/NmKc9GJ

Galbreath, D., & Malyarenko, T. (2020). Evolving Dynamics of Societal Security and the Potential for Conflict in Eastern Ukraine. Europe-Asia Studies, 72, 2, 209-237. DOI: 10.1080/09668136.2019.1705964

Gayk, A., Naujoke, E., & Kormych, B. (2021). Harmonization of Procedures Is Still Work in Progress. WCO News, 94, 58-61.

Governmental office on Coordination of European and Euro-Atlantic Integration of Secretariat of Cabinet of Ministry of Ukraine, Ministry of Finance of Ukraine, State Fiscal Service of Ukraine. (2018, September 28). Action roadmap on Ukraine’s accession to the EU/EFTA common transit procedure. http://sfs.gov.ua/data/files/229681.pdf [in Ukrainian].

Grainger, A. (2014). Trade and customs compliance costs at ports. Maritime Economics & Logistics, 16, 4, 467-483.

Groenendijk, J.P. (2018). Customs transit procedures: insights from an operator. WCO News, 85. https://mag.wcoomd.org/magazine/wco-news-85/customs-transit-procedures-insights-operator/

Karabulut, E. (2013). Common Transi̇t System and NCTS “Fast, Easy, Secure, Economic”. TRACECA. http://www.traceca-org.org/uploads/media/TURKEY_KIEV_NCTS_1.pdf

Kemoklidze, N., & Wolff, S. (2020). Trade as a confidence-building measure in protracted conflicts: the cases of Georgia and Moldova compared. Eurasian Geography and Economics, 61, 3, 305-332. DOI: 10.1080/15387216.2019.1702567

Miroshnychenko, V. (2021). Simplification of customs procedures: changes needed: Why only one company received the status of an authorized economic operator and what needs to be changed. Ekonomichna Pravda. https://www.epravda.com.ua/columns/2021/07/9/675807/ [in Ukrainian].

Popa, I., Belu, M., Paraschiv, D., & Marinoiu, A. (2015). Best Practices in Customs Procedures. Amfiteatru Economic Journal, 17, 40, 1095-1107. http://hdl.handle.net/10419/168967

Protic, O. (2019). Serbia’s accession to the common transit procedure has become a real game changer. WCO News. https://mag.wcoomd.org/magazine/wco-news-88/serbia-ncts/

The Cabinet of Ministers of Ukraine. (2019, December 27). On approval of the action plan for 2020-2022 to implement the Strategy of Integrated Border Management for the period up to 2025: Order (No. 1409-r). https://zakon.rada.gov.ua/laws/show/1409-2019-р#Text [in Ukrainian].

The Cabinet of Ministers of Ukraine of (2012, May 21) On approval of the list of goods imported into the customs territory of Ukraine and/or moved through the territory of Ukraine under through-passing transit and internal transit subject to the mandatory provision to customs authorities a guarantee of the payment of customs duties: Resolution (No. 461) https://zakon.rada.gov.ua/laws/show/461-2012-п#Text [in Ukrainian].

The Cabinet of Ministers of Ukraine. (2019, July 24). On approval of the Strategy of integrated border management for the period up to 2025: Order (No. 687-r). https://zakon.rada.gov.ua/laws/show/687-2019-р#Text [in Ukrainian].

The Cabinet of Ministers of Ukraine. (2020, August 12). Some issues of granting permission for the use of special transit simplification: Resolution (No. 705). https://zakon.rada.gov.ua/laws/show/705-2020-п#Text [in Ukrainian].

The Cabinet of Ministers of Ukraine. (2020, July 8). Some issues of independent financial intermediaries: Resolution (No. 619). https://zakon.rada.gov.ua/laws/show/619-2020-п#Text [in Ukrainian].

The Cabinet of Ministers of Ukraine. (2020, August 5). Some issues related to the use of customs declarations of certain types: Resolution (No. 681). https://zakon.rada.gov.ua/laws/show/681-2020-п#Text [in Ukrainian].

The European Commission. (2019, December 13). Establishing the work programme relating to the development and deployment of the electronic systems provided for in the Union Customs Code: Implementing Decision (EU) 2019/2151). OJ. 16.12.2019. L135/168. https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32019D2151&from=EN

The European Commission. (2010, November 18). Strategy to prepare certain neighbouring countries for accession to the 1987 EC-EFTA Conventions on a common transit procedure and the simplification of formalities in trade in goods: Communication to the European Parliament and the Council (COM/2010/0668final). EUR-Lex. https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=CELEX:52010DC0668

The European Parliament. (2021, February 11). On the implementation of the EU Association Agreement with Ukraine: Resolution (2019/2202(INI). https://www.europarl.europa.eu/doceo/document/TA-9-2021-0050_EN.pdf

The Government of Ukraine represented by the Ministry of Economic Development and Trade, the European Commission. (2018, December 12). Financing Agreement (ENI/2017/040-426). https://www.me.gov.ua/Files/GetFile?lang=uk-UA&fileId=3240aa95-afd6-475d-89b8-4f03eb7ad368

The Ministry of Finance of Ukraine. (2021, February 12). On approval of the Procedure for customs formalities in the application of the common transit regime using the electronic transit system and the Procedure for admission of vehicles and containers for transportation of goods under customs seals in the common transit regime: Order (No. 86). http://zakon.rada.gov.ua/laws/show/z0249-21#Text [in Ukrainian].

The Ministry of Finance of Ukraine. (2020, December 22). On approval of the Procedure for filling out customs declarations of certain types: Order (No. 795). https://zakon.rada.gov.ua/laws/show/z0076-21#Text [in Ukrainian].

The Ministry of Finance of Ukraine. (2021, February 9). On approval of the Procedure for information exchange on registration of a financial guarantor, its suspension, renewal, cancellation, other information necessary for supervision and control over compliance with the financial guarantor’s conditions of financial guarantor status: Order (No. 69). https://zakon.rada.gov.ua/laws/show/z0444-21#Text [in Ukrainian].

The Ministry of Finance of Ukraine. (2021, April 6). On some issues of ensuring the payment of customs debt in joint transit: Order (No. 200). https://zakon.rada.gov.ua/laws/show/z0648-21#Text [in Ukrainian].

The State Customs Service of Ukraine. (2021). Declaration Rates 06-month 2021. https://customs.gov.ua/web/content/4434?unique=9e72dc6b5e3a926286e85f48e4e1051db217b25a&download=true

The State Customs Service of Ukraine. (2021, January 11). On approval of forms and data sets of electronic messages of the common transit regime: Order (No. 7). https://customs.gov.ua/documents/pro-zatverdzhennia-form-ta-naboru-danikh-elektronnikh-povidomlen-rezhimu-spilnogo-tranzitu-156 [in Ukrainian].

The State Customs Service of Ukraine. (2021, March 5). On approval of the Procedure for the support service for common transit of the State Customs Service: Order (No. 159). https://customs.gov.ua/en/documents/pro-zatverdzhennia-poriadku-roboti-sluzhbi-pidtrimki-z-pitan-spilnogo-tranzitu-derzhmitsluzhbi-200 [in Ukrainian].

The Union Transit Procedure (including TIR) and the Customs Status of Goods. Irish Tax and Customs. https://revenue.ie/en/customs-traders-and-agents/documents/transit-trader-guide.pdf

Transit Guidelines. Route for efficient transit regime. 2017. World Customs Organization. Brussels. https://cutt.ly/wmKvx77

United Nations Economic Commission for Asia and the Pacific. (2016). Guide On Establishing an Automated Customs Transit Transport System. 2016. https://cutt.ly/ymKclFo

Verkhovna Rada of Ukraine. (2018, September 6). On Amending the Customs Code of Ukraine and Some Other Laws of Ukraine Concerning Introduction of The Mechanism Of “Single Window” and Optimization of Application of Control Procedures for the Movement of Goods Across Customs Border of Ukraine: Law of Ukraine. (No. 2530-VIII). https://zakon.rada.gov.ua/laws/show/2530-19#Text [in Ukrainian].

Verkhovna Rada of Ukraine. (2019, September 12). On the regime of common transit and introduction of the national electronic transit system: Law of Ukraine (No. 78-IX). https://zakon.rada.gov.ua/laws/show/78-IX#Text [in Ukrainian].

Vogel, T., Schmidt, A., Lemm, A., & Osterle, H. (2008). Service and Document Based Interoperability for European eCustoms Solutions. Journal of Theoretical and Applied Electronic Commerce Research, 3, 3, 17-37. DOI: 10.4067/S0718-18762008000200003

Wilmott, P. (2007). A Review of The European Commission’s Plans for An Electronic Customs Environment.  World Customs Journal, 1, 1, 11-17. https://cutt.ly/imKvWGx

WTO Committee on Trade Facilitation. (2018, May 2). European Union Customs Transit including arrangements with neighbouring countries under the Common Transit Convention. https://www.wto.org/english/tratop_e/tradfa_e/comm_e/meet26june_eu_nonpaper_2_e.pdf

.

Адреса редакції

м. Одеса, Україна
Фонтанська дорога, 23
Редакція журналу "Lex Portus"

fb

info@lexportus.net.ua