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June 2011Customs Trade Operations – Release 2

CUSTOMS TRADE OPERATIONS

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INTRODUCTION

• Enhancement of CRE to detect mismatches between declarations and manifests.

• Declaration & inspection cases will be initiated and finalised on Service Manager.

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LEARNING OUTCOMES

• Outline the Cargo and Goods Declaration process

• Map the new Customs Inspection conceptual design process

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CARGO DECLARATION

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INTERNATIONAL SUPPLY CHAIN

Manufacturer/

Shipper Customs Port Operator

Maritime Carrier

Port Operator Customs Buyer

Customs Broker De-Consolidator

Transport Operator (Inland)

Bank

Buying AgentTransport Operator

(Inland) Freight Forwarder

Consolidator NVOCCBank

Country of Origin Country of Destination

IMO ISPS

US CSI

WCO INTERGRATED SUPPLY CHAIN

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Objective of trade work group

Is a report of all the cargo contracted for carriage by a carrier, a master cargocarrier or a cargo carrier for discharge at a port in South Africa and containingprescribed information

Slide 6

What is a manifest?

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What is the purpose of ACM?

• Ensuring that all cargo discharged is accounted for by a valid customs process.

• Accounting for all cargo discharged or unpacked by means of outturn reports and identifying any shortages or excesses against manifested or declared quantities.

• Acquitting manifests electronically against import declarations.

• Establishing an efficient paperless environment and eradicating laborious manual tasks.

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INTERNATIONAL SEA CARRIER

International Carrier - An entity who owns, operates, rents or charters a vessel or vehicle, any such person who concludes a contract of carriage with a shipper, a cargo carrier or a master cargo carrier for the carriage of the cargo to a port or other place of discharge in the Republic, and any agent of such a person.

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NVOCC/FREIGHT FORWARDERCONTAINER TERMINAL OPERATOR

Freight Forwarder – An entity which provides a full range of services including: tracking inland transportation, preparation of shipping and export documents,

warehousing, booking cargo space, negotiating freight charges, freight consolidation, cargo insurance, and filing of insurance claims. Freight

forwarders usually ship under their own bills of lading or air waybills (called house bill of lading or house air waybill) and their agents or associates at the

destination (overseas freight forwarders) provide document delivery, deconsolidation, and freight collection services.

Non-Vessel Operating Common Carriers (NVOCC)- Entities who own their own containers but don't own and operate vessels. NVOCCs buy container space in vessels from vessel operators and in turn will sell sea freight service in terms of Full Container Load[FCL]/Less than Container Load [LCL] to their customers.

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BULK & WHARF OPERATOR

• Bulk, Break-Bulk Operators and Private Wharf Operators -Whether a person, partnership or corporation, having responsibility and physical control over the operation of a terminal. The terminal operator may be the owner, or it may be a person or business who contracts with the owner to carry out these duties.

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CONTAINER DEPOT OPERATOR

Container Depot Operator- an entity who consolidates, or deconsolidates LCL and FCL groupage containerised consignments.

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Type of cargo reports to be submitted for Sea Freight

ACM

Arrival Report3 hours after

arrival

Manifest72 hours prior to

arrival

Empty Container List72 hours prior to

arrival

Schedule Report

10 days before arrival

Outturn Report

Gate-in 1 hour

Gate-out 1 hour after

removal

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Types of outturn Report – Sea Freight

Instances

CARGO REPORTERS

TIME PERIOD

Wharf

Container Terminal Depot

24 hours after the vessel has been fully discharges

Discharge list of containers landed

Load list of containerised

Break Bulk and Bulk cargo outturn

report

Depot cargo outturn report

Vessel outturn report

24 hours after the vessel has been fully loaded

Containerised

3 days after last unpack of container from specific voyage

Non-containerised

7 days after discharges of vessel

7 days after discharge of vessel

24 hours after the

container unpacked

Excess cargo

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GOODS DECLARATION

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Customs Inspections High Level Conceptual DesignS

ys

tem

Ge

ne

rate

dC

en

tra

lis

ed

Hu

bs

De

-ce

ntr

alis

ed

Submission of

DeclarationRisk Assessment

Customs

Control?

Request

Supporting

Documents

(High and

Medium Risk)

Yes

Release

(Low Risk)

No

Match Supporting

Documents to

Declaration

Ranked &

Prioritised Alerts

Get Next Pool

Auto

Release?

Document

Inspection

(Documentary

Inspector)

No

Technical Review

(Team Leader)

Physical

Control?

Inspection

Instruction to

Client

(Booking System)

Yes

Cargo Arrives at

Depot; Booking is

made

Inspection and

Report

(CBCU Inspector)

Release?

Inspection

FinalisationTechnical Review

(Team Leader)Finalise Case

Assignment of

Inspection Cases

(CBCU Team

Leader)

Fie

ld H

ub

s

Inspection

Finalisation

(Adjustment

Officer)Get Next Pool

Inspection

Finalisation?

Yes

Release

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Customs Clearance

• Amendments to Cross border (CCA) clearances will, as of 10 June 2011, be administered via a SAD504 in respect of import clearances and the SAD554 in respect of export clearances. The SAD503 is withdrawn from use.

• Refund applications (DA66) lodged in respect of refunds and drawbacks will follow the current assessment and approval processes. Traders should take note that refund amendments (vouchers of correction) can also be submitted via the EDI channel for processing by Customs on the new system.

• Provisional payments (DA70) in respect of ‘surety’, ‘penalty’, and ‘forfeiture’ will follow the current assessment, approval and payment process.

• Processing of all other non-declaration financial documents will follow the current processes.

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Supporting Documents

• Under the new release, when a customs broker or trader receives an electronic customs status response message with the code ‘13’, via the EDI channel, this will imply that Customs requires the declarant to submit supporting documents for a desk audit.

• The system will automatically send our a reminder after 24 hours as an escalation message under code 31. If officers require additional documents the same code will reflect but the message should be more specific as to what is required.

• The e@syScan package should be used by a customs clearing agent, importer or exporter to directly upload supporting documents as required by Customs.

• In the case of bulk scanning this office is in the process to set out a procedure for this and you will be notified of this in due course.

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Supporting Documents (contd.)

• For traders/declarants who operate electronically via the EDI channel, and who do not have access to the e@syScan software, they will be able to deliver supporting documents to their nearest Customs branch office. Initially, the branch offices at Durban, Cape Town, Johannesburg, and Oliver Tambo International Airport will provide dedicated scanning facilities where the supplied documents will be uploaded and then returned to the trader.

• In the case of additional document required the client can scan documents e.g. literature at any stage during the process.

• For remaining Customs offices, the current manual procedure will apply.

• Please note: Clearing Agents and Traders are not to submit or bring supporting documents into Customs offices unless requested or prior approval has been granted.

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Cargo Inspections

• SARS will introduce a new inspection procedure from 13 June 2011. It will be piloted at its four main category A offices – Johannesburg, Durban, Cape Town and ORTIA – followed by the Category B office to role out on 5 August and the category C offices over the weeks following (date still to be announced).

• If an inspection is required, SARS will notify the trader electronically to make a booking in the same manner they do today. The trader then has up to four days to make a booking for the cargo to be inspected.

• The new procedure is more proactive than in the past as there was no system within SARS to follow up on bookings and cargo would remain unreleased.

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Cargo Inspection – Booking process

• Step 1: A Document Inspector indicates electronically that an inspection is needed on a specific case.

• Step 2: The SARS system sends an electronic request to the trader to make an inspection booking. The trader has up to four days to make the booking using the same process per port as they are using today.

• Step 3: If a booking is not made after four days, a reminder is sent to the trader via EDI. If they are not an electronic trader, then they will be notified via a Customs branch.

• Step 4: When a booking is made using the same method as used in the past, this will be captured electronically on to the new SARS system called Service Manager

• While some steps will now be done electronically, other steps remain the same. Traders will use the same process they are using today to make bookings.

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Cargo Inspection - Finalisation

• Another difference for traders is that they will no longer receive a DA 74 (inspection release note) from the four branches that are going live with the new inspection process. This has been replaced with the existing release note as the only form of release.

• In the past, inspectors manually completed a DA 74 and gave it to the agent. Under the new procedure, the inspector will go back to the office, write a report on his findings which will then be captured on Service Manager. It will then go to a Finalisation Officer who will make a decision based on the report. The final outcome of the case will then be sent to the trader via EDI (if electronic) or the Customs branch (if manual) in the form of a release note.

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Adjustments – agent request for amendment.

• Note should be taken that in the event of a agent requesting a VOC the agent should not reflect any case number on the VOC when submitted to the office. The system will send you an electronic message to notify you that the VOC has been received and a case number will be reflected.

• You will use this case number to submit your supporting documents.

• The draft VOC and a letter of explanation needs to be submitted as part of your supporting documents giving a detailed explanation as to why the amendment is required.

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Important Branch Contact details

• All correspondence should be directed through agents to the e-mail address CargoManagement@sars.gov.za.

• Traders can also track the progress of their case through the SARS call centre (0800 00 7277) or at a Customs branch where Customs staff members can check the status on a Service Manager.

• Please note that you should always have your case number, LRN number or Bill of entry number ready when requesting assistance via any method of communication. (phone, e-mail or walk in)

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E- Mail

• The following has to be adhered to when mails are being sent for queries to CargoManagement@sars.gov.za .

1. In the subject field the following needs to be reflected:

a. Import or Export

b. Case number or LRN number

c. Description of query – e.g. Awaiting exam report, no EDI message within t.o.t., Embargo release, systems error, VOC rejection, ect.

Subject: “ Imports, Case 51772045, Embargo release”

2. Do not attach any document to mail.

3. Do not send screen dumps.

4. Send to CargoManagement@sars.gov.za only DO NOT CC ANYONE ELLS.

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Escalation Protocol

• If no EDI response has been received form the system within 24 hrs you can request for the entry to be tracked and traced form the call centre on 0800007277.

• If there is a query on your case you can send the request to CargoManagement@sars.gov.za for assistance.

• If cargo management has not replied to your query within 24 hours you can escalate your query to Velani Nzimande on Vnzimande@sars.gov.za or 031 3287007 or 08305554718.

• Should no response be received from Velani within 4 hrs you may then escalate to Thembi Msani (Interim Branch Manager) on tmsani@sars.gov.za or 031 3287855 or 0827804267.

• Should no response be received from Thembi within 2 hrs you may then escalate to Ashika Pillay apillay@sars.gov.za on 031 3287442 or 0824624177

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Queries

• In respect of service manager technical problems you can contact

Trevor Michael (tmichael@sars.gov.za) or Terry Burger

(tburger2@sars.gov.za who will log your call with H/O.

•Alternative you should contact your service provider to assist in logging

a call.

•Requests for reprints must be sent to dbncustomshelp@sars.gov.za

only please do not send to T. Meyer any more as she will not respond.

•Cargo Exams queries can be directed to Chrystal Marescia on 031

3676153 or 0835553553.

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Customs Durban Managers • Branch Manager (Acting) – Thembi Msani

• Port commander CBCU – Seelan Govender

• Group Manager Cargo – Velani Nzimande.

• Group Manager Operation support – Nomvuyiseko Gwangqa

• Group Manager PCI – Kesie Maistry

• Group Manager client service (Acting) – Shireen Siva Subramonian

• Team Leader Documentary Inspection – Imports and Exports Jacob Shangase and Therese Burger.

• Team Leader Physical Inspection reports – Sunil Sing

• Team Leader Case Finalisation – Siyethemba Chiliza

• Team Leader Adjustments – Sharmaine Naicker.

• Team Leader Revenue admin – Zarina Taylor

• Team Leader Sureties (Acting) – Albertina Sawoni

• Team Leader Data & Admin – Bongi Luthuli

• Team Leader Manifest (acting) – Nkululeko Mjoka

• Team Leader Refunds & Acquittals – Nareesha Kallicharan

• Team Leader CBCU cargo Inspections – Chrystal Marescia

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Acting Senior Manager

Thembi Msani

Tel : (031) 328 7855

Cell: 082 780 4267

E-mail: tmsani@sars.gov.za

Acting Group Manager : Client Service

Shireen Siva Subramonian

Tel: (031) 328 7863

Cell : 082 557 4095

E-mail: ssubramonian@sars.gov.za

Customercomplaints@sars.gov.za

Group Manager: Operational Support

Nomvuyiseko Gwangqa

Tel : (031) 328 7741

Cell : 083 555 4723

E-mail: ngwangqa@sars.gov.za

dbncustomshelp@sars.gov.za

Group Manager : Cargo Processing

Velani Nzimande

Tel : (031) 328 7007

Cell : 083 555 4718

E-mail: vnzimande@sars.gov.za

cargomanagement@sars.gov.za

Acting Personal Assistant

Shongani Ngubane

Tel : (031) 328 7856

E-mail: sngubane@sars.gov.za

Statistician

Owen Ngidi

Tel : (031) 328 7518

Cell : 082 557 4158

E-mail : Ongidi@sars.gov.za

Operational Specialist

Robert Sandla

Tel : (031)328 7439

Cell : 083 555 4597

E-mail : rsandla@sars.gov.za

Legal Specialists:

Yolandi Nieuwenhuis

Tel : (031) 328 7405

Cell : 072 080 8239

E-mail : ynieuwenhuis@sars.gov.za

Operational Specialist

Lois Crawley

Tel : (031) 328 7427

Cell : 082 465 3642

E-mail : lcrawley@sars.gov.za

Operational Specialist

Wayne Tonkin

Tel : (031) 328 7442

Cell : 082 557 4107

E-mail : WTonkin@sars.gov.za

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Acting Group Manager : Client ServiceShireen Siva Subramonian

Tel : (031) 328 7738Cell: 082 557 4095

E-mail : ssubramonian@sars.gov.zaCustomercomplaints@sars.gov.za

Team Leader : Revenue AdminZarina Taylor

Tel : (031) 328 7740Cell : 082 462 7496

E-mail : ztaylor@sars.gov.za

Acting Team Leader : SuretiesAlbertina Sawoni

Tel : (031) 328 7069E-mail: asawoni@sars.gov.za

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Group Manager : Nomvuyiseko GwangqaTel : (031) 328 7741Cell: 083 555 4723

E-mail : ngwangqa@sars.gov.zadbncustomshelp@sars.gov.za

Team Leader : Data Capturer & AdminBongi Luthuli

Tel : (031) 328 7775Cell : 082 467 8342

E-mail : bluthuli@sars.gov.za

Acting Team Leader : Manifest

Nkululeko A. MjokaTel : (031) 328 7720

E-mail: nmjoka@sars.gov.za

Team Leader : Refunds & AcquittalsNareesha KallicharanTel : (031) 328 7707Cell : 082 467 4513

E-mail : nkallicharan@sars.gov.za

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Group Manager : Velani NzimandeTel : (031) 328 7007Cell: 083 555 4718

E-mail : vnzimande@sars.gov.zacargomanagement@sars.gov.za

Team Leader : AdjustmentSharmaine NaickerTel : (031) 328 7350

E-mail : snaicker@sars.gov.za

Team Leader : Document ary Inspection

Theresa Terry BurgerTel : (031) 328 7310Cell : 082 464 8960

E-mail: tburger2@sars.gov.za

Team Leader : Document ary InspectionJacob Shangase

Tel : (031) 328 7814Cell : 083 555 4594

E-mail : jshangase@sars.gov.za

Team Leader : Finalisation

Siyethemba Chiliza

Tel : (031) 328 7765

E –mail schiliza@sars.gov.za

Team Leader : Physical Inspection

Sunil Sing

Tel : (031) 328 7352

Cell : 082 462 7517

E-mail : ssingh4@sars.gov.za