Authored by SARS OSM: Customs Strategy Group DRAFT – FOR DISCUSSION ONLYDRAFT – FOR DISCUSSION ONLY

Modernisation Principles

• Maximise Benefits of Technology • e.g., 100% EDI• Leverage COTS Product

• Elimination of Paper• eFiling (eliminate manual BOE submission)• Document management

• Optimised Processes• Reduced Processing• Improved Turn Around Time

• Robust Stakeholder Involvement • Partnerships, education/outreach, informed compliance

• Enhanced Risk Management and Targeting • 3rd party data• CBCU & Scanner Roll Outs• Closing Key Gaps

• Preferred Trader Programs• Define Trader Benefits (e.g., periodic entry)• Reliance on Post Audit Compliance• AEO Program

Authored by SARS OSM: Customs Strategy Group DRAFT – FOR DISCUSSION ONLYDRAFT – FOR DISCUSSION ONLY

Desired Outcomes

• Step change benefits will be realised both Internal to SARS and also Externally to trade stakeholders.

– Internal Benefits will include: paper reduction, increased human capacity and efficiency, reduced costs and higher trade compliance levels

– External Benefits to traders will include: faster turn around time, elimination of paper and documentation costs and higher levels of customer service. E.g., SARS export pilot in PE costs Volkswagen R 1750 per container exported

• Maximum step change will only be realised and quantifiable if modernisation is holistic:– People, Process & Technology– End-to-End focused (e.g., from registration to release/payment/acquittal)

• Benefits are cumulative across and in between processes (e.g., registration + manifest + assessment + acquittal = total benefits

• Perhaps the most significant benefits cannot be calculated – increase in enforcement capability, drug seizures, illicit goods (CITES, Abalone), revenue non-compliance (VAT fraud etc.)