If your global supply chain involves any importing or exporting with the country of Egypt, then many exciting and potentially beneficial new developments are underway. Egypt’s Minister of Finance has introduced new plans that will digitize as well as evaluate risks in their new and improved system that is used by Customs. Improving the clearance times within the Customs processes as well as creating new programs for payment of all duties will greatly contribute to the improvement of the present trade facilitation in Egypt.
The new plan will provide for the creation of an electronic cargo tracking system that will track goods until the release stage. A risk management system will also be introduced, allowing for the easier release of goods via the green path without an inspection, and in full compliance with existing controls. The new provisions will also improve the settlement of customs disputes by allowing tariff payers to file appeals to an administrative department before proceeding to arbitration.
Other measures within the bill include customs duties exemption for all medical supplies and equipment imported by government and university hospitals. A temporary customs warehouse system will be introduced to store goods at entry points, helping to prevent backlogs from developing at ports. For importers of heavy equipment, machinery, and other capital goods, the new law will introduce options to pay customs fees in installments.
The length of time for some items eligible for temporary customs clearance has also been reduced from four years to two and a half.
The bill provides for setting a ceiling on service fees payable to the Customs Authority, including any fees paid via the recently introduced a one-stop-shop system for customs clearance now operating in various airports and seaports in the country. The new act also will regulate the work of customs clearance offices by setting up new licensing requirements and rules and provisions for penalties in the event of violations.
Egypt has taken great steps with these processes to partner up with businesses and bring the improvement needed for today’s new modern global world. Should you have questions on these changes and improvements to the process, please feel free to reach out to Emad Tawfik, Country Manager for Egypt, directly.