KRA defends new cargo system amidst clearance delays at the port

MOMBASA, Kenya, Jan 26 – The Kenya Revenue Authority has defended the implementation of a new integrated customs management system (iCMS), which cargo importers blame for constant delays while clearing imports at the port of Mombasa.
 
KRA Southern region coordinator Joseph Tonui acknowledged hiccups in the new system implementation but assured that the “minor challenges” will not derail cargo clearance at the port.

KRA’s Customs and Border Control Department, is currently implementing the iCMS meant to replace the 13-year old Simba system.

The new system is supposed to help the authority seal loopholes that have for years allowed tax cheats to thrive and make trade processes seamless.

The system according to Tunoi is a game changer in facilitating trade.

KRA requires importers to submit Import Declaration Forms (IDFs),sea manifests, security bonds, cargo declarations and exemptions through iCMS.

At the port, the piloting stage started with bulk cargo.

iCMS is aimed at achieving full automation of all customs functions and processes in Kenya and East Africa.

KRA said it has been training stakeholders, and continues to offer support for those who don’t understand the new system.

It described iCMS as revolutionary and leverages on modern technologies to deliver a new customer experience in international trade.Some of the key benefits to be delivered by iCMS include faster clearance, dynamic risk management and automated confirmation of exports.
 
“We are confident that the tax agency will meet its targets this financial year. This will be bolstered through embracing the single customs territory that will minimize the transit goods clearance time. This has reduced unnecessary trade barriers and tariffs on transit goods, and ensures faster movement of cargo to the hinterland,” Tonui said.
 
The 2020 records show that KRA managed to collect Sh200 billion, surpassing revenue target of Sh183 billion in the half financial year July 2020-Dec 2020.

The official attributes the revenue collection increment to leveraging on technology.

KRA has been grappling with misses in revenue targets for decades though the adoption of technology is anticipated to change their luck and bolster productivity.

The authority attributes the resilience in the economy to the regional trade partnership between bordering countries.
 
Despite the adverse effects brought about by the COVID-19 pandemic, recovery efforts are said to be undweway.

 This year’s International Customs day theme is Customs bolstering recovery, renewal and resilience for a sustainable supply chain.