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Facilitating Trade:

Improving Customs Risk Management Systems

In the OIC Member States

95

Figure 32: CRM Performances according to the economic development of the OIC MS

Author’s compilation

4.3.1.7

Performance linkage

between CRM and Doing Business Ranking

After assessing patterns with regards to economic performance, geography, we looked at the

Doing Business Ranking data. As mentioned in Chapte

r 2,

the use of CRM is expected to deliver

benefits to traders regarding reducing costs and times for import and export. The analysis was

performed at the 2017 data to identify the level of Trading Across Border performance of OIC

MS and relate it to the level of CRM performance. The Trading Across Border measures time and

costs required for import and export of goods. It has to be noted that as multiple factors

influence the Trading Across Border indicator, a statistical analysis would therefore not yield

any significant results or the results can not at all be interpreted as meaning causality.

OIC MS performance varies from Albania (ranked 24

th

) to Yemen ranked 189

th

. In general, OIC

MS occupy a low WB Trading Across Border rank. By diving the OIC MS according to their

placement in the ranking, 16 are good or top performers, 19 are medium performers and 22 are

low performers. The six top performers are Albania Jordan, Malaysia, Morocco, Oman, and

Turkey. In fact, when looking at the time and costs indicators of the Trade Across Border

ranking, it appears that OIC MS suffer in particular from high costs and high time at import. OIC

MS average costs to import are 26 times higher than average costs of EU MS, approximately 2

times higher than ASEAN MS. The time to import, an average of 211 hours is higher than for

ASEANMS 148.5, but it is the gap to top performers such as the EUMS - 2,8 hours that is striking.

The following analysis combines the CRM performances data with the Doing Business Ranking

2017 data – see Figure 33.

3 or 5 % of the OIC MS are in the highest rank 1-49; one CA does not have a CRM and 2

CAs are with Medium CRM performances;

13 or 23% of the OIC MS are in the high-rank 50-99; one CA does not have implemented

a CRM, one has with Basic CRM performances, 3 CAs are with Medium CRM

performances, 3 have an Advances CRM performances, and five are with Full CRM

performances ;

19 or 33% of the OIC MS are in the low-rank 100-149; 3 CAs do not have implemented

CRM, 7 CAs are with Medium CRM performances, one has an Advances CRM

performance, and eight are with Full CRM performances;

And the biggest group, 22 or 39% of the OIC MS are in the lowest rank 150-190; 4 CAs

do not have implemented CRM, one with Basic CRM performances, 7 CAs are with

2

0

10

2

2

4

2

6

1

5

3

0

8

0

4

0

1

1

6

0

5

10

15

20

25

No CRM

Basic CRM

Medium CRM

performances

Advances CRM

Performances

Full CRM Performances

Low income

Lower middle

income

Upper middle

income

High income