FACILITATING INTRA-OIC TRADE:
Improving the Efficiency of the Customs Procedures in the OIC Member States
60
CHAPTER III: CUSTOMS PROCEDURES IN THE OICMEMBER
STATES
Customs administrations are one of the oldest institutions in the OIC Member States.
Like in the other countries, they have been assuming very critical roles such as
collecting revenues, protecting the human life and environment from foreign risks,
facilitating trade and investment are among the most significant roles.
With regards to facilitation of international trade, the customs administrations of many
member states did not perform well until recent years. On the other hand, there are still
some members facing difficulties in improving the efficiency of their customs which
results in less exports and imports.
According to results of the survey of the WEF (2012) major obstacles for import are
mostly customs related. Tariffs and non-tariff barrier are seen as the biggest challenge
followed by the burdensome import procedures. However, for most of the GCC
countries, which have relatively more developed customs formalities, “problems faced
in international transport” is ranked as the biggest obstacle. On the export side, the
results are different. Biggest obstacle faced in the Member States is “identifying
potential markets and buyers” followed by access to trade finance.
During the past two decades, the Customs Administrations in the Member States have
also recognized the importance of trade facilitation. Various kinds of reforms have been
initiated to increase their efficiency with a view to speed up the clearing process of the
cargo subject to import or export. The vision and mission of the Customs
administrations are determined accordingly. Now, one of most important objectives of
the Customs Administrations in the Member States is to facilitate international trade and
contribute to the economic development of their respective countries.
The organogram of the Customs also vary among the countries. Most of the Customs
Administrations are functioning as General Directorate of Customs under the Ministry
of Finance or National Revenue Authority. On the other hand, in some countries they
are called Committee (Uzbekistan, Kazakhstan and Azerbaijan), Department (Brunei
and Malaysia) or Ministry (Turkey).