Foreign Trade and Information Systems

Report Submitted To: Professor Ashim Raj Singla Indian Institute of Foreign Trade New Delhi Report Submitted By: Naveen Kumar, Roll No 27, PGDIBS 2011 -12 & Ajay Kumar Jha, Roll No 05, PGDIBS 2011-12 Submitted on : 29 May, 2012

1|Page

Table of Contents

Information Technology and International Trade ........................ 2 1. Report Summary ................................................................. 2 2. Introduction.......................................................................... 2 3. International Trade and the Need for an IT Solution ........... 2 4. Detailed Discussion ............................................................. 7 5. Usages of Information Systems in foreign trade transaction in India ...................................................................................... 7 6. Analysis and Findings ....................................................... 18 7. Conclusion......................................................................... 21 8. References: ....................................................................... 22

2|Page

INFORMATION TECHNOLOGY AND INTERNATIONAL TRADE 1. REPORT SUMMARY

International Trade is exchange of capital goods, and services across international borders or territories. The purchase or sale of goods between two or more countries requires the connection and use of a complex set of service operations. This report summarizes the requirements for international trade and outlines how the applications of various Information systems enhance and facilitate foreign trade operations, execution and procedural mechanism.

2. INTRODUCTION
In 2001, international trade transactions accounted for a market of more than $40 trillion. In simplest terms, international transactions are defined as the processes and physical actions required to convey ownership of goods between sellers and buyers who reside in different countries. These actions and processes, however, are anything but simple. Due to the lack of a standardized international electronic system, exchanging even the simplest of everyday items between nations requires a highly complex set of operations that involve multiple companies and organizations all within a framework of different languages, currencies and trade laws. As a result, international transactions today are extremely lengthy, highly expensive, and often lack security. Report presents how Information systems offer critically important benefits to international buyers and sellers: simplification, security and savings of both time and money.

3. INTERNATIONAL TRADE AND THE NEED FOR AN IT SOLUTION

In the early 1990s, DE technologies founder Ed Pool grew frustrated by the significant challenges his small business faced when trying to put together international trade deals in Russia. Such transactions required a complex set of service operations, including ordering the goods, transporting the goods between buyer and seller, guaranteeing payment, insuring the goods in case of loss or damage, and preparing and filing the appropriate documents with governments, carriers and banks. By the time the overwhelming amount of information required to give pricing quotation was collected, currency rates had changed and the entire process had to start over. Mr. Pool estimates 1000s of man-hours were lost in that volatile and hyper inflating environment. Ten years later, this complexity has not changed and despite the rise of the Internet, a standardized electronic system for international trade still does not exist. International transactions continue to require a multitude of complicated steps, processes and documents, including: Purchase orders Pro forma invoices Commercial invoices Letters of credit

3|Page Ocean and airway bills of lading Calculation of air, sea and land transportation costs Applicable taxes Import/export duties Shipping tariffs Transfers of ownership License/handling fees Currency conversion Language translation Evidence of ownership Government regulatory compliance

This complex and antiquated system has created a layering of vertical service industries representing billions of dollars in wasted resources and time inefficiencies, and presents major, if not impossible, barriers for many individuals and businesses. Overall, a typical international transaction including service, carriage and payments fees - can cost between 5 and 40 percent of the total transaction cost and requires 20 or more forms and 60 days to complete. Historically, information technology has played at best a small and fragmented role in international transactions. To achieve real-time, secure, efficient and profitable transactions, todays global trade market requires a comprehensive software and information dissemination service. DE Technologies has met this need with the creation of the worlds first standardized international trade platform, BOES Applying Information Technology to International Trade: The Patented BOES System E-commerce offers a unique ability to reduce the current complexities of international trade down to the most basic functions required to maintain supply chain distribution. Computer-tocomputer operations will allow a shift in the control of product distribution to move to the appropriate organization the original producer. A fully integrated, complex software system used to export or import goods between countries, the patented BOES system is the first single, integrated process to electronically manage an international trade transaction. BOES allows merchants to conduct a seamless international transaction by creating and filing the necessary electronic documents (in any language or currency); monitoring and tracking all transaction steps; calculating all applicable freight costs, taxes and duties; and even performing sophisticated financial arrangements. In total, the patented BOES system can reduce the costs associated with an international transaction by as much as 30 percent. BOES enables multi-national businesses and entrepreneurs to export and import products from any country via the Internet or Intranets. The economic efficiencies of this patented businessto-business (B2B) and consumer-to-consumer (B2C) technology also allows small and mediumsize companies to effectively compete in the international marketplace and significantly expand their market share.

4|Page The following example of a typical automobile transaction clearly demonstrates the complexity that a buyer or seller or combination of the two must go through in order to successfully execute the transaction, as well as the efficiencies that can be realized through an e-commerce solution. This example is for illustration purposes only and does vary depending upon the country of origin and country of importation. Step Item description 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Price FOB factory Loading and Handling Destination Insurance Destination Freight Cost FOB Dealer Location Dealer Markup Dealer Preparation Price FOB Dealer Location Transport and Insurance to Exporters Location Price FOB Exporters Location Exporter Markup Export Preparation Export Packaging, 20" containerized Title Documents preparation, SED etc. Freight Forwarder and documentation fees Price Ex-works, Exporters Location (EXW) Inland Freight to Port of Norfolk, VA Insurance on EXW value to transport to pier. Traditional E-com direct to consumer

$15,000.00 $15,000.00 150.00 25.00 450.00 15,625.00 3,000.00 250.00 18,875.00 125.00 19,000.00 2,000.00 500.00 1,500.00 75.00 200.00 500.00 1,500.00 75.00 35.00 150.00 25.00

$23,275.00 $17,285.00 450.00 75.00 450.00 75.00

5|Page

19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41

Price Free Carrier Port of Norfolk, VA (FCA) Gate Charges Port Charges Warfage Stevedoring transport to alongside vessel Price - Free Alongside Ship, Norfolk, VA (FAS) Cargo Loading and Securing Extra Length charges Heavy Lift Charges Price (FOB Vessel) Harbor Maintenance Fee (HMF) 0.125% SED Ocean Carriage Charges Bunker Surcharges War Risk Surcharges Cost and Freight Rotterdam (C&F) Ocean Transport insurance 110% C&F Value Cost, Insurance and Freight Rotterdam (CIF) Port of Rotterdam Charges Pier Off Loading Charges Stevedoring and Terminal Transport Pre-import Clearance Warehousing Delivered Duty Unpaid Rotterdam, (DDU)

23,800.00 25.00 150.00 200.00 75.00 24,250.00 100.00 N/A N/A 24,350.00 29.00 750.00 50.00 N/A 25,179.00 50.00 25,229.00 75.00 150.00 75.00 100.00 25,629.00

17,810.00 25.00 150.00 200.00 75.00 18,260.00 100.00

18,360.00 22.00 750.00 50.00

19,182.00 50.00 19,232.00 75.00 150.00 75.00 100.00 19,632.00 1,919.00

Import duties based of Tariff Classification of Goods, 2,562.00

6|Page

class 8703.21.10 (conventional) = 10.0% 42 Delivered Duty Paid, VAT unpaid, Luxury Tax Unpaid Value Added Tax (VAT) 17.5% of DDU plus Import Duties Luxury Tax, 7% of DDP Delivered Duty Paid Rotterdam (DDP) Inland Freight and Handling to buyers location Price FOB buyers location (FOB) BOES system data base price in U.S. Dollars System price shown to buyer in Euros + 2% hedge factor 28,191.00 21,551.00

43 44 45 46 47 48 49

4,933.00 1,973.00 35,097.00 600.00 35,697.00

3,765.00 1,506.00 26,822.00 600.00 27,422.00

$ 35,697.00 $ 27,422.00 37.074,00 28.480,00

BUYERS TRANSACTION COSTS A 30 days lost interest in Letter of Credit Account at 10% rate of return per annum. 3570/12 3 days lost interest in Letter of Credit Account at 10% rate of return per annum 2742/365*3 Letter Credit Cost at 3.0% 35,697 x 0.03 Letter of Credit Cost "Digital" at 0.9% 27,422.00 x 0.009 1071 298

23

247

SELLERS INTEREST PENALTY OR LOSS A Estimated earned interest loss including profit Based on 10% interest bearing account.3570/12 298

7|Page

Estimated earned interest loss including profit Based on 10% interest bearing account 2742/365*3

23

38.044,00 EUR or Total Transactional Costs to All Parties $ 37,364.00 USD 28.219,00 EUR or Total E-Transactional Costs to All Parties $ 27,715.00 USD

4. DETAILED DISCUSSION
There was a time when only a few corporations, governments and institutions had the resources to access and compile the world trade data. The sheer volume of information available from multiple sources quickly became overwhelming and often fraught with inaccuracies. It was nearly impossible for marketers to obtain a valid perspective from trade data to analyze world competitors, find target markets and identify potential markets for diversification. The data existed: it just didnt exist in an intelligent and easy-to-use format. With the globalization of world markets, trade data analysis became increasingly important to develop an understanding of world trade. With this perspective and background, let us discuss the usage of Information systems in foreign trade perspective in Indian context.

5. USAGES OF INFORMATION SYSTEMS IN FOREIGN TRADE TRANSACTION IN INDIA

National Centre for Trade Information (NCTI) was set up in 1995 under the aegis of Ministry of Commerce with a view to create an institutional mechanism for collection and dissemination of trade data and improving Business information services to the business community, especially small and medium enterprises. NCTI is a Ministry of Commerce, Govt. of India recognized Trade Point-India under World Trade Point Federation (WTPF) initiated through the Trade Efficiency Programme of United Nations Conference on Trade & Development (UNCTAD). NCTI is the only Operational Trade Point in India and is also the recognized Focal Point of TRade Analysis and INformation System (TRAINS) of UNTPDC. Foreign Trade involves a lot of trade documents and Electronic Data Interchange supports paperless transfer of documentation and data amongst organizations through the use of Computer networks.

8|Page Advantages of EDI: 1. Reduction in documentation costs 2. Speed of execution 3. Most current database maintenance 4.Speedier and efficient movement of cargo 5.Cost reduction and savings 6.Faster information flow 7.Improved accuracy 8.Reduced paperwork and intervention ASYCUDA : ASYCUDA is a computerized customs management system which covers most foreign trade procedures. The system handles manifests and customs declarations, accounting procedures, transit and suspense procedures.

ASYCUDA generates trade data that can be used for statistical economic analysis. The ASYCUDA software is developed in Geneva by UNCTAD. It operates on micro in a client server environment under UNIX and DOS operating systems and RDBMS Software. In 2004, there were more than 150 operational project with expenditures exceeding 7 million US $. It is the largest technical corporation programme of UNCTAD covering 80 countries and 4 regional projects. Currently there are three different generations of ASYCADA in use: ASYCUDA 2.7, ASYCUDA++ and ASYCUDA World. ASYCUDA takes into account the international codes and standards developed by ISO (International Organization for Standardization), WCO (World Customs Organization) and the United Nations. ASYCUDA can be configured to suit the national characteristics of individual Customs regimes, National Tariff, and legislation. ASYCUDA provides for Electronic Data Interchange (EDI) between traders and Customs using EDIFACT (Electronic Data Interchange for Administration, Commerce and Transport) rules.

9|Page

EDI Links ups: A country implanting EDI reduces time at warehouses, docks and airports and save tremendous costs. A successful EDI links up to Customs Port and Rail Authorities Telecommunications Insurance Banks Other statutory bodies Port Operators (container terminals) Shipping lines Customs brokers / forwarders Road transport companies Importers / Exporters

10 | P a g e

Indian Custom EDI System (ICES)

Objectives:
The main objectives set for Indian Customs EDI System by the Customs were: Respond more quickly to the needs of the trade Computerization of customs related functions including import/export, general manifest control, ex-bond clearance of warehoused goods, goods imported against export promotion schemes, monitoring of export promotion schemes. Reduce interaction of the trade with Government agencies Provide retrieval of information from other custom locations to have uniformity in assessment and valuation Provide management information system for policy making and its effective revenue and pendency monitoring and

Provide quick and correct information on import/export statistics to Director General of Commercial Intelligence and Statistics The guiding principles for the officials of Customs and National Informatics Centre while designing the ICES system were: Facilitation: While ensuring proper enforcement of Customs laws and regulations, Customs Administration should strive to improve facilitation of Customs clearance procedures. Accountability: Customs Administration should be accountable for their actions through a transparent and easily accessible process of Administration and/or judicial review. Consistency: Customs laws, regulations, administrative guidelines and procedures should be applied in a uniform manner. Transparency: Customs laws, regulations, administrative guidelines and procedures should be publicly available in a prompt and easily accessible manner. Simplification: Customs laws, regulations, administrative guidelines and procedures should be simplified to the extent possible so that Customs clearance can proceed without undue burden. Overview The objective was to roll out systems and processes that improve the way the business is conducted. ICES system is not only a technology solution but it transformed the way business was done. ICES comprises of two main sub systems namely, India Customs EDI system/Imports (ICES/I) and Indian Customs EDI System/Export (ICES/E).ICES/I for processing of Bill of Entry and ICES/E for processing of Shipping Bills.

11 | P a g e The Exporters, Importers and Custom House Agents (CHAs) transmit Bills of Entry, Shipping Bills and other related documents such as Invoice, Packing List over dial-up links to the NICNET EDI Server which, in turn, submit them to Customs computer system for clearance. The trading community is not required to travel physically to the Custom House for submitting the documents except at the last stage for physical examination of goods, and for taking delivery. The Custom House Agents use the Remote EDI System (RES) which is a standalone software package for preparation of Bill of Entry and Shipping Bills and other related documents. It has been developed by NIC as part of Indian Customs EDI System. The documents transmitted electronically over NICNET are submitted to Customs Computer System for further processing. ICES/I consist of the following main modules:

Import General Manifest Bonds Service Centre License Appraising Baggage Audit Systems Manager Assistant Commissioner MIS Cash Ex-Bond Examination Transshipment DEPB/DEEC/100% EOU Import General Manifest

ICES/E consist the following modules: Service Centre Examination Duty Drawback Assistant Commissioner Additional Commissioner Preventive Officer License Export General Manifest Systems Manager MIS

Main features of the system are:

12 | P a g e Security ICES provides for security at all levels of access to the system. At the Service Centre. Security features are implemented at module level. System keeps track of any transaction carried by an user. Help System includes powerful help features which can be invoked by the Assessing Officers from their respective screens to facilitate their assessment work. Management and Control ICES allows the Collector to find out the status of any document in the system. Controlling Officers can monitor the progress of the Customs Officers in processing the documents and provide help in expedite the process. Number of documents cleared at each stage can also be monitored.

Benefits
Improved customs clearance and inspection procedures are generating faster, more certain and, ultimately, less costly trade transactions. Computerization of customs procedures resulted in time and cost savings due to the reduced need to prepare, handle, store and deliver customs documentation. Improvements in communications, access to information and the transparency of customs processes and appeals increased the level of certainty and fairness. A good compliance track record resulted in faster clearance and less intrusive verification techniques. Importers know the amount of duties and taxes owing as a result of the clear and consistent rules. More efficient clearance will produce time and cost savings and provide the certainty required to exploit modern business practices such as just-in-time inventory. Exporters benefited from having similar customs rules and procedures apply across the international market, thus increasing market access opportunities, while reducing costs and complexity. Customs Brokers have the opportunity to refocus their services from dealing with forms and complexity to using their expertise and knowledge to bring a new range of professional services to clients operating in an expanding and evolving trade market. Carriers benefit from faster service, lower costs and the ability to use their equipment to its utmost capacity rather than having it delayed at Customs. Operations Fully automated process with little or no intervention by either party providing a virtual on-line scenario

13 | P a g e

Declarations can be accepted round the clock automatically, resulting in maximum productivity Quicker retrieval of cargo through reduction of clearance times Reduction in manual administrative processes resulting in fewer errors and no duplication Harmonized business relationships with other bodies such as Ports, DGFT, Airlines, Container Depots etc. Time Saving Notification of releases are speeded up as a result of the electronic releases being generated automatically No capturing of the release required by the client Communication errors reported and communicated electronically to client Data Accuracy Electronic messaging has the proven advantage of minimizing data capture which in turn ensures less errors and quicker releases The accuracy of data received can be incorporated into clients Track and Trace Cost Effectiveness Cost on processing the documents has come down drastically. Security and Risk Management Security is very vital when submitting information electronically. To compound this basic assumption, the risks of diminished value in the real world are nothing compared to the risks of loss in the virtual world. Customs in particular face issues such as fraud and theft in their standard business practice and they realize the need for a secure system. Scheduled auditing practices within the system ensured that to ensure that security is being implemented effectively customs have made sure that the security requirements. The client can be sure that their message information will not be tampered with. Cargo Handling Electronic clearances provide quicker cargo releases, resulting in more efficient deliveries

14 | P a g e

Technical
Indian Customs EDI system is developed for better management of Custom Activities. The existing processes were analyzed in depth for re-engineering and improvement. The main achievements of the system are simplified and harmonized procedures which has not only provided efficient and reliable environment to the customs but also to the business communities and other agencies involved in the trade. The business processes of the customs and the trading partners along with their boundaries and interfaces were analyzed in depth and reengineered from the viewpoint of higher efficiency Customer satisfaction Lower Cost Facilitation Lower inventory level Reduced turnaround time The main objectives while re-engineering the procedures were: All the agencies of the government should present a single face to the user Data once captured should be available for all the government agencies The Importer/Exporter or their agent should interact with only one agency Gradual transition from scrutiny of paper documents System Appraisal for select import goods Minimized export appraisement Examination waiver - Green Channel Electronic credit of drawback Reduced documentation for export cargo The Indian Customs EDI application is running on Sun Solaris Operating System (V.2.5/2.6) and the database is Oracle (V.7.1/7.3). Each Customs station have stand-alone servers for running the ICES application. The data at present is locally stored on these servers.

Functional
A. Document Preparation and submission Indian Customs EDI System can accept the documents from the trading partners in the Electronic Format. The documents can be prepared and submitted using either the

15 | P a g e Electronic Data Interchange or Service Centre. The Importers/Exporters and Custom House agents can use the Graphical User Interface based package Remote EDI System implemented using Visual Basic/Oracle 8 from their offices to create the documents in the desired format and then transmitting them over the Internet using the secure server of NIC for submission at customs house for further processing. The document received over the Internet at Custom house is then loaded to the ICES after the proper validation checks. Importers/Exporters and CHAs who do not have access to Internet can get their documents electronically prepared and submitted for further processing at the Service Centre. The Service Centre module of NIC running on powerful Sun machine under Oracle 7.0 allows entry of data, modifications and submission. The data entered through EDI or Service Centre gets validated before their storage into ICES. If errors are found, the same are reported to the Importer/Exporter/CHA through EDI or at the Service Centre. B. Indian Customs EDI System Documents once entered and submitted are then reviewed by different officers of the Custom House at various stages of processing and final clearance is accorded on the computer system after all the formalities are over for physical examination of the goods at the Sheds. ICES keeps track of the officers who have handled the documents at various stages of processing. The trail of the processing cycle is available to superior officers at any time. The CHA, in turn, can enquire about the status of his documents from his own system. He can view any memo or objections on his documents as they are posted in the system.

Indian Customs EDI System: Imports The Bill of Entry is to be filed through the Service Center by the Importer/CHA, who has to

16 | P a g e submit the signed declaration in a prescribed format along with copy of Invoice and Packing List if filed through Service Centre. The document can also be filed through the Remote EDI System. After the data entry at the service center, a "Check List" is generated which is to be verified by the Importer/CHA and corrected in case any error is detected and the signed "Check List" is to be submitted in the Service Center. In case of RES, the system validates the data and if errors are found, a message is sent back to the party. If the data passes the check, system accepts the data and an acknowledgment is sent to the Importer/CHA. The Bill of Entry then appears in the screen of the respective Group Appraiser. The Group Appraiser then assesses the Bill of Entry on the system and marks it to the Audit Appraiser. After the Audit is complete, the Bill of Entry appears in the screen of the concerned Group Assistant Commissioner. After the assessment is approved by the Asstt. Commissioner concerned, TR-6 is printed at the Service Center for payment of duty. The Examination Order is also printed along with the TR-6 Challan. If the Appraiser does not agree with the importer regarding tariff classification / notification / declared value etc., he can raise a query in this regard. The Importer/CHA has to enquire at the Service Center whether there is any query in respect of their Bill of Entry and should reply to the same through the Service Center if there is any. The duty is to be paid through the designated bank. After payment of the Duty, the Bank enters the same into the system at a terminal at their end. Then the Bill of Entry appears on the screen of the Appraiser (Docks). The Importer/CHA should present a copy of the B/E along with duty paid challan and other documents including invoice, packing list etc. at the time of examination of the goods. The Shed Appraiser shall examine the goods and enter the examination report in the system. After the examination of the goods is complete, the Appraiser (Docks) would give the "Out of Charge" order on the system. Thereafter, the system will print two copies of B/E for the importer and the Exchange Control Copies. In case of any discrepancy found in the docks with respect to the goods, the same is reported to the respective Group through the system with the comments of the Dock Officers. On the basis of the examination report and the comments of the dock officers, the Group may revise the assessment or may raise a query. Indian Customs EDI System : Exporters (ICES/E) Before filing any Export Shipping Bill, all exporters and CHAs are required to register with the Customs EDI System their IEC Code No., CHA License No. and Authorized Dealer Code No. of the Bank through which export proceeds are to be realized. Those intending to file the Shipping Bill will have to present at the Service Center a declaration

17 | P a g e in the prescribed format signed by the exporter or his authorized CHA alongwith the copy of Invoice and Packing List. After the data entry at the service center has been done, a "Check List" will be generated and handed over to the CHA/Exporter who should verify the correctness of the data entered. If any error/mistake is detected by the CHA/Exporter in the data, they should inform the Service Center operators who will make the corresponding correction in the data accordingly. After the correct data has been entered into the system, the Shipping Bills shall be processed automatically by the System on the basis of the declaration made by the Exporters. However, the following categories of Shipping Bill are assessed by the Assistant Commissioner (Export): (a) Shipping Bills where the FOB value is more than Rs. 10 Lakhs. (b) Shipping Bills relating to free trade samples whose value is more than Rs.20,000/(c) Drawback Shipping Bills where drawback amount is more than Rs. 1 Lakh. The status of the Shipping Bill can be checked by the Exporter/CHA at the Service Center. They should also check whether any query has been raised in respect of their Shipping Bill. In case of any query, they should file a reply to the query through the Service Center. During examination of the goods at the docks, the CHA/Exporter has to present the Check List along with all original documents such as Invoice, Packing List etc. to the Customs Officer. "Let Export" order will be given by the Appraiser if everything is found to be in order after examination of the goods and scrutiny of the documents. After the "Let Export" order is given, the printout of the Shipping Bill is generated. The examination report printed on the Shipping Bill is to be signed by the Appraiser, Examiner as well as the CHA/Exporter. The name and License No. of the CHA should be clearly mentioned below his signature.

Community
As mentioned, the main objective of introduction of EDI in International trade was to move away from customs controls to trade facilitation. Number of parties, most of which are government agencies, are involved in a trade transaction. NIC submitted a re-engineering proposal in 1998 to the Customs, which is subsequently implemented. The main features of the system are: Integration of the agencies involved in a trade transaction. All the agencies presenting single face to the customer Customer interact with only one agency as far as possible Data once captured made available to other agencies. This has been achieved primarily by re-engineering the processes of these regulatory agencies involved. The internal functions of these agencies are automated and are made

18 | P a g e EDI capable. The inter-agency data files are automatically transferred and received by the system and act upon the messages received and the response messages are generated. The main agencies other than Custom House and CHA/Importer/Exporter integrated into the Customs EDI Community System are

Directorate General of Foreign Trade Airport Authority of India Apparel Export Promotion Council Export Promotion Council(EPC)/Commodity Board Airlines Port Authorities Shipping Lines and Shipping Agents Inland Container Depots Container Freight Stations Banks

6. ANALYSIS AND FINDINGS

In International trade, value and benefits provided by Information Systems are very significant and as Information Technology provides concurrent support and speedy execution which is hardly possible by any other means. For this reasons, countries are making more and more applications using IT to facilitate and coordinate Foreign Trade operations. Links
International Global Governmental Organizations

Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) International Monetary Fund (IMF)

Organization for Economic Co-operation and Development (OECD)

The Organization for the Prohibition of Chemical Weapons (OPCW)

19 | P a g e

United Nations Home Page

Other United Nations Agency Web Sites

The World Bank

World Trade Organization (WTO)

World Customs Organization (WCO)

International Regional Governmental Organizations

Asia Pacific Economic Co-operation (APEC)

Association of South East Asian Nations (ASEAN)

ASEAN Customs for Business

Common Market for Eastern and Southern Africa (COMESA)

European Union Home Page

European Union site related to customs

The Southern African Development Community (SADC)

20 | P a g e
Other International Organizations

International Airline Transport Association (IATA)

International Chamber of Commerce (ICC)

International Federation of Customs Brokers International Standards Organization (ISO)

Transparency International

International Road Transport Union

United Nations Web Sites

Automated System for Customs Data (ASYCUDA)

Conference on Trade and Development (UNCTAD)

Office on Drugs and Crime (UNODC)

Economic Commission for Europe (UNECE)

International Atomic Energy Agency (IAEA)

International Civil Aviation Organization (ICAO)

21 | P a g e

International Maritime Organization (IMO)

World Trade Point Federation

United Nations Standards for Trade and Electronic Business

Universal Postal Union (UPU)

7. CONCLUSION
Since information exchange is the backbone of international transactions, computerized management of the process will dramatically increase transaction efficiency, reduce transaction costs, and enhance material tracking capabilities industry wide. Human error and other associated risks involved in international transactions can be more effectively managed with computerized systems. Monetary transfers that in the past required weeks or months to complete can be executed in seconds. Cost savings will be passed on to both sellers and buyers in the form of lowered transaction and purchasing costs, allowing for greater profitability. Finally, documentary evidence collection will be greatly expedited and record-keeping volume will be reduced from physical warehouse files to computer storage media The application of information systems in foreign trade transactions offers the huge potential for economic growth of unparalleled proportions.

22 | P a g e

8. REFERENCES:
1. http://www.ncti-india.com/ 2. www.gtis.com 3. Paper on Information Technology and International Trade by www.detechnologies.com 4. http://www.asycuda.org/ 5. http://ices.nic.in/Ices 6. www.cbec.gov.in 7. www.aces.gov.in 8. www.nacen.gov.in 9. www.ltu.gov.in 10. www.finmin.nic.in

End of Report