NBR announces 5-yr plan for ‘smart customs’ in BD

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Staff Reporter :
The National Board of Revenue (NBR) is taking a bold step towards streamlining international trade with a new initiative: a 5-year strategic action plan to establish “Smart Customs” in Bangladesh.

This move comes in response to ongoing concerns about inefficiency, delays, and allegations of corruption within the customs system.

The government has already implemented digitalization and automation initiatives to expedite export and import processes. However, achieving “Smart Customs,” a system vital for fostering vibrant trade, combating money laundering, and tackling tax evasion, remains a critical goal.

Exporters and importers in Bangladesh have long voiced frustrations regarding customs procedures, citing issues like bribery, inefficiency, and unnecessary delays. These hurdles contribute to a more challenging and expensive business environment, particularly amidst a global economic slowdown.

The NBR’s customs wing is actively working on the action plan, identifying 12 key areas for improvement.

NBR Chairman Abu Hena Md Rahmatul Muneem recently convened a meeting with customs officials to discuss the plan’s development.

“Twelve committees have been formed to tackle specific aspects of the 5-year strategic action plan.

These teams will consider various factors, including the government’s 8-year plan, mid and long-term revenue strategies, global best practices in customs operations, modern technological advancements, and implementation of trade simplification and automation agreements,” said a NBR official to The New Nation who was present at the meeting.

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NBR Chairman Abu Hena Md Rahmatul Muneem, who leads the steering committee, emphasized the crucial role of modern technologies. The plan prioritizes integrating Artificial Intelligence and blockchain technology into the customs system for greater efficiency and security.

The NBR acknowledges the importance of international collaboration. Increased interaction with global stakeholders is planned to acquire expertise and best practices that can be adapted to Bangladesh’s context.

The meeting also reviewed past customs action plans, acknowledging that only 32-35 percent were successfully implemented. To address this, a robust monitoring team has been established to track the progress of the “Smart Customs” initiative.

An NBR official, speaking on condition of anonymity, pinpointed key areas for improvement. Bangladesh’s customs system, he noted, is currently “semi-automated” as electronic document submission remains limited.

Full automation is essential for achieving “Smart Customs” status. Additionally, manual processes for goods examination, sample collection, and lab test reporting create bottlenecks. Streamlining these procedures is critical for faster clearance times.

Under the action plan, the key areas are procedural and legislative proficiency with effective implementation, optimization of human resource by strategic HR management and governance, elevating modernization through strategic planning and financing, strategic infrastructure evolution for modern business process, efficient traveler experience, capacitating export infrastructure and incentive facilities, customs embracing the digital age, trade simplification and acceleration, strengthening alliance and partnership, strategic communication and public relations and dissemination of information to all stakeholders, innovation for smart customs.

The teams will prepare drafts taking the key issues like eight years plan of the government, mid and long term revenue strategy, best practices in world customs, modern customs system, implementation of agreements for trade simplification and automation into consideration.

The teams have been directed to submit a final report on June 10 and the report will be finalised after the reviewing by the steering committee, according to the NBR officials.

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