Simplifying Trade Processes For Kenya Competitiveness

Implementation of the Kenya National Single Window

System

The Kenya TradeNet System

By: Amos Wangora

Chief Executive Officer - KENTRADE

Electronic Single Window for Foreign

Trade: “The requirement for an inclusive

cooperation”

PRESENTATION OUTLINE

Introduction: Single Window System

Who we are

Objectives of Single Window System

TRADENET Stakeholders

Services

Implementation Status

The future

Who we are: Kenya Trade Network Agency

A State Corporation

established in January 2010 vide

Legal Notice No 6 of 2011.

Principal Objectives:

To Facilitate International

Trade

To implement,

operationalize and manage

the Kenya Electronic Single

Window System.

Parent Ministry:

National Treasury

OUR GOALS

Reduce Cargo Dwell time at the Port of Mombasa.

Reduce Cargo dwell time at the Airports in Kenya.

Reduce Cargo dwell time at the Kenyan border posts.

Additional Trade Facilitation services – E-Trade Portal

92%

24 hrs 20%

42%

4 AACE 2015 All rights reserved

1 hrs

3 days

Objectives Improving service delivery to customers by reducing cargo

clearance times.

Facilitating electronic interaction of all stakeholders in facilitating

import and export business.

Reducing paper transactions by adopting electronic processing of

Customs and related documents.

Adopting a modern and open transaction processing system that is

capable of interfacing with other internal and external systems.

Portal

www.kentrade-portal.com

OGAs Trade Community

• A single entry point for all Import and Export applications

• Regulations and requirements

• Integrate OGAs

Kenya TradeNet System Information Portal

Kenya TradeNet System

Kenya TradeNet System is the Kenya National Single Window System.

Number of system users has increased – Over 7,500 registered system users.

Number of Beneficiaries – Over 40,000

38 stakeholders

30 Partner Government Agencies (PGAs at Ports and Borders)

2 Payment Gateways

Kenya Association of Manufacturers

Kenya International Freight & Warehousing Association

Shippers Council of East Africa (SCEA)

Association of Kenya Insurers (AKI)

Kenya Ship Agents Association (KSAA)

Project Status • October 31, 2012 – Project Kick off

• October 31, 2013 – Kenya TradeNet System go live

• May 2, 2014 – Official launch of the System.

• 3 Project Phases

Phases 1A – Pre-clearance Documentation Modules

Phase 1B – Declaration Submission Module

Phase 2 – Permits Module

Phase 3 – Permits Module

TradeNet implementation

Approach

Streamline International Trade processesHow?

Simplify Partner Government

Agencies (PGA) internal (back

office) processesHow?

Operational TradeNet

System

Step 1

Step 2

Step 3

How?

Business Process Re-

engineering (BPR) of

International Trade Process

Business Process Re-

engineering (BPR) of PGA

Internal Processes

Automation of Processes and

integration with PGA systems

Regional

IntegrationHow? Integration with the EAC

Regional Block

Step 4

Known Unknown

Changing ?

MANDATORY:THE CHANGE MANAGEMENT

PROCESS

SERVICES – 18 Modules implemented

Manifest Module

Risk Management

System

Data Validation &

Archive

Desktop Client

Authorization &

AuthenticationTranswork Hub

Trading Partner

Registration

Kenya ESWS System

ePayment Facility

Declaration Module

SW Modules

Crimson Trade Facilitation Suite

KRA

KPA

Inte

rfa

ce

La

ye

r

SIMBA

Standard XML

or EDI

Trading

Community

Banks

OGAs (TBK, HCDA,

KEBS etc)

KE

SW

S P

ort

al

Common Layer

Master &

Consignment Permits

Permit Management

& ApprovalsUCR Management Administration

OGA Permits & License Management

Security & Access Control

WorkflowsData & Management

Information System

Customer

Management SystemMessaging Hub Network Billing System

KWATOS

Standard XML

or EDI

WeighBridge

System

Standard XML

or EDI

ePayment

Gateway

Standard XML

or EDI

System Admin

Notification & Alerts

Reporting Audit Trail

TradeNet System Functions

• User management- User creation and access management

• Upload of documents in multiple formats

• Transmission and receipt of data to and from integrated

systems

• Transaction tracking through the Unique Consignment

Reference Number (UCR)

• Facilitation of Pre verification of Conformity data (COC)

to relevant Agencies

• Publishing of UCR link to relevant Government Agencies

to provide visibility of attached documents.

Achievements

Early Wins

Faster processing of Permits by Government Agencies.

Increased visibility and transparency for Traders.

Compliance levels have gone up

Paperless (electronic) application for permits by traders 24/7 basis.

Paperless (electronic) processing and approval of permits by the

PGAs.

Electronic confirmation of Payments and provision of multiple

payments instruments via the KRA payment gateway.

Integrated Risk Management System available for use by the Partner

Government Agencies.

Usage of the TradeNet

Usage of the TradeNet Cont…

0

5

10

15

20

25

30

35

40

45

50

MILK EXPORTS

DVS

MILK IMPORTS

DVS

HIDES & SKINS

EXPORTS DVS

MEAT IMPORTS

DVS

MILK EXPORTS

DVS

MILK IMPORTS

DVS

EXPORTS PERMIT

PCPB

IMPORT PERMIT

PCPB

COMMERCIAL

IMPORT PERMIT

PPB

COMPARISON BETWEEN TIME TAKEN TO APPROVE PERMITS BEFORE AND AFTER THE

SINGLE WINDOW

DAYS BEFORE TRADENET DAYS AFTER TRADE NET

Stakeholders’ Feedback

1. The average number of processes/steps in processing

clients applications has reduced by almost 50%.

2. The average number of documents required for

processing applications has reduced by about 30 – 50%.

3. The time taken to process clients requests has reduced

by over 50% in some instances e.g. the Dairy Board.

4. The number of times a client needs to visit a

Government Agency for a single application has been

reduced to zero in a number of instances.

5. Cost savings due to reduced paper work & movement.

1. Institutionalization of Service Level Agreements (SLA) for all

Stakeholders using the platform

2.

Working with development partners to support other

Government Agencies to implement back end systems with a

defined integration framework for the TradeNet system

3 Integration with a new Customs System

4. Supporting other Government Agencies to access equipment

and wifi at ports and borders

5. Implementation of the Kenya E-Trade Portal

Other Supporting Initiative

Challenges Mitigation

1. Change Management Developed and implemented a robust

change management strategy covering

the pre and post implementation

2. Slow resolution of issues that require

intervention of multiple agencies. Proposed inter-ministerial Steering

Committee to offer an oversight role.

Signing of Service Level Agreements

amongst Government Agencies

involved in progress.

3 Majority of Government Agencies do not

have systems (Some PGAs lack capacity

use the system across the country e.g.

low internet , lack of ICT equipment)

Support to acquire internet and

computer equipment for PGAs at

borders

4. Conflicting mandates by some

Government Agencies

Requires harmonization of the legal

framework and coordinated effort

from all Government agencies within

the Trade sector.

Challenges

Business

value

chain

Integration scope

Regional / Global SW

National SW

with all OGAs Customs / Port

SW / PCS Trade

EDI / VAN Tradepoint

Portals Customs

System

Customs

Automation

Era

Start of

Trade

Information

Start of

Trade

Info Exchng

Limited

B2G

Nationwide

Single Window

B2G / G2G

N2N

71 Economies have a Single

Window

(compared with 49 in 2012)

Kenya TradeNet

Regional Integration of SWS

CIO100 Awards 2014:

Best Public Sector ICT Project

KENTRADE Contact Centre

23

“It always seems impossible until

it's done”

PERSEVERANCE

- Nelson Mandela