SINGLE WINDOW SYSTEM IN KENYA
Eliminating challenges related to processing of import and export cargo documentation that have impacted on Kenya’s business climate and global competitiveness remains a key factor in the Government’s transformative agenda. This is more so in the area of international and cross border trade where Kenya is undertaking robust reforms at the ports and border points through ongoing digitization and automation of trade transaction processes.
A key milestone in this journey is the roll out of a Single Window System, the online cargo clearance platform known in Kenya as the Kenya TradeNet System that was launched in Nairobi in May 2014 during the regional heads of state summit hosted by President Uhuru Kenyatta. Kenya Trade Network Agency (KenTrade) is the state agency mandated to implement and manage this complex and cross cutting project.
The system is module based and brings together 42 stakeholders with over 10,000 registered users which includes more than 35 permits/licenses/certificates government issuing agencies known as Partner Government Agencies (PGAs) whose cargo clearance documentations have been automated through System integrations or interfaces with Kenya TradeNet System.
Kenya TradeNet System is also linked to the financial institution (banks, mobile payment solutions) through Kenya Revenue Authority (KRA) iTax System and the Governments eCitizen platforms and therefore providing an end to end electronic cargo documentation platform.
Surveys and reports received from various System Users, show that the objectives of the TradeNet System are gradually being achieved as indicated by the following achievements;
- Reduction in the average number of processes involved in processing clients applications by almost 50%;
- Reduction in the average number of documents required for processing applications by about 30 – 50%;
- Paperless (electronic) application by traders 24/7 basis;
- Reduction in use of paper resulting to cost savings;
- Time taken to process clients requests has reduced by over 50%;
- Electronic processing and confirmation of Payments;
- Provision of multiple payments channels;
- Significant time savings in preparation of manifest from 2-3 days to just 15 mins for larger agents running their own automated systems;
- Establishment of single point of contact for the business sector to interact with government on issues related to import/export documentation
- Removal of potential to falsify documents leading to Government Agencies confidence in documents processed via the System- further speeding up processing.
- Increased Compliance
- Increase revenue collection by a number of PGAs
The Dynamic Risk Management module in the Kenya TradeNet has made it easy for PGAs to target and release cargo. The System enables PGAs to profile cargo based on various set criteria such a place of origin, nature of cargo, history of the importer/exporter etc. this makes it easy for a PGA to target specific individuals/cargoes without inconveniencing others.
Another key feature of the Kenya TradeNet System is the Cargo Release Module. This module makes it easy for stakeholders to monitor the progress of their documents through a dash board without visiting or calling any office. The System generates reports indicating time take by each of the cargo intervenors making it possible for stakeholders to hold each other to account and hence ensure faster processing of documents.
Automation of cargo clearance documentation through the Kenya TradeNet System has also brought forward a number of challenges that require policy interventions. KenTrade has been working with development partners such as World Bank Group, Trade Mark East Africa (TMEA), USAID, UNCTAD, IFC etc. to ensure successful and full implementation of the Kenya TradeNet System.
Successful implementation of Kenya TradeNet System and associate benefits was cited as one of the key contributors to improvement of Kenya World Bank ranking in the ease of doing business report especially in the area of trading across borders report.
Achievements
- Reduction in the average number of processes involved in processing clients applications by almost 50%;
- Reduction in the average number of documents required for processing applications by about 30 – 50%;
- Paperless (electronic) application by traders 24/7 basis;
- Reduction in use of paper resulting to cost savings;
- Time taken to process clients requests has reduced by over 50%;
- Electronic processing and confirmation of Payments;
- Provision of multiple payments channels;
- Significant time savings in preparation of manifest from 2-3 days to just 15 mins for larger agents running their own automated systems;
- Establishment of single point of contact for the business sector to interact with government on issues related to import/export documentation
- Removal of potential to falsify documents leading to Government Agencies confidence in documents processed via the System- further speeding up processing.
- Increased Compliance
- Increase revenue collection by a number of PGAs