The slide's title is "Ease of Doing Business in Customs & GST," focusing on strategies to enhance efficiency, transparency, and trade facilitation in these areas. It includes a subtitle noting that the content is prepared for learners, policy professionals, and business leaders.

Ease of Doing Business in Customs & GST

Improving Efficiency, Transparency & Trade Facilitation Prepared for Learners, Policy Professionals, and Business Leaders

Source: Comprehensive 15-Slide Presentation

Ease of Doing Business (EoDB) assesses the simplicity of starting, operating, and expanding businesses, while boosting competitiveness, attracting investment, and driving innovation. Key reforms in customs and taxation support trade facilitation, with India's approach focusing on simplification, digitization, and transparency.

Introduction – Why EoDB Matters

• EoDB measures ease of starting, operating, and expanding businesses.
• Enhances competitiveness, attracts investment, and fosters innovation.
• Customs and taxation reforms underpin trade facilitation.
• India's strategy emphasizes simplification, digitization, and transparency.

Before reforms, the trade clearance process involved manual paperwork, lengthy approval times, and poor coordination among multiple regulators, leading to high dwell times of 2–3 days at ports. This system also suffered from a lack of transparency, inconsistent valuation, and elevated logistics and transaction costs.

The Pre-Reform Scenario

• Manual paperwork and long clearance times.
• Multiple regulatory approvals and poor coordination.
• High dwell time at ports (2–3 days average).
• Lack of transparency and inconsistent valuation.
• High logistics and transaction costs.

Modern Customs Principles emphasize simplification through standardized forms and reduced procedural steps, alongside automation via electronic end-to-end processing to boost efficiency. They also promote transparency with online rules and real-time tracking, risk management focused on high-risk shipments, and trade facilitation through business-customs partnerships.

Modern Customs Principles

• Simplification: standardized forms and fewer procedural steps.
• Automation: electronic end-to-end processing for efficiency.
• Transparency: rules published online with real-time tracking.
• Risk Management: targeting only high-risk cargo shipments.
• Trade Facilitation: fostering business-customs partnerships.

The slide outlines key Ease of Doing Business (EoDB) measures in customs, including the Single Window Interface (SWIFT) for streamlined documentation, Risk Management System (RMS) for targeted inspections, and Electronic Data Interchange (EDI) for paperless processing. It also highlights the Authorized Economic Operator (AEO) program for trusted traders, Direct Port Delivery and Entry (DPD & DPE) for faster clearance, and Faceless Assessment using remote evaluation, e-seals, and online payments.

Key EoDB Measures in Customs

• SWIFT: Single Window Interface for streamlined trade documentation.
• RMS: Risk Management System for targeted inspections.
• EDI: Electronic Data Interchange for paperless processing.
• AEO Program: Authorized Economic Operator for trusted traders.
• DPD & DPE: Direct Port Delivery and Entry for faster clearance.
• Faceless Assessment: Remote evaluation with e-seals and online payments.

The Single Window System (SWIFT) integrates over 50 government agencies into a unified portal, enabling single document uploads that are shared across departments to reduce duplication and streamline efforts. It accelerates clearance times for trade processing while improving inter-agency coordination and collaboration.

Single Window System (SWIFT)

• Integrates over 50 government agencies into a unified portal.
• Enables single document upload shared across all departments.
• Accelerates clearance times for efficient trade processing.
• Reduces duplication of submissions and efforts.
• Improves coordination and inter-agency collaboration.

Source: Ease of Doing Business in Customs & GST

The Risk Management System (RMS) uses AI-driven profiling to assess cargo and traders, limiting physical inspections to high-risk shipments while granting immediate clearance to low-risk ones. This approach has achieved a 70% reduction in dwell time through efficient resource allocation and utilization.

Risk Management System (RMS)

• AI-driven profiling of cargo and traders
• Physical inspection limited to high-risk shipments
• Immediate clearance for low-risk cargo
• 70% reduction in dwell time achieved
• Efficient resource allocation and utilization

The Authorized Economic Operator (AEO) Program recognizes trusted traders by granting them priority customs treatment, including fewer inspections, faster clearance times, and deferred payment options for duties and taxes. It fosters a strong partnership and builds trust between customs authorities and industry stakeholders.

Authorized Economic Operator (AEO) Program

• Recognizes trusted traders for priority customs treatment.
• Provides fewer inspections and faster clearance times.
• Offers deferred payment options for duties and taxes.
• Builds trust and partnership between customs and industry.

The slide introduces a paperless documentation system featuring electronic filing, digital signatures, and online payments, alongside a contactless process that promotes transparency and efficiency. It also highlights remote assessment centers for greater consistency and fairness, while reducing physical interactions to minimize corruption risks.

Paperless Documentation & Faceless Assessment

• Electronic filing with digital signatures and online payments.
• Contactless, paperless system ensures transparency and efficiency.
• Remote assessment centers enhance consistency and fairness.
• Reduces physical interactions, minimizing corruption risks.

Customs reforms have reduced clearance times by 40–60%, driven by faster processing and efficiency gains, while also cutting compliance costs by 30% through lower administrative burdens. Additionally, these changes have improved the global ranking in trade facilitation by over 20 spots.

Impact of Customs Reforms

• 40–60%: Clearance Time Reduction

Faster processing and efficiency gains

• 30%: Compliance Costs Cut

Lower administrative burdens

• 20+ spots: Global Ranking Improvement

Enhanced trade facilitation position

The Global Benchmarking slide highlights alignment with key international standards, including the WTO Trade Facilitation Agreement and the WCO SAFE Framework. It notes benchmarking against leading nations like Singapore, the Netherlands, South Korea, and the UAE, positioning the country as one of the top global reformers.

Global Benchmarking

• Aligned with WTO Trade Facilitation Agreement and WCO SAFE Framework.
• Benchmarked against Singapore, Netherlands, South Korea, and UAE.
• Recognized as one of the top reforming nations globally.

This section header slide, titled "GST – Catalyst for Ease of Doing Business" and numbered 12, highlights GST as a key driver for simplifying business operations. It features a subtitle explaining how GST replaces multiple taxes with a unified system, enabling easier registration and seamless input tax credit.

GST – Catalyst for Ease of Doing Business

12

GST – Catalyst for Ease of Doing Business

Replaced multiple taxes with unified GST for simplified registration and seamless input tax credit.

Source: Ease of Doing Business in Customs & GST

The slide "GST in Action – Real Business Impact" highlights how the Goods and Services Tax (GST) delivers tangible benefits across sectors, such as reducing logistics travel time by 30% through the removal of border checkposts. It further illustrates impacts like 8–10% cost savings in manufacturing via input tax credits, simplified multi-state expansion in retail, eased compliance for SMEs under the composition scheme, and a reduction from 35 to 18 warehouses in FMCG, saving crores.

GST in Action – Real Business Impact

• Logistics: Removed border checkposts reduce travel time by 30%.
• Manufacturing: Input tax credit cuts costs by 8–10%.
• Retail: Simplified processes enable multi-state expansion.
• SMEs: Composition scheme eases compliance requirements.
• FMCG: Warehouses reduced from 35 to 18, saving crores.

The slide on the Future of Ease of Doing Business (EoDB) outlines key technological advancements, including leveraging AI and analytics for predictive risk management, implementing blockchain for secure supply chain tracking, and developing interoperable digital trade platforms. It also envisions fully paperless, contactless operations alongside enhanced capacity building and inter-agency coordination to streamline global trade.

Future of EoDB

• Leverage AI and analytics for predictive risk management.
• Implement blockchain for secure supply chain tracking.
• Develop interoperable digital trade platforms.
• Achieve fully paperless, contactless, seamless operations.
• Enhance capacity building and inter-agency coordination.

Ease of Doing Business (EoDB) in India is defined by simplification, automation, and transparency, with synergy between Customs and GST fostering a stronger trade ecosystem and ongoing innovation ensuring competitiveness. The slide positions India's EoDB journey as a model for modern governance, ending with thanks and a call to embrace reforms for boosting the nation's trade future.

Conclusion

EoDB = Simplification + Automation + Transparency.

Customs + GST synergy = Stronger trade ecosystem.

Continuous innovation ensures competitiveness.

India’s EoDB journey is a model for modern, efficient governance.

Closing Message: Thank you for your attention.

Call-to-Action: Embrace reforms to boost India's trade future.

Source: Ease of Doing Business in Customs & GST