Customs system gets EC go-ahead

A SHAKE-UP of custom procedures within the EU has been proposed, with the introduction of a computer- based system designed to reduce costs for business and tackle counterfeiting and VAT fraud.

It could be operational by 2012 at a cost of up to €100 million, borne by member states, but would reduce costs by €2.5 billion a year.

Easier exporting procedures should increase the value of trade by €50bn across the EU.

The paperless system would mean all traders would register once and receive an identification number recognised in every member state.

A “single window” would also be set up where traders of proven trustworthiness or authorised importers would only have to deal with one body instead of several frontier control authorities as happens at present.

Customs and other policy-related information on imports would then only have to be sent once.

Announcing the proposal, approved by the European Commission yesterday, Taxation and Customs Commissioner László Kovács said it would help reduce VAT fraud and counterfeiting.

“These proposals would achieve the dual objective of enhancing security at the EU’s external borders and facilitating trade,” he said. The code must be approved by the European Parliament and member states before coming into force between 2009 and 2012.