PNG Customs Services

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CUSTOMS

Papua New Guinea (PNG) is a unique country. On top of its diverse flora and fauna, such as the Raggiana bird-ofparadise whose flamboyant silhouette is captured on the national flag, PNG’s geographic position places it as one of the many island nations that bridge Australia and New Zealand to Southeast Asia.

Port Moresby, PNG’s capital, lies on the underbelly of the country, in a strategic position to bolster international trade and export resources such as gold, copper, rough wood, oil and natural gas to a multitude of countries, including Australia, China, Japan and South Korea.Within the realm of trade and export, PNG Customs Services (PNG

PNG Customs is spirited and committed to being a regional leader in securing PNG’s national border to enhance the security and socio-economic development of the country.Sinceits humble beginnings in 1888, PNG Customs has contributed immensely to national development as it has grown from strength to strength, even in spite of increasing responsibilities and challenges. These challenges are not only geographical, with much of PNG being made up of APAC issue

Papua New Guinea is a southwestern Pacific hub of trade. We take a look at PNG Customs Services, and the organisation’s efforts towards regulating cargo for the betterment and development of the nation

Writer: Marcus Kääpä | Project Manager: Eddie Clinton

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Customs) has the exceptionally important duty of regulating the imports, exports and supply chain across PNG, led by the words ‘protecting our border, securing our future’ that are embodied across the organisation.

Outlook

IMPORTS IN PNG PNG’s top exports are gold, copper ore, petroleum gas, rough wood, and nickel mattes, to China, South Korea, Japan, and Australia, and there is a great tie to these countries when it comes to imports.

Some of the island nation’s largest imports include refined petroleum, crude petroleum, heavy industrial machinery (such as excavation machinery), rice, and other edible preparations, from its associated export destinations as well as Singapore and Malaysia. Trade represents around 60 percent of PNG’s GDP, and is a central focus for national growth when it comes to jobs creation, goods and services.

rough terrain that requires substantial investment to develop infrastructure, but also national crime rates.

Coinciding with the country’s substantial level of serious and gang-related crime, the import of illegal firearms, drugs trafficking and other major offences are a serious issue within PNG. As a result of such crime, a large proportion of people and businesses in the country are impacted negatively, suffer losses, and pay higher levels for security costs. From a commercial perspective, this in turn slows business expansion and hampers PNG’s economic development as a whole.PNG Customs stands as one of the key players maintaining regulation in the country, helping businesses, and indeed the nation as a whole, to grow.

REGULATING PNG 130 years on, PNG Customs is a vibrant, independent and modernised organisation widely regarded as one of the leading government organisations in the country, with over 500 officers employed in over 20 different locations in 14 provinces. Under the leadership of Chief Commissioner Ray Paul and Commissioners James Bire (Trade

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PNG Customs draws its powers from the Customs Act 1951 to control, supervise and authorise all forms of conveyances, persons and cargo that move in and out of PNG. The organisation has jurisdiction under the Customs and Excise Tariff Acts to charge and collect duties and taxes, and also has responsibility for protecting the country’s border and community as well as preventing transnational crimes and ensuring there is effective supply chain security across the nation.

CUSTOMS ICT In this current post-pandemic environment, digitalisation and online software have become ever more present and necessary across every industry.Alongside this, PNG Customs has evolved to establish regulations for digital documents and information pertaining to customs and cargo to best serve the people and the country. Under PNG Customs’ new organisational structure, Customs Information Communications & Technology (ICT) is now responsible for the maintenance and expansion of the customs information technology infrastructure.Automated System for Customs Data (ASYCUDA), a sub-branch of Customs ICT, is responsible for the development and implementation of the ASYCUDA system. ASYCUDA is the electronic reporting and data processing system for all import, exports and excise entries lodged with customs. It has been upgraded over the years from ASYCUDA 2.7 to ASYCUDA++, and now ASYCUDA World, which was recently implemented in Port Moresby in 2017 and in its training stage in Lae. ASYCUDA World will eventually be implemented in all declared ports in the near future.

PNG Customs has an important responsibility to work collaboratively with a number of key partner agen cies both with other government agencies as well as industry. The Chief Commissioner of Customs is the prin cipal officer in the organisation and is responsible to the Minister for Treasury.

There have been a number of benefits realised over the past years with the use of ASYCUDA, that include simplified documentation, adoption of international standards, codes, harmonised tariff systems, valuations, and exposure of customs staff and traders to a computer

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& Corporate Service) and Benjamin Sine (Border Security), PNG Customs continues to uphold its mandated duties of border and community protection, trade facilitation, and revenue collection.

Landline: 323 3127 / 323 3127 Mobile Sales Team: 73629481 / bookings@imhc.com.pg73942740 www.imhc.com.pg

The hire car industry has added significant value towards facilitating the transportation needs of the Civil Society in Government/Public Sector, Private Sector plus NGO’s in Papua New Guinea for many years.

Island Mobile Hire Cars, a 100% nationally owned company, has realised this need and has tapped into the industry for more than fifteen years. The company has grown since, from humble beginnings to now owning and operating well over 445 different models of Toyota brand vehicles across 1000 fleets, meeting all needs and demands of our clients at competitive prices. Our support team is available 24/7 for back-up in the event of a break-down.

Island Mobile Hire Cars

The brand name “Island Mobile” conveys the philosophy of the brand – “to provide customers with a quick and hassle-free service experience, without any tidal waves of paperwork, mountains of confusing jargon or protocol and without hidden payment traps” – just a convenient and reliable car renting Ultimately,experience.IslandMobile Hire Cars is your ideal travelling partner anywhere in PNG. We will always deliver, irrespective! For bookings and reservations, please visit us via www.imhc.com.pg and or e-mail us through bookings@imh.com.pg

IHMC has carved out a niche in the hire car space as a ‘Premium Brand’ with peerless pricing, quality, and speed, paired alongside a network of branches nationwide, nestling in a legacy of continuous improvement on its vanguard products and services. Further, we are well established in all four regions throughout Papua New Guinea. Our General HQ base is in Port Moresby, the Nations Capital Metropolis, on Portion 2311, alongside Taurama Road, joined with the Southern Regional Office. Our other respective regional head offices are in Mt. Hagen (Highlands), Lae (Momase) and Kokopo (New Guinea Islands). We can perform under a hugely increased or expanding workload or scope. With our durable system that scales well, it enables us to maintain or even increase the level of performance or efficiency even when it is tested by larger operational demands, and with exceptional ease.

Since inception back in 2003, Island Mobile Hire Car’s (IMHC) has aggrandized to a colossal rental car venture across PNG, and is still thriving today. IMHC proudly owns and operates an immaculate fleet of more than 1,000 reputable Toyota automobiles. We have categories and models, encompassing but not limited to Sedans, 4X4 Land Cruiser Troopers, Luxury Cars, Shuttle Buses, and Commercial Vehicles. With offerings to satisfy a myriad of clientele’s needs, we are continuously expanding and improving our service. PNG offers behemoth challenges in both geography and demography. Come what may of this daunting summons to contest, IMHCL has come of age, from modest beginnings to a top-notch brand in the rental car trade. Our meteoric rise is attributed to our esteemed clientele’s loyalty, which has been key in providing the much-envied impetus behind our advancement. Our clientele’s loyalty in such a highly taxing and cutthroat industry has and shall eternally be our number one leverage going forward. In every approach and element of decision making, we are customer-centric, in ensuring that the satisfaction, comfort and the safety of our customer is held at the highest of standard, as a reward to their undying allegiance. We strive incessantly to provide good value for money hire car services at the behest of our client-oriented mission, conjoined with an expeditious customer care service that is available 24/7, and with great reliability our clientele can bank on without a shadow of doubt.

ISLAND MOBILE HIRE CARS

Accurate and timely submission of cargo reports and SAD lodgement are critical in enabling PNG Customs to complete risk assessment and intervention activities before cargo moves into the PNG community.

It is important to take note that compensation is only awarded after a thorough assessment and determination is completed. For more information, call us on 302 4600 or email us at info@mvil com.pg PNG’s Compulsory Third Party Insurance Provider environment, and the management of tradeAlongstatistics.withASYCUDA, new payment processes have been developed and implemented to ease the traffic of duty payment, clearance of cargo and main taining a cash free office. This includes payments via electronic funds transfer at point of sale (EFTPOS) - the use of cards and card machines, electronic funds transfer, and prepayment accounts.

DIGITAL RECORDS

The amendments include Motor Vehicles (Third Party Insurance) (Amendment) Act 2021 and the Motor Vehicles (Third Party Insurance) (Basic Protection Compensation) (Amendment) Act 2021

In order to register, importers and exporters must acquire a tax identification number (TIN) from IRC, complete a G26 Form, attach required documents, and log with Customs ICT.

Understanding the key changes to the Motor Vehicles Insurance Limited’s (MVIL) enabling legislations

The key amendments under the Motor Vehicles (Third Party Insurance) (Amendment) Act 2021 are threefold:

On top of this, PNG Customs ensures that the correct information and data are provided in reports, approved forms and documents are used for such reports, the timely lodgement of customs entry, and the timely payment of customs taxes (import duties, import GST, local excise and penalties).

As for the Motor Vehicles (Third Party Insurance) (Basic Protection Compensation) (Amendment) Act 2021: The change involves the increase of the compensation payment awarded in respect of the death of any person f rom K5,000 for males and K2,500 for females and minors to K10,000, irrespective of gender and age.

PNG Customs relies on accurate information to effectively facilitate trade in PNG. This means that the organisation facilitates legitimate trade and protects communities and businesses by ensuring the timely submission of cargo reports and manifests, within 48 hours for vessels and three hours for aircraft.

1. A change in the definition of the words “motor vehicle” extends to and covers all vehicle types including trucks and equipment used in the extractive, logging and agriculture industries; 2 A change in the definition of the word “street” to include all streets or roads, either public or private, including the streets in the extractive, logging and agriculture project sites, and in the private property estates; and, 3. No compensation or claims payment for uninsured and unregistered motor vehicles, equipment and trucks; and where the identity of the motor vehicle cannot be established after due inquiry

The amendments to the Motor Vehicles (Third Party Insurance) Act (Chapter 295) and the Motor Vehicles (Third Party Insurance) (Basic Protection Compensation) Act (Chapter 296) came into effect on 22 September 2021.

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The responsibilities and functions of Customs ICT also extend to the maintenance and upgrading of the customs network and equipment, the updating of ASYCUDA itself, and its database, references and control tables. On top of this, the functions of Customs ICT are to also provide help desk support to PNG Customs and external ASYCUDA users such as brokers, to provide statistics to customs management, government departments such as NSO/DTI, BPNG, and the treasury, and other interested parties or organisations, and finally to conduct training for all ASYCUDA users.Itis a requirement for all importers and exporters to register with PNG Customs as a measure to integrate with the taxation division of the Internal Revenue Commission (IRC), to facilitate trade and cargo clearance.

The incorporation and use of digital tools and software enable PNG Customs to maximise its efficiency, and allows information to increase stakeholder awareness when it comes to accurate and timely reporting, lodging, and paying of cargo to the organisation.

PRODUCED BY APAC OUTLOOK MAGAZINE

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