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What is the "ASYCUDA" system in Iraq and how does it serve the Iraqis? An international report detailing the numbers

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What is the "ASYCUDA" system in Iraq and how does it serve the Iraqis? An international report detailing the numbers
 
Economy     2024-08-01 | 04:31
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Alsumaria News – Translation
 
The United Nations Trade and Development Organization (UNCTAD) confirmed that trade in Iraq - which was torn by war - has gained new activity as it continues efforts to revive the economy, while revealing the full details of the ASYCUDAWorld program specializing in customs.
 
The organization says in a report translated by Al-Sumaria News, that in October 2023, the Iraqi state launched ASYCUDAWorld - a pioneering customs automation program supported by the United Nations Trade and Development Organization (UNCTAD), to digitize customs clearance processes, reduce fraud risks, and facilitate cross-border trade.
 
According to the report, the program - which complies with international standards - aims to replace manual, paper-based customs clearance processes in Iraq, allowing traders to complete all necessary paperwork online to save time and cost.
 
- witnessed Baghdad International Airport - where the ASYCUDAWorld system appeared for the first time in Iraq a growth in customs revenues of more than 215% between January and May 2024, compared to the same period of the previous year, according to the report, which revealed that between January and March, import transactions at the airport increased by 120% compared to the first quarter of 2023, reaching its highest levels in a decade.
 
The report adds that the business community has responded effectively to comply with the new procedures and regulations.
 
Since October 2023, more than 2,800 declarers have submitted approximately 65,600 declarations to customs through ASYCUDAWorld.
 
The program was run in the nine largest customs offices in Iraq, which together represent 81% of Iraq's international trade volume, according to the report.
 
These include customs operations located on the borders with neighboring countries such as Kuwait, Jordan and Saudi Arabia, as well as in the port of Umm Qasr leading to the Arabian Gulf.
 
According to the report, Iraqi Finance Minister Taif Sami praised the ASYCUDAWorld program for helping Iraq “achieve financial discipline, reduce errors, enhance the efficiency of government resources, and provide accurate information.”
 
*Long-term partnership with high-level political support
 
The report shows that an agreement to launch ASYCUDAWorld is planned for May 2021, as part of Iraq's partnership with the Automated System for Customs Data (ASYCUDA) program - the largest technical cooperation project managed by the United Nations Trade and Development Organization in more than 100 countries.
 
This cooperation enjoys the full support and strong commitment of the highest levels of the Iraqi government, including the Prime Minister’s Office, the Ministry of Finance, and the Director General of Customs, according to the report.
 
says Shamika N said Sirimane , Director of Technology and Logistics at the United Nations Trade and Development Organization.:  
 
“The active participation of these and other government departments, including the General Authority of Customs, has been crucial in ensuring the success of the project so far,”
 
ASYCUDA’s work in Iraq is ongoing, but even at this stage, we are already seeing an increase in trading volumes and a boost in government revenues,” says Siriman.
 
The Director General of Iraqi Customs, Hassan Hamoud Al-Aqili , adds:
 
“The ASYCUDA system unifies customs procedures at all crossings and ports and unifies the process of collecting fees.
 
It also provides accurate information to policy makers about imports and exports, control the movement of currencies, and the exchange of dollars between Iraq and other countries.” According to the report.
 
*Empowering national stakeholders to take the lead
 
ASYCUDA's work in Iraq brings together 6 staff from the United Nations Trade and Development Organization alongside a national project team including IT and customs experts.
 
In collaboration with the business team, the operation customized and installed the ASYCUDAWorld software prototype and adapted it to comply with Iraqi laws and regulations.
 
In addition, ASYCUDA staff trained the national team to use and maintain the system independently, including courses held in Baghdad and a field visit to customs offices in Jordan to learn from their experiences.
 
The Iraqi national team then in turn trained ASYCUDAWorld users in Iraq, helping key stakeholders such as logistics carriers, declarants and customs officers become familiar with the new system, according to the report.
 
According to the report, ASYCUDAWorld will be launched in Arar (which borders Saudi Arabia) and Trebil (which links Iraq to Jordan) and will largely be led by the Iraqi national team, with international ASYCUDA experts supporting remotely.
 
*Future endeavors
 
The Iraqi government seeks to implement the ASYCUDAWorld system in all customs locations across the country by mid-2025, according to the report, which confirms that after that, the focus will be on modernizing customs control and building an electronicsingle window” for trade based on ASYCUDA technology.
 
This comprehensive platform, which links multiple government agencies involved in goods clearance, is expected to automate customs processes and enhance Iraq's logistical efficiency and trade competitiveness.
 
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