Pre-Arrival Clearance refers to the electronic submission of import data and documents to Customs and other government authorities for processing before the actual arrival of goods. It is a Customs control measure where risk assessment is done prior to arrival of cargo as well as a trade facilitation measure where cargo release is expedited. PAC therefore enables release of legitimate goods immediately upon arrival, and control high risk cargo for risk mitigation.

All importers are eligible to the program and do not require any approval. The importer and/or the Clearing Agent should lodge declaration to customs and make payments at least 48 hours (2 days) before expected arrival of the vessel to enjoy the benefits of pre-arrival.

For smooth operation of PAC, certain components have to be in place. These include:

• Automation of the clearance system to enable electronic data exchange of scanned documents
• Advance electronic submission of documentation/information, e.g. manifest, entry, invoice, COO, permits, certificates, etc.
• Processing of the documents through verification and risk assessment of the data and documents
• Coordinated Border Management between customs and other partner government agencies
• Release decision which is actioned by Customs to permit goods to be released to an interested party upon arrival
• Clearance which is the final determination and satisfaction by a Customs Officer of Customs duties, taxes, fees, charges and PGA requirements
• Post-Clearance Audit which are measures by which the Customs satisfy themselves as to the accuracy and authenticity of declarations through the examination of the relevant books, records, business systems and commercial data once cargo have been released to the owner

PAC is widely used by Customs around the world. Some of the benefits of using PAC are reduction in clearance time, reduction in storage and other logistical improved predictability and transparency in the supply chain, facilitation in carrying out risk assessment in advance, efficient border control processes and trade facilitation, decongestion of entry and exit points i.e. borders, ports, among many others.

It is important that you submit all the right documents such as pre-arrival declaration forms and invoices to the Customs office to ensure speedy clearance.

Rhoda Wambui

Tax Education Officer