By Lilian Nyawanda

The Kenya Revenue Authority (KRA) today celebrates the International Customs Day with other Customs Administrations globally, with a focus on re-examining and remodelling professional interests in Customs & Border Control professions among students, practitioners, policy makers and other stakeholders.

Role of Customs

Customs plays a critical role in facilitating trade globally, hence the need to nurture the next generation of professionals and promote a culture of knowledge sharing as well as professional pride in Customs. Customs agencies around the world are responsible for ensuring that trade is conducted in a safe, secure, and efficient manner, while also protecting the environment and promoting sustainable best practices in trade.

The world over, trade has quite often soared high; an UNCTAD report published on 17 February 2022 supports this by stating that in 2021, global trade hit record high of $28.5 trillion. Most economies recorded an increase in imports and exports rise above pre-pandemic levels. Customs agencies across the globe steered this growth through professionalism, hence there’s need for sustainability.

Where are we?

In Kenya, KRA Customs and Border Control have sustainably made significant contributions to the Authority’s annual revenue collection. KRA Customs officers have enabled efficient trade while also protecting the country from various threats, including organised crime, commercial fraud, contraband and counterfeits. Their hard work and dedication is reflected in the fiscal year 2021-2022, Customs and Border Control (C&BC) collection which hit KShs. 728.530 Billion, the department surpassed its target of KShs. 702.823 Billion. This represents a growth of 16.6% and a surplus collection of KShs. 25.707 Billion.

KRA attributes this success to the implementation of world-class Customs infrastructure, professionalism, and adoption of international best practices. Technology was key in the revenue growth with the Integrated Customs Management Systems (iCMS) reducing cargo clearance and processing time, enhancing compliance, and ultimately improving revenue collection.

The system has also helped reduce the time taken to clear air cargo from an average of 6 days to 48 hours, reflecting a 66% improvement in clearance turnaround time which has also reduced losses by traders and drastically reduced customer complaints. 

The government is currently working to increase revenue collection efforts and has outlined plans in the 2023 draft budget statement to leverage technology and enhanced data analytics by Customs and Border Control to achieve this goal. This is part of the country's economic long-term turnaround plan and is aimed at scaling up revenue collection efforts to KShs. 3.0 trillion in the FY 2023/24 and KShs. 4.0 trillion over the medium term. 

As KRA marks the International Customs Day, it continues to collaborate with international and local Customs organisations. Further, technology is a pillar in the Authority’s delivery model and some of these game changing technologies include; cargo x-ray scanners, electronic cargo tracking systems, pre-arrival clearance, authorized economic operators, one-stop border posts, single customs territory, and smart gates that promote cross-border trade. These secondary platforms have played a key role in containing the diversion of transit goods and have significantly increased the value derived from automation.

The writer is the Commissioner for Customs and Boarder Control at KRA