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Latin America Investment News on Viva Tropical

$33 Million Upgrade to Salvadorian Custom Inspections

Article Summary:

El Salvador is ready to spend upwards of $33 million to modernize its customs operations at its land, air, and sea ports. Fist step, amendments to the country’s Customs Simplification Act in order to begin scanning operations.

Original Article Text From La Prensa Graphica via Google Translate :

Using X-ray will cost $ 20 in Customs

The Ministry of Finance (MoF) has awarded two European companies granting the X-ray service to inspect the goods passing through customs by land, sea and air of El Salvador .

The process was conducted through an international tender launched in May 2011 and ended the last quarter of this year with the award.

Companies that were winners were Cotecna of Switzerland, and Smiths, of German origin.

According to the Ministry of Finance, both are world leaders in the scanning service and manufacture of such equipment, respectively.

The process is part of the Salvadoran customs modernization, explained the Deputy Minister of Revenue, Rene Mauricio Guardado.

The service implementation, however, requires amendments to the Customs Simplification Act.

According to Guardado, such reforms payment rate includes the $ 20 to provide the service. Finance and presented and justified the reforms to the finance committee of the Legislative Assembly.

Companies, meanwhile, will invest $ 33 million to install the necessary equipment and infrastructure.

The operation and maintenance of equipment, valued at $ 5 million annually, also borne by the winning companies. The contract will run for 10 years.

Guardado said that one advantage of the service concession is that the state will not incur expenses.

Treasury expects this new method is running in October.

Once the reforms are approved no later than eight months before entering operating system. Saved expect it to be in October.

Guardado said the grant will be considered in signature when approving the amendments.

The project will begin with seven scanners, according to the deputy minister.

Selected sites are the terrestrial customs Anguiatú, The Hachadura Amatillo and El Poy. Other equipment will be installed in the ports of Acajutla and La Union International Airport and El Salvador (AIES).

It also has designed a mobile team that travels through any point of the territory. The plan also includes the placement of scales.

“With that we help private companies, especially importers and exporters (…) and we continue with the Mesoamerica Project, which is to facilitate international transit of goods from Guatemala to Panama,” said the deputy minister.

This view has not entirely convinced that the private sector is analyzing these reforms.

Rogelio Tobar, chairman of the Committee Intergremial for Customs Modernization (CIMA), said that we must assess the weight that will mean for many companies the cost of $ 20, because although it seems low, as drafted the project, that rate would be paid for each record (see side note for details).

Guardado, meanwhile, said he was open to hearing the comments of the private sector.

CIMA and held a first meeting with the deputy director general of Customs, Luis Ernesto Angulo.

This private sector committee consists of the Association of Exporters of El Salvador (COEXPORT), the Chamber of Commerce and Industry and the Salvadoran Association of Industries (ASI).

In all other reforms will pose the creation of an electronic record, the publication of the auxiliary civil customs and the use of non-intrusive inspection equipment in and out of customs premises.

Link to Original Article:

From la Prensa Garphica

Latin America Investment News on Viva Tropical