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A "Trusted trader" scheme would involved licensing registered companies to import or export goods on the basis that they have systems in place to declare and pay duty on goods as they arrive at their destination rather than at any border crossing - in much the same way as companies pay VAT or duty on alcohol as part of their normal tax compliance procedures. Apparently the EU is considering monitoring such a system by putting barcodes on each container load destined fr an EU market.

The barcode on a container solution works ok provided no one changes what's inside the container! Presumably the barcode would be linked to a database containing an inventory of what's inside the container. Few companies have the systems in place to generate an inventory per container load - most invoices contain orders for one customer which can be but a small part of a container load or indeed consist of many container loads.

But you often don't know how many containers or what proportion of a container is required to load the goods until you actually start loading them. At best someone might guess what goods have ended up in what container, but if a customs official opens up a container and checks contents against inventory who is to say any discrepancies aren't balanced out by the contents of other containers?

What is the difference between customs fraud and merely having put some goods in a different than expected container - something handled on the shop floor by fork lift drivers without access to any logistical database... Very few companies have logistical systems capable of handling container level inventories - Tesco, Guinness, some big pharma companies perhaps. It works for very high volume single product shipments, or container loads all destined for the one customer.

But don't expect your average small company operating across the border to implement such systems. NOT GOING TO HAPPEN...

Index of Frank's Diaries

by Frank Schnittger (mail Frankschnittger at hot male dotty communists) on Wed Sep 19th, 2018 at 12:28:16 PM EST
umm, no.

Anyway, the upshot is that Tory gov won't cooperate in customs inspections.

Because it's infested with malicious people, I have remarked previously.

Diversity is the key to economic and political evolution.

by Cat on Wed Sep 19th, 2018 at 04:03:13 PM EST
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