Today the Indonesian Customs and Excise Department announced the use of the Blockchain TradeLens platform.
The implementation took several months and we received our first report on ecosystem connectivity at the end of last year.
The Indonesian Customs and Excise Department is the third of Southeast Asia’s government agencies.
TradeLens is a digital global trading platform that enables container tracking and information sharing between platform members more efficiently and accurately. The TradeLens platform, jointly developed by AP Moller – Maersk and IBM, previously digitizes paper-based transport processes, resulting in immediate and constant end-to-end data.
Indonesia is working on enhancing the National Logistics Ecosystem (NLE) to enable sectors in the logistics community to cooperate effectively.
Customs Excise Information System and Automation (CEISA) 4.0 plans to expand the NLE to bring together importers and exporters to share information with logistics providers.
The transport data can thus be received by the authorities as soon as the containers leave the port.
This will give the customs and tax authorities more time to receive the shipments as well as more thorough fraud checks.
Mr. Deni Sujantoro, Head of Communications and Publications for Custom and Excise Office said, “The customs and excise department aims to leverage the blockchain solution to simplify the exchange of goods, automate documentation and increase co-operation and communication between counterparties. With the Collaboration Application Programming Interface [API] concept, all logistics activities including trucking, warehousing, shipping and freight forwarding at both domestic and global levels can now be brought together and shared through a single platform – TradeLens. ”
“The supply chain is an important factor in managing logistics costs and Indonesian logistics costs are higher compared to other countries in South East Asia. TradeLens will help bring further visibility, predictability and security to the US and will be a real asset for trade and transport facilitation, making Indonesia the preferred logistics and transport gateway in the region. It will also enable us to fulfill our mission to promote and promote national logistics systems as well as contribute to the development of the national economy while meeting the most up-to-date standards set by the World Customs Organization (WCO), ”added Mr. Deni Sujantoro.
Tan Wijaya, President of IBM Indonesia said “We are proud to acknowledge this collaboration with Indonesia Customs and Excise Department to improve the efficiency and competitiveness of the logistics sector at both domestic and international levels. We believe that TradeLens and the implementation of blockchain technology in various forms will benefit all stakeholders in the entire logistics ecosystem and drive the modernization of trade at all levels. We also hope other industries will soon realize the need for blockchain adoption which can help businesses to redefine their relationships in the market through increased trust, transparency and newfound collaboration. ”
Every year, goods worth more than $ 16 trillion are transported across international borders, and 80% are transported by sea.