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Bangkok Post
Bangkok Post
Business

Customs ramps up digital reforms to improve image

The Customs Department is stepping up its efforts to strengthen governance and transparency in support of Thailand's bid to join the Organisation for Economic Co-operation and Development (OECD).

According to Phantong Loykulnanta, director-general of the department, a digital transformation programme ensures customs procedures are conducted entirely through digital systems, minimising direct contact between officials and the public to reduce opportunities for corruption.

The department also introduced risk management and artificial intelligence (AI) systems to identify importers and exporters with unusual patterns that warrant further inspection.

Customs administrations in many countries no longer conduct inspections primarily at ports, instead relying on a post clearance audit system, under which goods are examined after they have been released from customs.

The department maintains comprehensive data on importers and exporters, enabling more effective post-clearance monitoring, he noted.

The department's risk management system has become significantly more effective, said Mr Phantong. Previous risk assessments were carried out manually, but the department now uses AI-based algorithms that analyse data from cargo manifests, customs declarations and other relevant information.

The system processes the combined data to identify which containers pose a higher risk and the specific nature of those risks.

The Thai Chamber of Commerce's latest survey on corruption no longer ranks Customs among the country's top 10 most corruption-prone public agencies, but a placement of 12th is still not satisfactory, he said.

The department remains committed to reducing corruption, even though achieving zero corruption may not be feasible, said Mr Phantong.

In recent years, the department introduced a range of electronic systems to facilitate customs procedures such as an electronic transshipment system, which reduced the average customs clearance time for transshipment cargo from 4.58 days to 0.65 days, a reduction of 85.8%.

In addition, the Tariff e-Service online customs tariff information platform enables importers, exporters, customs brokers and the public to search and verify customs tariff classifications online.

This platform allows businesses to access customs services more conveniently and transparently, while reducing officials' discretion in making decisions, he said.

The platform is intended to strengthen trade facilitation in line with international standards, support digital-era commerce and improve organisational governance as Thailand prepares for membership in the OECD.

The department also revised its regulations governing the payment of informant rewards and incentive payments to enhance transparency and reduce conflicts of interest.

The revised rules eliminate reward entitlements for senior executives, while the department is pushing to abolish such payments for customs officials at all levels.

The objective is to reduce conflicts of interest arising from situations in which customs officers investigate violations of customs law while also receiving financial rewards based on the value of seized goods.

These reforms are intended to strengthen confidence among businesses, investors and the public, laying a stronger foundation for a more efficient, transparent and internationally competitive Thai customs system capable of accommodating future global trade, said Mr Phantong.

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