# Crossborder & Centralised Clearance Authorizations

# Business Case for Centralised Clearance within VTTI

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</div>#### Executive question

<div id="bkmrk-the-aim-of-this-posi" style="text-align: inherit;"><span style="background-color: unset; font-size: 1em; text-align: inherit; letter-spacing: 0.0178571em;">The aim of this position paper is to answer the following key question: </span></div><div id="bkmrk--1">  
</div><div id="bkmrk-to-what-extent-does-"><p class="callout info">To what extent does the introduction of Centralised Clearance create opportunities for VTTI to redesign its customs operating model and establish a more centralised customs function within the EU?</p>

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</div>#### **Current state assessment**

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</div><div id="bkmrk-footprint%3A">**Footprint:**</div>- In which EU member-states is VTTI currently involved in customs activities?
- Which legal entities currently act as declarant / representative in customs declarations?
- Which entities currently hold customs and excise authorisations?
- Which customs IT systems are currently used?
- Which customs brokers are currently used by which entities, in which countries?

<div id="bkmrk-governance%3A">**Governance:**</div>- <div>Where are customs decisions currently taken?</div>
- <div>What responsibilities are handled locally?</div>
- On which terminals doe we currently have customs staff? How many FTE per terminal?
- <div>What responsibilities are coordinated centrally?</div>

- At a first glance, the current setup seems to have a decentralized focus, with a limited, supporting and coordinating role at HQ level. <span>What is the rationale behind the existing setup?<span> Is the current model for instance driven by:</span></span>
    - <span><span>Legal requirements?</span></span>
    - <span><span>Operational considerations?</span></span>
    - <span><span>Historical acquisitions or other historical reasons?</span></span>
    - <span><span>Tax considerations?</span></span>
    - <span><span>other?</span></span>

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</div><div id="bkmrk--6"><span><span>  
</span></span></div>#### <span><span>**Understanding centralised clearance**</span></span>

<div id="bkmrk-what-is-centralised-">What is centralised clearance?</div>- <div><span><span>UCC concept</span></span></div>
- Supervising customs office
- Presentation customs office
- Data-sharing between Member States

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</div><div id="bkmrk-which-customs-proced">Which customs procedures can be covered by CC? </div>- <div>Import?</div>
- <div>Export?</div>
- <div>Transit? </div>
- Customs warehouse?
- Inward Processing?
- Other?

<div id="bkmrk-conditions-and-limia">Conditions and limiatations:</div>- <div><span><span>What are the legal requirements</span></span></div>
    - <div><span><span> Authorisations</span></span></div>
    - <div><span><span>Compliance standards</span></span></div>
    - <div><span><span>Record keeping</span></span></div>
- <div>Practical:</div>
    - <div>Different national implementations</div>
    - <div>Availability of IT systems</div>
    - <div>Data quality</div>
- Business:
    - Need for local operational knowledge
    - Interaction with terminal operations

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</span></span></div>#### <span><span>**Future state scenarios for VTTI**</span></span>

- Implementation of CC could potentially allow for a more centralized customs function. What are the pros and cons of a more centralized setup for VTTI?
- Are there other perspectives that need to be considered? Excise? CIT? VAT? Legal? Financial? Operational?

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</div><div id="bkmrk-outline-different-sc">Outline different scenarios:</div>1. <div>Current model</div>
2. <div>Hybrid model (certain functions centralised at HQ, other remain at terminal)</div>
3. <div>Centralized declaration model (one EU customs center, declarations filed from one location, limited local operational support)</div>
4. <div>Customs centre of excellence (all centralized under 1 team)</div>

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</div>#### Impact assessment

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