Customs chief outlines benefits of new law
A NEW Customs law which will come into force next month would facilitate faster customs clearance, as well as import, export and investment, assured Customs Department director general Kulit Sombatsiri yesterday.
Kulit told hundred of businesses representatives that the department is speeding up its |issuing of new regulations which will be compatible with the new law and more transparent when it comes into effect on November 13 this year.
The new law would also reduce the discretionary power of Customs officials regarding tariff disputes with importers, Kulit said.
Under the new law, Customs officials have to conclude tariff dispute within three years. If the case were not settled by then, it would go to court, sharply down from the 20-year period for |customs valuation under the |previous law.
The new law also limits to a maximum Bt5 million the reward offered to officials or other people who inform about customs evasion, or goods smuggling. The previous generous rewards provided counter-productive incentives for officials to treat importers unfairly.
Limits free-zones to specific areas
Customs-free-zones will be required to locate in a few key areas, said Kulit. The areas are: Suvarnabhumi airport, Laem Chabang seaport, Klong Toey port, the Eastern Economic Corridor, special economic zones and in the three deep Southern provinces.
The reorganisation of customs-free-zones is part of a new Customs law. Free-zones are now scattered around the country, making it hard for the department to supervise, he said.
In related development, the Customs department also worries Asean-China free trade will trigger an influx of Chinese goods
The Customs Department will hold talks with its Chinese counterpart over the impact of a new free-trade agreement between Asean and China that will come into effect in January next year, Kulit said.
Under the free-trade agreement, Thailand has to lower tariff rates from the current 20-30 |per cent to 5 per cent and some products are exempted from taxes, Kulit said. The tariff cut covers about 700 items.
The department expects |more Chinese goods would enter Thai market next year and it that could adversely impact the local manufacturing sector, especially electronics, microwave ovens, TV sets, electric irons and other home appliances.
Farmers who grow tomatoes and wheat would also be affected, Kulit said.
Should importers fully utilise tariff cuts, it would reduce Customs revenues by over Bt800 million, said Kulit.
He did not reveal what he will discuss with Chinese officials.
The department has set a |target of Bt110 billion in tariff |revenue in 2018 fiscal year which runs from this month until September next year. The |previous fiscal year ending in September collected Bt104.78 billion, beating its revenue target of Bt104 billion.
