A single-window system enables cross-border traders to submit regulatory documents at a single location or to a single entity, which facilitates trade.
Asean is designing an “Asean Single Window System” by implementing single window systems in each country. The critical aim of the scheme is to smooth the trade process within Asean countries by 2015. The system is already in place in Indonesia, Malaysia, the Philippines, Singapre and Thailand. Brunei is undertaking similar efforts now, and Vietnam also appears to be on the right track. However, the rest of the Asean countries have stalled.
The survey said implementing the system would take time because it is necessary to closely coordinate between respective governments’ trade ministries. Moreover, implementing a national single-window system requires setting up financial programs and establishing a budget.
Singapore employs the system most among Asean countries, followed by Malaysia. Indonesia, the Philippines and Vietnam will not fully participate in the system due their abundant ports and departments. Indonesia and the Philippines, however, have adopted and are practicing the system together.
The CLMV countries (Cambodia, Laos, Myanmar and Vietnam) seem unable to run pilot projects, so their systems will likely not be in place by 2015.
“Singapore is the only country with success in practicing the system. Other countries fail, even though they are practicing the same system. Singapore implemented a tax-free system at ports very quickly. Tax services can now all be done at one place,” a business man said. He added, “When I was in Indonesia back in 2009, they began the pilot of the national window system. The problem was tax services can’t be done at a single place because too many ports must coordinate with each other for taxation. However, Indonesia is still running ahead of us.”