The new Myanmar Automated Cargo Clearance System (MACCS) went live across Yangon region on November 12. But, despite having gone through a trial period to iron out any kinks, MACCS has lengthened not shortened customs clearance times.

International firm CEA projects logistics sent an email to customers in December warning that MACCS was contributing to longer waiting times at Yangon customs.

“Although we have seen improvement since its launch the online customs department [is] still adapting to the new system causing inevitable delays,” the firm said. Customs clearance at all Yangon ports was taking between 15 and 20 working days, and between 12 and 15 working days at the airport, according to CEA.

The firm told The Myanmar Times yesterday that “things are improving but delays are still being encountered”.

Other importers in the weeks after MACCS was launched complained of poor internet connections and untrained staff, though some were prepared to be patient while the system was rolled out.

A customs department official, who asked to remain anonymous, told The Myanmar Times this week that staff training had been inadequate and that various “inconveniences” had prompted many complaints from traders.

Despite being operational for almost two months already, the authorities held a launch ceremony for MACCS and the Myanmar Customs Intelligence System (MICS) on January 6.

U Win Thant, director of the MACCS, said at the ceremony that although the system was designed to be used for border trade, it would not be adopted at other border points until next year.

“We have already conducted a study at the Myawaddy border point [with Thailand],” he said. “But [MACCS] can’t be used at the moment. We expect the system to be available at border points in 2018.”

U Win Thant said a lack of internet access and computers and the need for specific training for customs staff and traders meant it would take time to adopt MACCS at border points.

The system is designed to facilitate trade, and to help the government collect taxes, said Union Minister for Finance and National Planning U Kyaw Win at the launch ceremony.

“Even though we are able to implement and use this [system] we know there are still going to be many hardships and challenges for us to use it smoothly,” he added.

The export-import process involves a litany of government departments. Permits and licences are given by the Ministry of Commerce, but food and pharmaceuticals exports are inspected by the Food and Drug Administration, certain agricultural products are under the responsibility of the Myanmar Plant Protection Division, and the Department of Fisheries is involved in checking fishery exports, according to customs officials. Improving coordinationg among so many entities is not straightforward.

There have also been problems linking MACCS, through which exporters and importers pay tax and customs fees, with the financial sector.

“It’s vital to [link with the] banking system,” said U Win Thant, but added that although the initial plan had been for this to happen, technical issues meant it had been shelved for now.

“We’re in discussion with the Central Bank and have agreed to postpone implementing [a link] with the banking system,” he said. “When the whole process is [working] smoothly we will upgrade it [to join with] the banking system.”

Translation by Zar Zar Soe, Kyaw Soe Htet and Emoon