WORLD TRADE  
ORGANIZATION  TN/TF/W/58 
25 July 2005 
 
 (05-3331) 
Negotiating Group on Trade Facilitation Original:   English 
  
 
COMMUNICATION FROM SINGAPORE 
  
 The following communication, dated 22 July 2005, from the Delegation of Singapore, is 
being circulated in advance of the Negotiating Group meeting of 25-26 July. 
 
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GATT ARTICLE VIII 
(FEES AND FORMALITIES CONNECTED WITH IMPORTATION AND EXPORTATION) 
 
Singapore’s National Experience in implementing a "single window" system via TradeNet®
 
  
I. INTRODUCTION 
1. GATT Article VIII imposes certain obligations on Members in relation to fees and charges 
imposed on or in connection with importati on and exportation. It also recognizes: 
(a) The need for reducing the number and divers ity of fees and charges referred to in 
Article VIII:1(a); and 
(b) The need for minimizing the incidence and complexity of import and export 
formalities and for decreasing and simplifying import and export documentation 
requirements (Article VIII:1(c)). 
2. This paper relates to (b). It provides a factual account of Singapore’s experience on the 
adoption of a single window system
1 based on an automated electronic data interchange (EDI) system 
and how this has reduced excessive formalities a nd documentation requirements, and facilitated the 
customs procedures for the timely movement and clearance of goods. In this regard, several papers 
(e.g., TN/TF/W/17 from Japan, Mongolia, Chinese Taipei and Peru; TN/TF/W/18 from Korea; 
TN/TF/W/30 from Peru; TN/TF/W/45 from Turkey ; TN/TF/W/46 from the European Communities; 
TN/TF/W/50 from Malaysia) have been tabl ed. This paper does not make any specific 
recommendations and is intended solely  for Members’ information.   
 
                                                      
1 A "single window" environment aims to expedite and simplify information flows between traders and 
government by providing one "entrance," either physical or electronic, for the submission and handling of all data and documents related to the release and clearance of an international transaction. This "entrance" is 
managed by one agency, which informs other appropriate agencies, and/or directs combined controls. 
Theoretically, therefore, a "single windo w" system is one that allows trader s to lodge information with a single 
body to fulfil all import- or export-related regulatory requirements. See the publication "The Single Window 
Concept" published by the United Nations Economic Commission for Europe. TN/TF/W/58 
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 II. SINGAPORE’S EXPERIENCE 
3. Since 1989, Singapore has put in place an EDI-based system known as TradeNet®. As part of 
the overall objective to simplify import and expor t formalities and requirements for traders, 
TradeNet® replaces the previous cumbersome paper- based procedures that traders had to follow to 
process their customs documents, and serves as the "single window" for one-stop service clearance/release facilities through coordination among multiple agencies.
2 The system is consistent 
with the general principles in the World Custom s Organization International Convention On The 
Simplification and Harmonization Of Customs Pr ocedures 1999 (Revised Kyoto Convention), of 
modernizing customs procedures and practices and t hus enhancing efficiency and effectiveness; the 
application of customs procedures and practices in a predictable, consistent and transparent manner; 
the implementation of relevant international st andards; and the maximum practicable use of 
information technology, where it is cost-effective and efficient for Customs and for traders.   
1. The situation prior to TradeNet® 
4. In many countries, although customs agenci es are the primary border agency, many other 
agencies, such as those dealing with food and health , are sometimes present at borders and require an 
additional level of inspections, doc uments and data. It is also we ll known that lack of coordination 
among different agencies leads to unnecessary delays.  
5. Singapore was no different in this respect. Multip le agencies, each with their own set of rules 
and requirements (e.g., an endorsement from the appr opriate controlling agency in respect of certain 
controlled items such as drugs), were involved in  processing documentation. Traders had to prepare 
multiple forms and physically deliver them to the different agencies for processing and approval. The 
entire process normally took about 2 days, but delays in securing the necessary approvals often 
resulted in delays in the clearance of goods which in turn resulted in traders incurring demurrage or 
extra warehousing and bank charges. On the part  of agencies, processing an increasing volume of 
paperwork (about 10,000 trade declarations on a da ily basis then) was labour-intensive, and not 
sustainable in the long term.  
2. The automation of customs procedures through TradeNet® 
6. TradeNet® was conceived as a comprehensive trade documentation system for the electronic 
submission of trade declarations and related information to a range of ag encies. In order to ensure that 
the requirements of these agencies are coordinated in  a trade-facilitative manner and minimize delays, 
all the information required by these bodies includi ng the core set of data elements required by 
Customs, was rationalized in a common form. Trad eNet® was then designed to function as a one-stop 
centralized system for the processing of trade declarations by all relevant agencies.  
7. As TradeNet® defined the work process be tween traders and agencies such that unnecessary 
and repetitive procedures were eliminated, overall e fficiency increased. Traders need only fill in a 
single electronic form for submission to the various agencies. Upon approval, the relevant documents 
are electronically returned, and copies can be printe d as needed. From the traders’ perspective, they 
now deal only with a single system interface. From  the agencies’ perspective, automation released 
resources which can be deployed in other areas. 
                                                      
2 There are various models of a "single window" system that have been developed and effectively 
introduced. "Single window" can involve a single author ity, where Customs coordinates and/or enforces all 
border-related controls (e.g., Sweden and the Nether lands). It can mean a single system, integrating the 
electronic collection, use and dissemination of internationa l trade data related to cr oss-border trade (e.g., the 
US). It can also be an automated system through whic h a trader submits electronic trade declarations to the 
various controlling agencies for processi ng and approval in a single applica tion; the approved permits are then 
transmitted electronically to the trader’s computer. Sing apore’s TradeNet® is an example of a "single window" 
system that takes this form.  TN/TF/W/58 
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 3. Implementation and pre-requisites for using TradeNet® 
8. TradeNet® was implemented in stages. Initia lly, the system only processed applications for 
items that were not controlled or subject to duty.  Subsequently, it was extended to controlled items 
(e.g., arms and explosives, food and medicines), dutiable goods (e.g., intoxicating liquors, tobacco 
products, motor vehicles and petroleum products) and certificates of origin. TradeNet® can be 
accessed remotely or through the Internet. The hard ware and software requirements are basic. Traders 
that wish to access the system via remote dial-up only need a computer, telephone line, modem, front-
end software and printer. If the traders wish to access the system through the Internet, they need a 
computer, telephone line, modem and a browser. Alte rnatively, traders may appoint an agent or 
freight forwarder, or get the TradeNet® Service Centre to submit applications on their behalf. 
9. First time users of TradeNet® must obtain a Central Registration (CR) number, which is 
assigned free of charge. The CR number enables trad ers to submit import, export and transhipment 
permit applications through the system. In addition, traders must register with the TradeNet® System 
Administrator as a TradeNet® user in order to submit permit applications for processing and approval.  
4. How TradeNet® works 
10. When a trader submits an application for a pe rmit either via dial-up or through the Internet, 
the application is routed to the TradeNet® Administ rator. If the trader intends to export and requires a 
certificate of origin for the goods, the app lication can be made on the same form.  
(a) TradeNet® then routes the application electronically to Customs and other agencies 
for processing. The system will also create a record of the application so that the 
trader can access it later to enquire about the status of the application – whether it has 
been approved, rejected or is still being processed.  
(b) If the application is defective (e.g., clerical  errors, wrong tariff code, etc.), the trader 
may effect amendments to the applicati on and depending on the defect, re-submit it 
as a new application.  
(c) To facilitate payment of duties and taxes (e.g., goods and services tax or GST), all 
TradeNet® users and declaring agents must maintain a bank account from which funds may be electronically transferred. When  the application is approved, applicable 
duties and GST will be automatically deducted electronically. 
(d) Upon approval, the application is assigned a permit number and the permit message is 
transmitted to the trader for him to print a permit for cargo clearance. With this 
document, the trader can proceed to import, export or tranship the goods. Finally, all 
TradeNet® permits are bar-coded to facilita te validation, updating and clearance at 
checkpoints.  
III. BENEFITS  
11. TradeNet® was first introduced on a trial basis with a group of 50 users. Currently, there are 
over 2,400 traders, shipping agents, freight forwar ders, air cargo agents, etc., linked to TradeNet®. 
All permit applications for imports and exports are processed electronically through TradeNet®, 
which processes about 20,000 applications on a daily  basis. This translat es to about 8 million 
applications a year.  
 TN/TF/W/58 
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 12. The benefits from an automated system such as TradeNet® are numerous: 
(a) It offers an improved level of service to the trading community, and improved human 
resource management for both traders and ag encies. In the paper-based environment, 
documents had to be physically delivered and collected – and this could only be done 
during office hours. Using TradeNet®, documents can be transmitted and the 
approved permits received electronically, 24 hours a day. Furthermore, while 
previously it took between 2 and 7 days to obtain approval, now an application can be 
approved within 10 minutes on average. 
(b) Coupled with the elimination of volumi nous paperwork – including the automatic 
electronic deduction of duties and taxes; th is has resulted in an overall reduction in 
business costs for traders.  
(c) Other benefits include more efficient customs control, which enhances risk 
management (see e.g., TN/TF/W/47 from Singapore on risk management); uniform enforcement of customs legislation; and faster production of trade statistics. 
13. In summary, the institution of TradeNet® has resulted in a substantial and notable increase in 
the administrative and operational capacity, transpar ency and predictability of the operations of 
Customs and other agencies, without compromising the key objectives of trade facilitation on the one hand and sufficient controls on the other.  
IV. CONCLUSION 
14. We have outlined Singapore’s  national experience in implementing a "single window" system 
via TradeNet®. However, we recognize that least-d eveloped countries and so me developing countries 
may have difficulties implementing an EDI-based "single window" system such as TradeNet®. 
TradeNet is one model of a "single window" system, and one of the tools which can be used to achieve the objectives of Article VIII. In sharing our experience, we hope to encourage discussion on 
possible approaches to "single window" systems as well as alternative means of achieving the same 
gains. Special and Differential Treatment that tak es into account the different capacities of Members 
should, where necessary, be an integral part of any commitment in the area of "single window" 
systems. For example, Members may wish to discuss longer implementation time-frames for 
developing and least-developed c ountries, and other phased-in approaches. Technical assistance and 
capacity building measures would also be an impor tant aspect of the implementation of a "single 
window" system. 
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