COMMISSION STAFF WORKING DOCUMENT Accompanying the document Report from the Commission to the Council and the European Parliament Progress Report on the implementation of the EU Strategy and Action Plan for customs risk management
Date: 2016-07-19
Institutions: Directorate-General for Taxation and Customs Union, European Commission
Subjects: EU control, action programme, customs cooperation, customs regulations, customs territory (EU), customs union, exchange of information, import policy, institutional cooperation

EN 

   EN 

   EUROPEAN COMMISSION  Brussels, 19.7.2016  SWD(2016) 242 final   COMMISSION STAFF WORKING DOCUMENT Accompanying the document Report from the Commission to the Council and the European Parliament Progress Report on the implementation of the EU Strategy and Action Plan for customs risk management {COM(2016) 476 final}  
 
 
Table of Contents 

ACRONYMS AND ABBREVIATIONS............................................................................ 3 

1 

INTRODUCTION ....................................................................................................... 6 

1.1  Overview ........................................................................................................... 6 
1.2  The role of the Strategy ..................................................................................... 6 

2 

THE PROCESS OF DRAFTING THE REPORT ...................................................... 7 

2.1   The survey reporting model ............................................................................... 7 
2.2  Collecting the information ................................................................................. 7 

3  GENERAL RESULTS FROM THE PROGRESS REPORTING .............................. 7 

3.1  Progress at the level of sub-actions ................................................................... 8 
3.2  Progress concerning the deliverables ................................................................ 9 

4 

PROGRESS REPORTING PER OBJECTIVE ......................................................... 10 

4.1  Objective  1:  Improving  data  quality  and  filing  arrangements  for 

effective risk management ............................................................................... 10 

4.2  Objective 2: Ensuring availability of supply chain data and sharing of 
risk-relevant 
information  and  control  results  between  customs 
authorities in order to analyse and mitigate risks and ensure equivalent 
treatment of economic operators ..................................................................... 13 

4.3  Objective  3:  Implementing  the  concept  of  ‘assess  in  advance  — 
control where required’ to respond adequately to risks identified at EU 
and national level while maximising efficiency in the use of resources 
and the fluidity of the supply chain ................................................................. 20 

4.4  Objective  4:  Increasing  capacity  to  ensure  consistent  and  effective 
implementation  of  the  Common  Risk  Management  Framework 
(CRMF) and to increase responsiveness to newly identified risks .................. 23 

4.5  Objective  5:  Promoting  interagency  cooperation  and  improving 
information sharing between customs and other authorities at Member 
State and EU level, in order to ensure effective risk management .................. 39 

4.6  Objective 6: Developing cooperation with trade to secure and facilitate 

legitimate trade ................................................................................................ 53 

4.7  Objective 7: Tapping the potential offered by international cooperation 
to  improve  risk  management  of  the  supply  chain,  for  better 
identification  of  risks,  more  effective  risk  mitigation  and  cost 
reduction for operators and authorities ............................................................ 62 

2 

 
 
 
 
 
 
ACRONYMS AND ABBREVIATIONS 
The following acronyms are used in this document: 

Abbreviation 

Meaning 

AAC 

AEO 

AEO-ICP 

AES 

ATIS  

Administrative Assistance and Cooperation 

Authorised Economic Operator 

Authorised  Economic  Operator  — 
Programme 

Internal  Compliance 

Automated Export System 

Anti-fraud Transit Information System 

CBRNE 

Chemical, biological, radiological, nuclear, and explosives 

CCC-CRM 

Customs  Code  Committee-Control 
and  Customs  Risk 
Management  (since  1.5.2016  the  Customs  Expert  Group  – 
Customs Control and Risk Management Section (CEG-CRM) 

CDC 

CDS 

Customs Control Circuit 

Security Customs Circuit 

CEPOL 

The European Police College 

CFSP 

COI 

CORE 

CCWP 

Common Foreign and Security Policy 

Certificate of Organic Inspection 

Consistently Optimised Resilient Ecosystem implementation 

(Council) Customs Cooperation Working Party 

CCWP AP 

Customs Cooperation Working Party’s Action Plan 

CISE 

CN23 

Common Information Sharing Environment 

Customs declaration for postal parcels 

CN codes 

Goods coding of the Combined Nomenclature 

CPG 

CRC 

CRAI 

CRM 

Customs Policy Group 

Common Risk Criteria 

Common Risk Analysis Initiative 

Customs Risk Management 

3 

 
 
 
Abbreviation 

Meaning 

CRMF 

CRMS 

CSM 

CUP 

DA 

Customs Risk Management Framework 

Customs Risk Management System 

Container Status Message 

Customs Union Performance 

Delegated Act (Regulation) 

DDNTA 

Design Document for the National Transit Applications 

DTLF 

ECS 

Digital Transport and Logistics Forum 

Export Control System 

EMPACT 

European Multidisciplinary Platform Against Criminal Threats 

ENS 

EOS 

Entry Summary Declaration 

Economic Operator System 

EU MSS 

EU Maritime Security Strategy 

EUTR 

FoS 

FTSS 

IA 

ICAO 

GNC 

ICS 

JRC 

The EU Timber Regulation 

WCO Framework of Standards 

Functional Transit System Specifications 

Implemented Act (Regulation) 

International Civil Aviation Organisation 

Globally Networked Customs 

Import Control System 

Joint Research Centre 

JWGACI 

Joint Working Group on Air Cargo Information 

LFCG 

MRA 

MSA 

NCTS 

NII 

Land Frontier Contact Group 

Mutual Recognition Agreement 

Market Surveillance Authorities 

New Computerised Transit System 

Non-Intrusive Inspection 

4 

 
Abbreviation 

Meaning 

OAP 

PARCS 

PCA  

PG 

PLACI 

RASFF 

RAPEX 

REFIT 

Operational Action Plans 

Prohibitions and Restrictions project group 

Priority Control Area 

Project Group 

Pre-Loading Advance Cargo Information 

Rapid Alert System for Food and Feed 

Rapid Alert System for dangerous non-food products 

European  Commission’s  Regulatory  Fitness  and  Performance 
programme 

RIF 

Risk Information Form 

RIMSCO 

Risk Management Strategy Implementation Coordination Group 

WCO SAFE FoS 

Framework of Standards to Secure and Facilitate Global Trade 

SIMEX 

(Joint) Simulation Exercise  

SSTL 

SWD 

Smart and Secure Trade Lanes 

Staff Working Document 

TRACES 

Trade Control and Expert System 

TRIP 

TRQ 

UB 

UCC 

UPU 

WCO 

Travel Information Point 

Tariff Rate Quota 

Utility Block (WCO) 

Union Customs Code 

Universal Postal Union 

World Customs Organisation 

5 

 
 
 
1 

INTRODUCTION 

1.1  Overview 
Following the conclusions of the Council of 4 December 2014, the Commission updated 
the Council on the implementation of the EU Strategy and Action Plan for customs risk 
management1  (hereinafter  referred  to  as  ‘the  Strategy’)  in  its  report  COM(2016)  476. 
This Commission staff working document (SWD) provides more detailed information on 
the  implementation  of  the  individual  actions  that  were  specified  in  the  separate  Action 
Plan annexed to the Strategy. 

The  overall  aim  of  the  Strategy  is  to  achieve  a  high-quality,  multi-layered  approach  to 
risk  management.  The  Strategy  identifies  seven  key  priorities  (objectives),  for  each  of 
which a number of actions are identified, that will contribute to achieving more effective 
and  efficient  EU-wide  customs  risk  management.  The  Action  Plan  includes  22  actions 
and  54  sub-actions.  These  actions  are  described  in  more  detail  in  a  separate  roadmap 
produced  by  the  Commission  services  in  coordination  with  the  Member  States.  The 
roadmap sets out how the objectives and actions, including the 64 deliverables, are to be 
implemented in practice. 

The  roadmap  provides  a  comprehensive  overview  of  the  actions  and  projects  currently 
being  carried  out  and  those  planned  for  the  future.  The  Commission  and  the  Member 
States have been requested to report on the progress made in implementing the individual 
actions specified in the roadmap. 

The main aim of the roadmap is to determine the priority actions and their timing. It also 
serves  as  a  tool  to  monitor  the  work  being  carried  out  and  to  identify  the  possible 
unexpected  effects,  the  synergies  with  other  actions  and  the  various  parties  concerned 
and, where necessary, to guide the revision of the schedules set for other related actions. 

In  order  to  ensure  the  full  involvement  of  Member  States  in  this  complex  process,  the 
CPG  launched  the  Risk  Management  Strategy  Implementation  Coordination  Group 
(RIMSCO)  in  December  2014.  This  group  meets  regularly  and  assists  the  Commission 
services  in  setting  priorities  and  identifying  synergies  in  the  implementation  of  the 
Strategy and also contributed to this report. 

1.2  The role of the Strategy 
The Strategy takes account of the variable nature and the broad range of the risks to be 
addressed. It recognises the primary responsibility that customs authorities have for the 
supervision of EU international trade in goods. 

Customs authorities receive a large volume of information on the flows of goods into the 
EU, transiting and leaving the customs territory. This information is available at an early 
stage, when goods still have to be loaded in a non-EU country. Customs therefore have a 
pivotal  function  in  controlling  international  flows  of  goods.  Coordination  with  other 
border agencies is of utmost importance for working effectively together. 

Modern customs services have a varied and challenging role to play. While ensuring the 
security and safety of citizens and the more traditional task of collecting duties and taxes 
remain priorities in their role as a controlling border authority, they also need to facilitate 
the flow of trade in support of trade policy and economic development. 

1 COM(2014) 527 final. 

6 

 
                                                 
Multidisciplinary  cooperation  is  essential  at  national,  EU  and  international  level.  The 
Strategy  therefore  also  refers  to  the  international  context  and  to  the  importance  of 
international cooperation in risk management, both with the EU’s neighbouring countries 
and, globally, with its main trading partners. 

2  THE PROCESS OF DRAFTING THE REPORT 

2.1   The survey reporting model 
The  Commission  services  used  a  survey  model  to  consult  all  Member  States2  and  the 
relevant Commission services on the progress achieved. This survey was distributed on 4 
February 2016, to be completed by 29 February 2016. Reporting was required at the level 
of the 54 sub-actions (level 2 of the roadmap), on the following aspects: 

a.  Progress  made:  information  on  actions  and  achievements,  highlights  and  success 
stories. 

b. Actions planned, but not started: information on actions not yet being carried out. 

c. Completed actions and sub-actions: information on specific actions already completed. 

d.  Comments  and  suggestions:  this  part  provided  an  opportunity  to  make  general 
comments  on  the  progress  made  in  implementing  the  actions  and  on  challenges  and 
conflicts that had arisen during implementation. Proposals for new actions or deletion of 
specific actions could also be included here. 

2.2  Collecting the information 
At the January meeting of the RIMSCO, Member States asked the Commission services 
to identify the specific actions for which they had to provide information on the progress 
of  implementation  at  national  level.  Member  States  were  only  asked  to  report  on 
developments on nine actions, relating, variously, to Objectives 4, 5 and 6. This should 
be  kept  in  mind  when  reading  the  overall  assessment  given  in  the  next  chapter,  as  the 
contributions come, for the most part, from actions carried out by the Commission. 

Several  reports  had  not  been  received  by  the  original  deadline,  and  this  was  therefore 
extended to 7 March 2016. The reporting surveys were completed by all Member States. 

All  responses  were  compiled  and  analysed,  in  order  to  provide  an  informative 
contribution to the report and to this SWD. 

GENERAL RESULTS FROM THE PROGRESS REPORTING 

3 
It is important to note that no measurable indicators for implementation were agreed in 
the  action  plan  at  the  outset.  It  has  not  therefore  been  possible  to  provide  a  precise 
quantitative assessment of the progress of implementation at this stage. 

2 Delegates of RIMSCO: the Risk Management Strategy Implementation Coordination Group. This group 
was set up by the Customs Policy Group (CPG) in December 2014. The group is mandated to assist the 
Commission in setting priorities and identifying synergies in the implementation of the Strategy. 

7 

 
                                                 
3.1  Progress at the level of sub-actions 

Progress at the level of sub-actions 

Not started,  4 
(7%) 

Delayed, 9 (17%) 

Completed, 
41 (76%) 

Despite the lack of measurable indicators, some general statistics can be provided at the 
level of the 54 sub-actions: 

  41  sub-actions  have  been  completed  or  are  ongoing  (marked  green  in  the  tables 

below), representing 76 % of the action plan; 

  9  sub-actions  have  been  started  but  are  only  partly  ongoing  or  have  been  delayed 
relative to the initial timing stipulated in the roadmap (marked orange in the tables 
below), representing 17 % of the action plan; 

  4  sub-actions  have  not  yet  been  started  (marked  blue  in  the  tables  below), 

representing 7 % of the action plan. 

8 

 
 
 
 
 
3.2  Progress concerning the deliverables 

Progress concerning the 
deliverables 

Not achieved 
yet 
18 (28%) 

Partialy 
achieved  
1 (2%) 

Achieved 
11 (17%) 

Ongoing 
34 (53%) 

Deliverables  have  been  identified  for  the  implementation  of  each  action  (level  1  in  the 
roadmap).  A  total  of  64  deliverables  have  been  reported  as  being  achieved  (green), 
ongoing (orange) or not yet started (blue). In summary: 

  11 deliverables have been achieved (marked green): 17 % of all deliverables; 

  action is ongoing for 34 deliverables (marked orange): 53 % of all deliverables; 

  one  deliverable  has  been  partially  achieved  (marked  green/blue):  2 %  of  all 

deliverables; 

  no  action  has  been  launched  or  no  results  achieved  for  18  deliverables  (marked 

blue): 28 % of all deliverables.  

9 

 
 
 
 
4  PROGRESS REPORTING PER OBJECTIVE 

4.1  Objective 1: Improving data quality and filing arrangements for effective risk 

management 

Objective 1 is comprised of two actions. The first focuses on setting legal requirements to 
ensure  that  high-quality  data  on  supply  chain  movements  is  available  and  is  used 
effectively  for  risk  management  purposes  by  customs  and  other  competent  authorities. 
This action has been completed with the adoption and publication of Regulation (EU) No 
952/2013  of  9  October  2013  (the  Union  Customs  Code,  UCC),  Delegated  Regulation 
(EU) No 2015/2446 of 28 July 2015 (the Transitional Delegated Act)3 and Implementing 
Regulation  (EU)  No  2015/2447  of  24  November  2015  (the  Implementing  Act).  The 
legislation is applicable from 1 May 2016 and the development and upgrading of relevant 
IT  systems  will  take  place  in  accordance  with  the  timeline  laid  down  in  the  work 
programme for the Union Customs Code4. 

Action  2  relates  to  the  development  and  implementation  of  appropriate  IT  solutions  to 
support  increased  capacity  for  the  detection  of  security  and  safety  risks  at  the  point  of 
entry  of  goods.  The  current  Import  Control  System  (ICS)  includes  provisions  on  the 
handling of pre-loading and pre-arrival declarations and the linking of these documents 
with  the  risk  analysis.  The  ICS  2.0  project  has  been  launched  to  manage  the  improved 
filing  of  supply  chain  data  and  ensure  increased  capacity  to  detect  security  and  safety 
risks  at  the  point  of  entry  of  goods.  The  legislation  will  be  implemented  through  the 
deployment  of  ICS  2.0  in  accordance  with  the  UCC  work  programme5.  Further 
development  of  ICS  2.0  is  currently  delayed  as  the  project  has  not  entered  its  formal 
elaboration phase. 

3   Commission Delegated Regulation (EU) 2016/341 of 17 December 2015 supplementing Regulation (EU) No 952/2013 of the 
European Parliament and of the Council as regards transitional rules for certain provisions of the Union Customs Code where 
the  relevant  electronic  systems  are  not  yet  operational  and  amending  Delegated  Regulation  (EU)  2015/2446  (OJ  L  69, 
15.3.2016, p. 1). 

4  

5  

Commission  Implementing  Decision  (EU)  2016/578  of  11  April  2016  establishing  the  Work  Programme  relating  to  the 
development and deployment of the electronic systems provided for in the Union Customs Code (OJ L 99, 15.4.2016, p. 6). 

Commission Implementing Decision (EU) 2016/578 of 11 April 2016. 

10 

 
 
 
                                                 
Action 1.1 

Exercise the empowerment granted in the Union Customs Code 
(UCC) to adopt Commission (COM) acts 

1.1.1  COMPLETED 

For  goods  brought  into  the  customs  territory  of  the  Union; 
conclude  the  analysis  for  necessary  improvement  of  Entry 
Summary Declaration (ENS) data, taking into account different 
business  models,  the  results  of  air  cargo  security  pilot  actions, 
and evaluation of the Import Control System (ICS) 

1.1.2  COMPLETED 

For  goods  brought  into  the  customs  territory  of  the  Union; 
propose  a  harmonised  solution for  collection  and  integration  of 
ENS  data  from  trade  sources,  based  on  analysis  of  costs  and 
benefits  and  associated 
(including 
technical, financial and organisational aspects) 

implementation 

issues 

The  analyses  have  been  carried  out  by  the  Customs  2020  Project  Group  supporting 
analysis of the implementation feasibility for Objectives 1-2 of the EU Risk Management 
Strategy.  This  group  presented  the  results  of  its  work  to  the  Customs  Policy  Group  in 
December  2014.  The  project  group  discussed  the  functional  architecture,  actual 
technologies as well as requirements for appropriately carrying out risk management on 
Entry  Summary  Declaration  (ENS)  data  and  the  related  functional  and  non-functional 
requirements. 

Finally  the  Project  Group  recommended  the  set-up  of  a  Common  Repository  for 
mandatory  use  by  all  Member  States;  and  to  establish  for  interested  Member  States  a 
Shared Trader Interface and a shared functionality for e-screening. 

Following  the  recommendations  of  the  Project  Group,  the  CPG  approved  the  inception 
phase of what would be called later the ‘ICS 2.0’ project. The Commission, with support 
from the Customs 2020 Project Group, has drafted a business case and a vision document 
for ICS 2.0. These documents were presented to the CPG on 3/12/2015. 

1.1.3  COMPLETED  Adopt provisions within legal acts 

This action is completed with the adoption of the UCC, Regulation (EU) No 952/2013 of 
9 October 2013, the Delegated Regulation (EU) No 2015/2446 of 28 July 2015 (DA) and 
Implemented Regulation (EU) No 2015/2447 of 24 November 2015 (IA). The legislation 
is  applied  as  of  1  May  2016.  Implementation  to  support  the  improved  data  quality  and 
filing arrangements will be implemented in accordance with the UCC Work Programme 
through the deployment of ICS 2.0. 

DELIVERABLES: both deliverables have been concluded  

Implementation study for Entry determining the IT requirements for the different 
filing  options,  including  collection,  integration  and  management  of  data  from 
different trade sources to meet risk management needs 

Adopt  provisions  with  legal  acts:  Annex  B  (UCC  DA/IA)  and  Title  4  (UCC 
DA/IA) 

11 

 
 
 
 
 
Action 1.2 

Develop and implement appropriate IT solutions 

1.2.1 

DELAYED 

Adjust and further develop necessary IT systems for ENS data 
submission by economic operators, and its collection and 
integration for customs authorities  

As a conclusion of the inception phase TAXUD has, in close cooperation with a Customs 
2020 Project Group comprised of experts from 15 Member States, finalised the business 
case and first version of the vision document for ICS 2.0. Both documents have been 
drafted and presented for go/no-go decision to the CPG in December 2015. The go-
decision on the basis of the vision document for starting the elaboration phase of the 
project was not given by CPG. The CPG concluded that some clarifications are to be 
provided by the Commission before the specific project activities can be engaged, taking 
into account the financing of the project due to the unexpected changes on estimated 
costs, compared to outcomes of previous feasibility studies and cost-benefit analysis. 

In the meantime the finalisation of the BPMs Levels 2 and 3 is ongoing. The business 
requirements (L3 BPM) were available in 2015 but have been subject to a further 
alignment to the adopted UCC DA and IA. The update is published for external review in 
the second quarter of 2016 as part of the whole package of UCC business process models 
and is envisaged to be finalised in the third quarter of 2016. The Business modelling L4 
BPM (functional requirements/specifications) activity is to be started when a go-decision 
for ICS 2.0 is provided.  

1.2.2 

NOT 
STARTED 

Develop IT access by customs to the economic operators systems 
in the area of aviation security (Article 127 (8) UCC) 

Start date and planning have not been decided for this action. 

DELIVERABLES: two out of six deliverables have been finalised (green), two are 
either pending or ongoing (orange) and for two deliverables no activities have been 
started yet (blue). 

Business case document (pending update for the new implementation approach) 

BPM level 3 (alignment to the adopted UCC DA and IA is ongoing) 

Vision document (pending) 

Level 4 BPM (Functional specifications) 

Technical systems specifications 

IT systems adjusted and further developed at the MS and EU level 

12 

 
 
 
 
 
 
 
 
 
 
4.2  Objective  2:  Ensuring  availability  of  supply  chain  data  and  sharing  of  risk-
relevant information and control results between customs authorities in order 
to  analyse  and  mitigate  risks  and  ensure  equivalent  treatment  of  economic 
operators 

Modern customs services have a varied and challenging role to play. Their work involves 
both, on the one hand, the management of the free flow of trade in support of trade policy 
and economic development, and, on the other, responsibility for the security and safety of 
citizens  and  the  more  traditional  task  of  collecting  duties  and  taxes,  which  remain 
priorities.  EU  legislation  that  protects  security,  health,  safety  and  the  environment,  or 
imposes  sanctions  under  the  Common  Foreign  and  Security  Policy,  requires  the 
intervention  of  customs  where  international  trade  is  affected.  A  common  repository  of 
declaration  data,  as  planned  for  ICS  2.0,  is  a  crucial  element  for  implementing 
improvements to risk analysis on a real-time basis, as the decentralised solution currently 
being used will not support the multi-filing arrangements and the significant increase in 
the volume of advance cargo information. 

As part of setting up a legal framework for the UCC, as mentioned under Objective 1, the 
option of re-using data that have already been submitted and made available by trade for 
other formalities and processes is being discussed in relation to postal shipments subject 
to CN23 (customs declaration for postal parcels). The question is how the data elements 
of the CN23 could be made available for lodging a safety and security declaration (ENS) 
and be re-used for lodging a customs declaration. In the EU Postal Pilot Project, several 
meetings were organised with Member State customs authorities, postal operators, trade 
associations and international partners (the USA, Canada and China) in order to analyse 
the  options  available  within  the  standards  of  the  global  postal  model  of  the  Universal 
Postal Union. 

Moreover, the amendment6 of Council Regulation (EC) No 515/97 on mutual assistance 
provides a legal basis for a number of actions aiming to improve the cooperation between 
authorities  and  the  Commission  to  ensure  compliance  with  customs  and  agricultural 
legislation including amongst others the anti-fraud transit information system (ATIS) and 
extends  the  information  to  be  exchanged  between  customs  authorities  and  between  the 
Commission services and the national authorities. A common directory of import, transit 
and export declaration data is now included. In addition to existing tools used to ensure 
the  correct application of  customs  legislation,  the  amended  Regulation provides  for  the 
creation  of  the  CSM  directory,  which  will  be  used  in  order  to  detect  movements  of 
goods that are potentially in breach of customs and agricultural legislation, and means of 
transport including containers. This database will be operational from 1 September 2016. 
Designated  analysts  in  the  Member  States  and  at  the  Commission  services  will  have 
access to this directory. 

The traceability of goods movements along the supply chain is important for providing 
customs  authorities  with  relevant  data  on  the  appropriate  points  at  which  to  apply 
customs  controls.  Various  initiatives  are  contributing  to  the  development  of  possible 
solutions  for  customs  that  would  avoid  duplicating  data,  as  mentioned  under  action  3 

6   Regulation  (EU)  No  2015/1525  of  the  European  Parliament  and  of  the  Council  of  9 September 2015  amending  Council 
Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation 
between the latter and the Commission to ensure the correct application  of the law on customs  and agriculture matters  (OJ L 
243,  18.9.2015,  p.  1)  will  apply  from  1  September  2016  as  well  as  the  Commission  implementing  acts:  Regulation  (EU) 
2016/345 (OJ L 65, 11.3.2016, p. 38) and 2016/346 (OJ L 65, 11.3.2016, p. 40). 

13 

 
                                                 
below:  the  Digital  Transport  and  Logistics  Forum  (DTLF),  the  development  of  a 
Common  Information  Sharing  Environment  (CISE)  for  the  surveillance  of  the  EU 
maritime  domain7,  and  the  Tobacco  traceability  solution  required  under  Article  15  of 
the Tobacco Products Directive. The Commission departments are cooperating to ensure 
that there is customs input and advice on customs risk management needs, notably access 
to the data for CRM processes, and that the solution is applied at the relevant moment in 
the customs declarations (including pre-arrival/pre-departure and NCTS). 

Action 2.1 

Exercise the empowerment granted in the Union Customs Code 
(UCC) to adopt Commission (COM) acts 

2.1.1 

DELAYED 

Identify  options  for  availability  and  sharing  among  customs 
authorities of supply chain data for risk management purposes 

2.1.2 

DELAYED 

Identify  options  for  availability  and  sharing  of  risk-relevant 
information,  including  control  results,  among  EU  customs 
authorities to analyse and mitigate the risks on a real-time basis 

For  Entry  the  analysis  has  been  completed  as  mentioned  under  Objective  1  and  laid 
down in the business case and vision document for ICS 2.0 as completed by TAXUD in 
close  cooperation  with  a  Customs  2020  Project  Group  comprised  of  experts  from  15 
Member States. 

For Customs procedures after entry and in particular concerning Surveillance 3, drafting 
of the L4 BPM (functional requirements/specifications) is completed. The business case 
has  been  updated  and  reviewed.  The  vision  document  has  been  approved  by  the  ITSC 
and  IT  Board  in  2015.  The  elaboration  of  specifications  will  be  based  on  the  revised 
Annex UCC-IA 21-01 with the list of 40 surveillance data elements referred to in UCC-
IA Article 55 (1) and the foreseen transition strategy for the sending of the data elements. 

For  Transit  the  amendment  of  the  Council  Regulation  (EC)  No  515/97  on  mutual 
assistance  offers  an  amended  legal  basis  for  ATIS  and  enlarges  the  information  to  be 
exchanged  between  customs  authorities  and  between  the  Commission  and  the  national 
authorities. The common directory with data of transit declarations under the mentioned 
Regulation  offers  a  tool  for  more  effective  customs  investigations  related  to  financial 
fraud for goods in transit. The administrative arrangement between OLAF and TAXUD8 
covers aspects of the ATIS system and is being reviewed. Further study would be needed 
in  relation  to  the  needs  of  customs  risk  management  and  risk-based  controls  in  all  risk 
areas relevant for goods in transit under the UCC and as part of the CRMF. 

For  Export  (Exit)  of  goods  from  the  Union  customs  territory,  the  amended  Regulation 
(EC)  No  515/97  introduces  a  common  directory  with  data  of  export  declarations 
replicated  from  the  sources  operated  by  the  Commission.  This  directory  will  cover 
certain categories of excise goods, such as alcohol and alcoholic beverages, mineral oils, 
tobacco  and  tobacco  products.  This  will  provide  a  basis  for  more  effective  customs 
investigations on financial fraud. Further study would be needed in relation to the needs 
of customs risk management and risk-based controls in all risk areas for goods exported 
besides the financial fraud, such as the export control regime of dual-use goods, export 
sanctions, waste, cultural goods, etc., with regard to the UCC and as part of the CRMF.  

DELIVERABLES: two out of the three deliverables have been finalised (green) and 

7  

http://ec.europa.eu/maritimeaffairs/policy/integrated_maritime_surveillance/index_en.htm. 

8   OLAF/TAXUD/1403/2005 REV. 6. 

14 

 
                                                 
for one deliverable no activities have been started yet (blue). 

Implementation  study  determining  the  availability  and  possibilities  for  sharing, 
amongst customs, supply chain data and information relevant for risk management 
purposes (ongoing in respect of all procedures except for entry) 

Adopt  provisions  with  legal  acts:  Annex  B  (UCC  DA/IA)  and  Title  4  (UCC 
DA/IA) 

Common guidelines for customs authorities 

Action 2.2 

Develop and implement appropriate IT solutions 

Adjust and further develop necessary IT systems for availability 
and  sharing,  among  customs  authorities,  of  supply  chain  data, 
availability  and  sharing  of  risk-relevant  information,  including 
control results, among EU customs authorities 

2.2.1 

DELAYED  For Entry 

As a conclusion of the inception phase TAXUD has, in close cooperation with a Customs 
2020 Project Group comprised of experts from 15 Member States, finalised the business 
case  and  first  version  of  the  vision  document  for  ICS  2.0.  Both  documents  have  been 
drafted  and  presented  for  go/no-go  decision  to  the  CPG  in  December  2015.  The  go-
decision for starting the elaboration phase of the project was not given by CPG. The CPG 
concluded that some further clarifications are to be provided by the Commission before 
the specific project activities can be engaged. 

In  the  meantime  the  finalisation  of  the  BPMs  Levels  2  and  3  is  ongoing.  The  business 
requirements  (L3  BPM)  were  available  in  2015  but  have  been  subject  to  a  further 
alignment  to  the  adopted  UCC  DA/IA.  The  update  is  published  for  external  review  in 
second  quarter  of  2016  as  part  of  the  whole  package  of  UCC  business  process  models 
and is envisaged to be finalised in the third quarter of 2016. The Business modelling L4 
BPM (functional requirements/specifications) activity is to be started when a go-decision 
for ICS 2.0 is provided. 

Lithuania (member of the project group) emphasises in their report the need for creating 
a  common  or  shared  IT  system  for  e-screening  and  risk  analysis,  which  would 
communicate  with  common  repository.  Updates  and  requirements  for  national  risk 
management  IT  system  can  only  be  defined  when  the  functionalities  of  the  common 
system are known. Therefore, there are no national actions to be done at this stage. 

Croatia  (member  of  the  project  group)  has  organised,  at  national  level,  coordination 
meetings  between  relevant  services  and  the  Customs  Administration  to  discuss  the 
advantages and disadvantages of development of ICS 2.0 at national or EU level. 

2.2.2 

DELAYED  For Customs procedures following Entry 

3, 

drafting 

Surveillance 

Concerning 
(functional 
requirements/specifications)  is  completed.  The  business  case  has  been  updated  and 
reviewed. The vision document has  been approved by  the ITSC and IT Board in 2015. 
The  elaboration  of  specifications  will  be  based  on  the  list  of  40  surveillance  data 
elements referred to in UCC-IA Article 55 (1) and the foreseen transition strategy for the 
sending of the data elements. 

L4  BPM 

the 

of 

The provisions on simplifications in the UCC were established in such way to allow an 
appropriate control of the operations and risk management to be carried out. For instance, 

15 

 
 
 
 
 
the conditions to use entry in the declarant’s records or self-assessment were regulated. 
On  the  IT  side,  centralised  clearance  will  require  the  development  of  the  appropriate 
exchange  of  messages  to  ensure  appropriate  supervision  and  management  of  the 
operations. 

2.2.3 

DELAYED  For Export and Exit 

In  2016,  sessions  have  been  launched  of  the  ECS  Project  Group  to  elaborate  in  more 
detail  the  FSS,  including  the  required  export/exit  specifications.  This  will  impact  the 
production of the Technical System Specifications. However, these IT developments do 
not address the needs for availability of data for export/exit. For the purpose of ensuring 
availability  of  supply  chain  data  amongst  customs  authorities,  action  2.1  has  not  been 
launched for export/exit, which would be necessary. 

As  mentioned  above  under  action  2.1.2  the  amended  Regulation  (EC)  No  515/97 
introduces a common directory with data of export declarations replicated from sources 
operated by the Commission. This directory will cover certain categories of excise goods, 
such as alcohol and alcoholic beverages, mineral oils, tobacco and tobacco products. This 
will provide a basis for more effective customs investigations on financial fraud. Further 
study  would  be  needed  in  relation  to  the  needs  of  customs  risk  management  and  risk-
based controls in all risk areas for goods exported besides the financial risks, such as the 
export  control  regime  of  dual-use  goods,  export  sanctions,  waste,  cultural  goods  with 
regard to the UCC and as part of the CRMF. 

2.2.4. 

DELAYED  For Transit 

In  2016  sessions  have  been  launched  of  the  NCTS  Project  Group  to  elaborate  in  more 
detail  the  FTSS,  including  the  phasing  of  the  progress  changes  related  to  safety  and 
security. 

As mentioned also for export/exit above under 3, the IT developments do not address the 
objective  of  supply  chain  data  amongst  customs  authorities.  Also  for  transit  action  2.1 
needs to be launched to achieve the objective. 

As  mentioned  under  action  2.1.2  the  amended  Regulation  (EC)  No  515/97  on  mutual 
assistance  offers  a  wider  legal  basis  for  ATIS  and  enlarges  the  information  to  be 
exchanged  between  customs  authorities  and  between  the  Commission  and  the  national 
authorities.  Further  study  would  be  needed  in  relation  to  the  needs  of  customs  risk 
management and risk-based controls in all risk areas relevant for goods in transit under 
the UCC and as part of the CRMF. 

DELIVERABLES:  the  first  deliverable  is  completed  (green),  the  second  is  only 
partly  completed  (orange)  and  for  the  last  two  deliverables  no  actions  have  been 
started yet (blue). 

Vision  document  is  concluded  for  ICS  2.0  (Entry)  and  Surveillance  3  (Customs 
procedures following Entry) 

Business case document is finalised for ICS 2.0 (Entry) — but pending update in 
view of new implementation approach. 

Business case document is being reviewed for Surveillance 3 (Customs procedures 
following Entry). 

BPMs  levels  3  and  4  are  concluded  for  Surveillance  3  (Customs  procedures 
following Entry). 

16 

 
 
 
 
For ICS 2.0 drafting of BPM level 3 is ongoing and BPM Level 4 is to be started 
when a go-decision for the project is provided. 
BPMs levels 3 and 4 are being developed for transit and export/exit. The scope of 
the update to NCTS and ECS and the functional requirements are currently being 
discussed with a PG. Part of the discussion is the inclusion of the requirements for 
security  and  safety  data.  For  the  changes  impacting  the  existing  processes 
implemented  in  ECS  and  NCTS,  the  discussion  focuses  on  the  phasing  of  the 
work. 
IT systems adjusted and further developed at the MS and EU level  

Action 2.3 

Propose  solutions  for  traceability  of  goods  movements  during 
various customs control stages 

2.3.1 

ONGOING 

Identify  options  for  traceability  of  goods  movements  in  the 
various stages of  supply  chain movements involving more  than 
one  Member  State  and  through  data  provided  by  economic 
operators;  and  identifying  appropriate  solutions  of  customs 
supervision from their entry into the Union customs territory to 
their  final  customs  clearance,  taking  account  of  ongoing 
initiatives and/or by adjusting the existing customs transactions 
systems 

The Commission has launched a study (March 2016) in order to analyse risk assessment 
capacities  within  Coastguard  functions  including  Customs  in  the  area  of  maritime 
security.  The  study  is  expected  to  provide  results  on  best  practices  and  areas  for 
improvement on risk assessment procedures. The results are expected to be delivered by 
spring 2017. 

The  development  of  a  Common  Information  Sharing  Environment  (CISE)  that  has 
been  developed  as  a  meta-project  for  enhanced  cooperation  and  information  exchange 
between civil and military authorities with a view to further enhance a common maritime 
situational awareness picture and data exchange. With the aim of improving supply chain 
security  and  supporting  the  risk-based  surveillance  of  the  movement  of  goods  in  the 
maritime  domain.  CISE  promotes  the  exchange  of  information  between  the  different 
authorities involved in the fight against terrorist and organised crime (e.g. smuggling of 
goods,  trafficking  of  arms  and  narcotics  and  cross-border  movements  of  the  cash 
proceeds  of  illegal  trade).  In  the  context  of  CISE,  relevant  EU  agencies  (e.g.  EMSA, 
EFCA, FRONTEX, EDA and EUROPOL) and other European agencies (e.g. ESA) are 
invited  to  reinforce  inter-agency  cooperation.  Also,  the  Pre-Operational  Validation 
project 'EUCISE2020' is to test CISE at large scale by 2017-18, followed by a step-by-
step implementation until 2020. 

In 2015 the Commission launched the Digital Transport and Logistics Forum for the 
next  three  years.  The  Forum  aims  at  the  further  digitalisation  of  freight  transport  and 
logistics. It brings together Member States and stakeholders from transport and logistics 
communities  in  order  to  identify  areas  where  common  action  in  the  EU  is  needed,  to 
provide  recommendations  and  solutions,  and  to  work  on  the  implementation  of  these 
recommendations and solutions, where appropriate. Two subgroups were created as part 
of the DTLF: 

  A  subgroup  addressing  the  definition  and  the  acceptance  of  electronic  transport 
documents.  This  subgroup  looks  into  1/  how  to  increase  recognition  of  electronic 

17 

 
 
 
 
 
transport  documents  by  EU  MS  authorities,  2/  whether  similarities  between  the 
transport  documents  used  in  the  various  transport  modes  could  be  exploited  with  a 
view to advance towards ‘multimodal transport documents’, 3/ whether other types of 
documents used for freight transport (e.g. on vehicles) could also be digitalised. 

  A subgroup addressing the optimisation of cargo flows along transport corridors. This 
subgroup looks in particular at possible solutions for enhancing traceability of goods 
along the supply chain, through incorporating data from different sources. 

Early  2016,  the  Commission  launched  the  eManifest  and  European  Maritime  Single 
Window initiative, which is a demonstration project developing functional and technical 
specifications for the collection of a harmonised electronic manifest (eManifest) and the 
sharing  of  the  relevant  data  with  relevant  national  authorities,  including  customs  and 
maritime  authorities,  and  between  Member  States,  through  the  use  of  the  European 
Maritime  Single  Window  prototype.  The  project  involves  the  shipping  industry,  ports 
and  14  volunteering  customs  and  maritime  administrations  in  the  Member  States.  The 
first  phase  of  the  eManifest  and  European  Maritime  Single  Window  initiative  will  run 
until early 2017. 

Regulation  (EC)  2015/1525  of  the  European  Parliament  and  of  the  Council  of  9 
September  2015  amending  Council  Regulation  (EC)  No  515/97  will  apply  on  1 
September  2016  as  well  as  the  implementing  acts9.  The  Container  Status  Messages 
directory  is  provided  for  in  Article  18a  paragraph  4  and  shall  be  operational  as  from  1 
September  2016.  Designated  analysts  in  the  Member  States  and  Commission  will  have 
access to  this  directory.  A  pilot  project  is  completed  with  selected  container  carriers  in 
order to verify the feasibility as well as technical problems with transfer of data. The aim 
of this directory under the mentioned Regulation is to improve capability of the customs 
investigation functions including better detection of goods movements in potential breach 
of customs and agricultural legislation. Further study would be needed in relation to the 
needs of customs risk management and risk-based controls in all risk areas connected to 
goods entry and exit (i.e. financial, security and safety, IPR, etc.) under the UCC and as 
part of the CRMF. 

TRAde  Control  and  Expert  System  (TRACES)  is  the  European  Commission’s 
multilingual online management tool for all sanitary requirements on intra-EU trade and 
importation of animals, semen and embryo, food, feed and plants. Its main objective is to 
digitise  the  entire  certification  process  and  linked  procedures  and  is  in  line  with  the 
declaration  of  the  Digital  Agenda  for  Europe.  A  project  initiated  by  the  Commission 
services  aims  at integrating  in  TRACES  electronic  COI  certifying  the  organic status  of 
agricultural  products  exported  from  third  countries  to  the  Union,  as  well  as  FLEGT 
licences. This project also provides an input to identify possible solutions on traceability 
of  goods.  The  project  is  creating  an  interface  including  risk  management  information 
giving input in customs automated systems for import declarations. 

2.3.2  

NOT 
STARTED 

Put  forward  the  appropriate  approach,  taking  into  account 
relevant aspects 

Start  date  and  further  planning  have  not  been  decided  for  this  action.  The  start  of  this 
action will depend on the outcome of projects as the ones mentioned above. 

DELIVERABLES: for the two deliverables no actions have been started yet 

Analysis reports with options for traceability of goods movements 

9   Commission implementing Regulations (EU) 2016/345 (OJ L 65, 11.3.2016, p. 38) and 2016/346 (OJ L 65, 11.3.2016, p. 40). 

18 

 
 
                                                 
Solutions allowing traceability to be implemented 

19 

 
 
 
 
4.3  Objective 3: Implementing the concept of ‘assess in advance — control where 
required’  to  respond  adequately  to  risks  identified  at  EU  and  national  level 
while  maximising  efficiency  in  the  use  of  resources  and  the  fluidity  of  the 
supply chain 

As mentioned under Objective 2, Customs’ dual role of controlling the flow of goods on 
the one hand and facilitating compliant trade on the other requires customs controls to be 
well defined and implemented at the most appropriate moment in the logistic process. EU 
legislation that protects security, health, safety and the environment, or imposes sanctions 
under  the  Common  Foreign  and  Security  Policy,  requires  the  intervention  of  customs 
where  international  trade  is  affected.  In  order  to  ensure  a  uniform  and  smooth 
enforcement  of  customs  controls,  while  reducing  the  administrative  burden,  procedures 
laid down by other policies must be standardised and made to fit with customs laws and 
processes. 

The  Prohibition  and  Restrictions  (PARCS)  project  group,  which  is  composed  of 
representatives  of  the  European  Commission  and  national  experts  on  prohibitions  and 
restrictions,  has  produced  a  list  of  prohibitions  on  import  and  export  of  goods  and 
factsheets for a selection of laws that set prohibitions and restrictions at the EU border. 
Each factsheet gives a description of the legislative framework, the role of customs and 
the  documentary  and  physical  checks  that  have  to  be  carried  out  in  close  cooperation 
with other authorities. These factsheets provide a basis on which to determine the timing 
of  customs  controls  and  whether  further  recommendations  for  customs  and  other 
agencies are needed. (For further details, see action 3.2.1). 

It  is  important  that  the  new  procedures  to  be  adopted  are  standardised  and  fit  with 
existing customs laws and processes when legislative acts from other policy areas require 
customs  controls.  Commission  services  have  therefore  prepared  guiding  principles.  It 
aims to ensure a uniform and smooth enforcement of non-customs legislation and reduce 
the administrative  burden for customs and economic operators. (For further details, see 
action 3.2.2). 

20 

 
 
 
Action 3.1 

Develop  methodologies  to  implement  the  concept  of  ‘assess  in 
advance — control where required’ 

3.1.1 

ONGOING 

Propose a methodology to determine the most appropriate place 
and  time  for  the  application  of  customs  controls  and  risk 
mitigation measures based on the type/level of risk, control and 
supply 
information, 
documentation, and control possibilities) 

(availability  of 

constraints 

chain 

In 2015 and 2016 most of the work on the ‘place of the control’ was done for financial 
controls, simplified procedures and the use of customs procedure 420010. This is part of a 
bigger project on the development of common financial risk rules providing indications 
on the moments in the supply chain when customs controls should be carried out, either 
at moment of clearance or later in the post-clearance and audit. The first main findings 
are expected by the end of 2016. 

In  the  area  of  air  cargo  security  two  projects  related  to  the  appropriate  place  of  risk 
mitigation are ongoing. Notably: development of CRC, risk indicators and risk mitigation 
protocols  with  the  air  industry.  Both  projects  (CRC  and  risk  mitigation  protocols)  are 
carried  out  through  multi-agency  efforts  (customs,  aviation  security  and  home  affairs), 
and  involve  also  economic  operators  and  international  partners.  Further  details  on  the 
status of the CRC project are provided in Objective 4 — Action 4. Details concerning the 
project  on  the  air  cargo  pre-loading  risk  mitigation  protocols  and  international 
harmonisation of the PLACI scheme are in Objective 7 — Action 3. 

DELIVERABLE: has not been concluded yet 

Concept document 

Action 3.2 

Perform  ‘proof  of  concept’  within  the  main  policy  areas  and 
propose appropriate solutions 

3.2.1 

ONGOING 

Identify  the  main  policy  areas  and  undertake  operational 
actions  to  test  solutions  e.g.  through  Priority  Control  Area 
(PCA) actions in cooperation with relevant stakeholders 

As  main  policy  areas  are  identified:  Health  safety  (including  public,  animal  and  plant 
health), Financial, Intellectual Property Rights, and Product safety and compliance. 

In the sectors Health safety and Product safety and compliance the objective is to support 
and  give  practical  tools  to  national  customs  authorities  to  improve  their  controls  on 
prohibited or restricted goods. Commission services have established factsheets, in which 
the  cooperation  of  customs  and  sanitary  authorities  for  controls  on  SANTE-regulated 
goods are laid down. The factsheets were discussed with Member State representatives of 
sanitary  services  and  distributed  after  their  finalisation.  This  action  is  linked  to  actions 
4.4.1 and 5.3.1. Each factsheet gives the description of the legislative framework, the role 
of customs, the documentary and physical checks to be applied, and other control-related 
aspects. Member States have to indicate the relevance for implementing the information 
of the factsheets in their controls. 

For  product  safety  checklists  for  a  selection  of  product  categories  have  been  drafted 
together  with  national  customs  and  market  surveillance  authorities.  This  tool  aims  at 

10  

Import for free release of non-Community goods with exemption from payment of VAT and, where applicable, the excise duty 
suspension, is granted because the import is followed by an intra-Community supply or transfer of the goods to another Member 
State. In that case, the VAT and, where applicable, the excise duty will be due in the Member State of final destination. 

21 

 
 
 
                                                 
guiding customs officers when they have to carry out product safety controls on goods. 

In relation to the product list for product safety, Decision 2007/275/EC, Regulation (EU) 
No 669/2009 and other EU legislation is in place, which serves as a positive list for the 
animals and goods presented for sanitary import controls to border inspection posts. 

For the product safety and compliance sector also numerous activities are undertaken on 
operational actions, already for years. This is done in the framework of Joint enforcement 
activities for market surveillance financed by GRANTS of the Consumer Policy Budget. 
Customs  actively  participate  in  these  actions.  PROSAFE11  is  the  beneficiary  of  these 
grants. For 2015 the budget for the GRANTS agreement amounted to 2.5 million euros. 

3.2.2 

ONGOING 

Taking  into  account  outcomes  of  recommendations  to  provide 
guidance  in  the  preparation  or  review  of  legislative  acts  which 
foresee customs controls, by describing how customs action can 
be  envisaged  in  line  with  the  Union  customs  legislation  and 
international trade practices. 

Commission services are preparing guidance to support the review or preparation of EU 
sectorial legislation (on health, safety, security, environment, cultural goods or imposing 
sanctions in the framework of the CFSP) on how customs involvement is to be envisaged 
including how customs risk management should be taken into account.  

DELIVERABLES: both deliverables are being elaborated (orange). 

Proof of concept 

COM  proposal  for  updated  customs  control  clauses  for  non-customs  legislation, 
where appropriate  

11   Product  Safety  Forum  of  Europe,  a  non-profit  professional  organisation  for  market  surveillance 

authorities and officers in the EU and EEA. 

22 

 
 
 
 
 
 
 
 
                                                 
4.4  Objective  4:  Increasing  capacity 

to  ensure  consistent  and  effective 
implementation  of  the  Common  Risk  Management  Framework  (CRMF)  and 
to increase responsiveness to newly identified risks 

A range of actions were carried out in 2015 and early 2016  to improve the use of the 
CRMS  for  the  exchange  of  risk  information.  Specific  guidelines  were  distributed  to 
national customs authorities to draw attention to recurrent problems relating to quality of 
information. A new version of CRMS was released to further improve the functioning of 
the database. Training sessions were held to educate users of the system and help ensure 
that the database is used correctly and consistently with business needs. The Commission 
services ensure that the database is closely monitored, in order to streamline and further 
improve the quality of information provided. 

Risk  information  is  shared  at  EU  level  via  the  CRMS  and  is  then  incorporated  into 
national systems and databases. Inconsistencies and disparities between national systems 
and  applications  have  been  identified  through  projects  initiated  by  Member  States 
(Portugal and Hungary), e.g. the ENS pilot (maritime) and the Common Risk Analysis 
Initiative of the Land Frontier Contact Group (LFCG). These projects consider possible 
ways of overcoming weaknesses and inconsistencies in the protection of the borders of 
the EU customs union. (For further details, see action 4.1.1). 

Availability of data collected under the amended Council Regulation (EC) No 515/97 by 
the Commission and the customs risk management services of Member States should be 
validated  in  time  to  support  ConTraffic-ENS  testing  with  operational  data  provided  by 
trade  during  the  second  half  of  2016  and  early  2017.  The  Customs  2020  ConTraffic-
ENS Pilot Project Group has tested the application of data analytics techniques in the 
combination  of  container  status  movement  data,  mainly  using  ENS  data  and  also  pre-
arrival datasets. (For further details, see action 4.2.2). 

The business needs for CRMS 2 were agreed with Member State experts in 2015. These 
formed  the  basis  of  the  business  case,  which  was  finalised  in  April  2016.  A  project 
delivery plan and cost estimation will also be provided together with the business case. 
(For further details, see action 4.2.3). 

A  CRMS  analysis  group  (Commission  services  and  Member  States)  has  carried  out  a 
detailed analysis of the 2013-2015 data available in CRMS (action 4.3). The group has 
produced  five  specific  trend  analysis  reports  on  counterfeit,  financial  risks,  health  and 
safety risks, security risks and illicit drugs. 

The  Security  Risk  Rules  Project,  designed  to  set  specific  risk  rules  for  Air  cargo 
security  common  risk  criteria,  is  another  important  project  through  which  customs 
authorities can contribute to EU security. (For further details, see action 4.4.1). 

In 2015, the Commission services and the Member States began drafting common rules 
on risks in the  financial sector. These relate mainly  to  the misclassification of goods, 
anti-dumping  duties,  undervaluation,  origin,  simplified  procedures  and  use  of  the 
customs procedure 420012. (For further details, see action 4.4.1). 

12   Simultaneous  release  for  free  circulation  and  home  use  of  goods  which  are  VAT-exempt  when  supplied  to  another  Member 

State and, where applicable, benefit from an excise duty suspension. . 

23 

 
 
                                                 
The systematic CRMF evaluation cycle concept is being developed in close consultation 
with the Member States. The joint work is dedicated to improving and further developing 
performance indicators in the field of control. (For further details, see action 4.5.2). 

Action 4.1 

Identify and address weaknesses and inappropriate variances in 
the  current  implementation  of  the  CRMF  at  Member  State 
level, where relevant through EU level support  

4.1.1 

ONGOING 

Analyse, determine and put forward appropriate IT solutions, 
where relevant through EU level support 

At  EU  level  risk  information  is  shared  via  the  CRMS  and  implemented  in  the  national 
systems  and  databases.  Through  projects  initiated  by  Member  States:  ENS  pilot 
(Maritime — initiated by Portugal) and the Common Risk Analysis Initiative of the 
Land Frontier Contact Group (initiated by Hungary) capacity gaps and variances in 
the national systems and applications are being identified. Within the projects, possible 
solutions  to  overcome  weaknesses  and  non-equivalence  on  the  level  of  protecting  the 
borders of the EU customs union are distinguished. 

Phase I for the ENS pilot (Maritime) concerning containerised traffic finalises its work 
mid-2016.  Member  States  participating  in  the  group  are:  EL,  ES,  FI,  FR,  IT,  NL,  PT. 
When the recommendations of the pilot are implemented by the Member States, this will 
reduce the variances in terms of risk analysis and provide solutions for gaps identified in 
the national systems. 

A subgroup of the LFCG created on initiative of Hungary has developed the Common 
Risk  Analysis  Initiative  (CRAI):  it  is  assessing  implementation  of  the  common  risk 
criteria  for  road  and  rail  transport  and  identifying  gaps,  needs  and  ideas  for  potential 
solutions.  The  interim  report  of  the  CRAI  has  been  agreed,  and  communicated  at  risk 
expert level13. The group also recommended going further to develop a common capacity 
for CRC implementation for road and rail. The experience of CRAI has already had an 
influence at national level in relation to risk management IT systems (FI, HU, HR, and 
LT). The Participants of CRAI are: (BG, CZ, EE, FI, HU, HR, LT, LV, PL, RO (except 
for  operational  test)  and  SK).  The  LFCG-CRAI  has  also  contributed  to  discussions 
related  to  Objective  1  concerning  data  requirements  and  time  limits  in  road  and  rail 
transport. The group has also provided substantial input to a project group working on an 
update for NCTS. 

Member  State  customs  authorities  apply  nationally  developed  risk  management  IT 
applications on a 24/7 basis, some examples are mentioned below. 

German  customs  is  continuously  analysing  national  and  EU  requirements required  for 
more  effective  and  efficient  risk  management.  They  continue  to  develop  working 
methods and IT systems at national level, taking account of the developments at EU level 
for CRMF. 

Italy has implemented an automated internal customs control circuit (CDC), processing 
all  customs  declarations  and  an  automated  internal  security  customs  circuit  (CDS)  for 
processing  of  ENS.  COGNOS  is  an  automated  instrument  of  business  intelligence  that 
allows producing reports, and impacting analysis to establish and evaluate risk profiles at 
national level. 

13 TAXUD/B2/82/2015 – RESTREINT EU 

24 

 
 
                                                 
Since  February  2015  the  Belgian  selection  environment  has  been  enlarged  with  the 
possibility to perform manual analysis on the risk rules. This made it possible that more 
risk  rules  could  be  treated.  From  mid-2016  until  the  end  of  2017  an  upgrade  for  the 
whole  selection  environment  has  already  been  planned.  This  project  also  foresees 
solutions to address shortcomings for analysing ENS and EXS. 

Dutch  customs  is  working  on  a  tool  called  CLARISSA  (Chain  Logistics  Aligned 
Representation  of  Information  Services  on  Shipments  and  Contactors)  together  with  a 
private partner. CLARISSA is a dashboard that can analyse additional data from external 
sources  to  be  used  in  the  risk  assessment  of  manual  declarations.  External  sources  are 
companies that want to make data available for inspection by the supervisory authorities 
or public sources. Sharing information from various links in the chain has the advantages 
that companies provide information only once and receive faster the decision to control 
or release goods and that it ensures predictable and faster logistics and effective controls. 

National risk management systems have been implemented to cover entry and export/exit 
operations  in  Cyprus.  Common  risk  criteria  have  been  fully  implemented;  however, 
some technical constraints have been located and a process has been launched in order to 
overcome those constraints. It should be noted that some functional requirements impose 
a big impact on daily work (high number of false hits). The relevant pilot project groups, 
particularly  the  ENS  pilot  (maritime),  are  expected  to  recommend  some  ideas  for 
improvements. 

Lithuania  indicates  that  further  updates  and  modifications  to  the  national  risk  analysis 
system  can  only  be  done  when  the  functionalities  of  ICS  2.0  are  known.  Until  then  no 
national actions are done. In the same context, Estonia mentions that the weaknesses and 
variances as mentioned in this action can be solved when ICS 2.0 becomes operational. 

France  ensures  a  coordinated  implementation  of  ICS  through  monthly  internal  inter-
bureaux  meetings.  These  ICS  steering  meetings  focus  on  ICS  IT  and  organisational 
implementation, improvements, IT lots deliveries and strategic multiannual planning. 

Slovenia has created a national comparative analysis of the implementation of the CRMF 
compared  with  the  EU  legal  and  strategic  requirements.  An  application  for  automated 
retrieval from a dedicated http-address of BIC prefix registry14 has been established in the 
national risk management system for threat assessment profiling. 

the  UCC, 

Slovakia  reports  implementation  of  in  the  National  Risk  Profiling  IT  Systems  in  the 
context  of 
introducing a new Analytics Platform to manage large, fast-growing volumes of data and 
provide  very  fast  query  performance  that  supports  the  early  and  effective  analysis  and 
evaluation  of  data,  resulting  in  fast  identification  and  determination  of  risk  and  the 
implementation of right measures on time. 

electronic  module 

a  new 

i.e. 

for 

import  data,                                                                                                                                                                                                                                 

Sweden is about to implement a new automated targeting system to enable handling of 
all electronic information flows as required in the UCC and introducing EU common risk 
rules. Further tools that can support and improve the risk management process are being 
explored. 

Croatia has carried out a more in-depth analysis of their risk management engine. This 
has led to an upgrade of the engine with new functionalities covering safety and security 
risks. National specifications for CRC implementation are updated accordingly. 

For Luxembourg the update of the national risk analysis system depends on availability 

14   Registration of a container operator’s prefix with the BIC (Bureau International des Containers et du Transport Intermodal), is a 

requirement under ISO-6346 and international customs conventions. 

25 

 
                                                 
of the IT provider and budgetary constraints. In principle, updates are done on an annual 
basis.  They  report  a  weakness,  namely  that  the  national  system  cannot  manage  exit 
summary declarations and some CRC are not implemented fully electronically. 

Finland has implemented all CRC through the risk analysis system project: RITU. They 
have planned ‘back office’ activities. One of the main activities will be the evaluation of 
CRCs, how they work and how to minimise false positives and on the other hand how to 
get relevant information for CRCs to identify safety and security risks. 

Ireland  has  appropriate  IT  solutions  in  place  to  allow  effective  implementation  of  the 
Common Risk Management Framework (CRMF). The systems are flexible and scalable 
in  order  to  meet  strategic  requirements  stemming  from  CRMF.  They  also  regularly 
review  the  performance  of  the  CRCs  from  an  IT  perspective.  For  statistical  reporting 
purposes a suite of reporting tools has been built. 

Polish  customs  is  in  the  process  of  phased  implementation  of  a  new  nationwide  risk 
management  system  called  ZISAR.  The  system  provides  an  enhanced  module  of 
operational  control  which  helps  in  putting  forward  much  more  sophisticated  risk 
management  and  targeting.  Currently  the  system  is  tested  on  modules  for  operational 
systems  (AIS  and  AES  and  on  production  module  for  NCTS-2).  Temporary  problems 
with the implementation of certain CRC have already been identified for the first phase, 
when  the  system  becomes  operational.  Finally  the  new  system  should  solve  problems 
with  technical  capabilities  and  it  should  give  more  functionalities  that  are  required  for 
better  and  more  effective  automated  risk  profiling.  Concerning  the  implementation  of 
CRC at national level, a dedicated national CRC expert group was set up, which brought 
a significant improvement. In quarterly meetings the group monitors the implementation. 
The  outcomes  are  reported  to  the  regional  customs  chambers,  and  mistakes  in  control 
activities  are  discussed  in  order  to  be  solved.  The  level  of  automated  CRC 
implementation has increased from 55 % in 2014 to 95 % in 2016. 

Malta also ensures a periodical revision of risk profiles for an effective use of the risk 
analysis system. Currently the national systems are upgraded in order to benefit from the 
latest risk assessing features available on the market. The upgraded systems will provide 
a  certain  level  of  flexibility  that  will  allow  maintaining  risk  profiles  more  easily,  in 
particular the national ones. 

Bulgaria  has  identified  functional  weaknesses  in  NCTS  related  to  fulfilment  of  the 
obligation  for  carrying  out  safety  and  security  risk  analysis.  A  review  of  the  BPM  — 
level  4  in  the  context  of  UCC  has  been  done.  Gaps  have  been  identified  in  relation  to 
functional possibilities of the system for transfer of risk analysis results from a customs 
office  of  transit  which  is  at  the  same  time  a  first  point  of  entry  into  EU.  These  gaps 
prevent  the  practical  application  of  the  principle  of  carrying  out  customs  control  at  the 
most appropriate place and time. Another weakness are possible inappropriate variances 
in  the interpretation  of the schemes  in  relation  to the stage of declaration processing at 
which  risk  analysis  shall  be  carried  out,  as  well  as  to  the  type  of  risk  analysis  to  be 
carried out (safety and security or national). Both issues have been addressed to LFCG 
and Commission. 

Security and safety risk criteria have been implemented in Latvia almost fully; because 
of a huge amount of false hits, IT solutions have been created to avoid an inefficient use 
of customs resources. 

The  Czech  Republic,  Denmark  and  Austria  informed  on  periodical  updates  of  the 
automated customs systems to bring them in accordance with legal requirements of the 

26 

 
 
UCC and ensure appropriate implementation of CRC. 

4.1.2 

ONGOING 

Identify  and  address  weaknesses  and  inappropriate  variances 
by non-IT solutions 

An  important  non-IT  solution  to  address  variances  in  a  harmonised  implementation  of 
customs  competencies  throughout  the  EU  is  the  EU-competency  Framework15  (EU 
Customs  CFW).  A  major  goal  of  this  CFW  is  to  help  harmonise  and  raise  customs 
performance  standards  throughout  the  EU.  The  EU  Customs  CFW  is  the  foundation 
which  sets  out  a  consensus  view  of  knowledge,  skills  and  behaviours  required  by 
customs  professionals  in  the  EU  and  further  defines  public  and  private  Customs  roles 
(‘Job profiles’) including in the area of customs controls and risk management. 

Greece,  Cyprus,  Poland  and  Portugal  informed  on  their  efforts  to  implement  the  EU 
Customs  CFW,  including  in  the  area  of  risk  analysis.  In  Cyprus  and  Ireland  annual 
evaluations  are  carried  out  to  improve  targeting.  Malta  does  a  periodical  evaluation  of 
risk profiles to improve targeting for controls. In addition, in Cyprus the Intelligence & 
Risk  Analysis  Section  at  customs  headquarters  provides  daily  assistance  to  local  risk 
analysis  officers  helping  them  make  the  right  decision  as  regards  targeting  and 
controlling. 

In the Netherlands the master study Customs and Supply Chain Compliance has started, 
collaboration  between  universities,  trade  organisations  and  customs.  Specific  training 
programmes  on  risk  analysis  exist  in  Austria,  the  Czech  Republic,  Cyprus,  Estonia, 
Finland, France, Italy, Latvia, Lithuania, Poland, Spain and Sweden. 

The LFCG - CRAI (see action 4.1.1 above) identifies a number of core implementation 
issues  where  common  practices  should  be  further  developed  and  refers  also  to  training 
needs, in the EU Classified Interim Summary Report. 

Belgium,  Croatia,  the  Czech  Republic,  Denmark,  Finland,  Ireland,  Latvia, 
Lithuania, Luxembourg, Poland, Slovakia, Spain and Sweden ensure 24/7 availability 
for risk analysis. Greece indicates 24/7 availability of risk analysis and targeting officials 
at  land  borders.  In  Cyprus  24/7  availability  exists  only  for  air  cargo.  Estonia  has 
expanded  24/7  availability  for  risk  analysis  over  the  last  years  and  updated  their 
processes for sending and receiving of RIFs. 

Italy is considering 24/7 availability at national level for other relevant customs offices 
which do not provide such service yet and which are located at main ports and airports. 
When  the  CRMS  is  reshaped  they  will  implement  instructions  at  regional  level  to 
strengthen  a  coordinated  implementation  of  the  system  nationwide.  In  the  effort  to 
improve  the  use  of  the  CRMS,  a  group  in  the  ‘safety  and  security  at  entry’  sector  has 
been  created  to  deal  exclusively  with  the  coordination  of  RIF,  related  risk  profiles  and 
trend analysis, coordination of feedback and a helpdesk of CRMS analysts to assist local 
offices. 

Malta  is  upgrading  the  national  risk  management  systems  in  order  to  benefit  from  the 
latest risk assessing features available on the market. The upgraded systems will provide 
a  certain  level  of  flexibility  that  will  allow  maintaining  risk  profiles  more  easily,  in 

15 http://ec.europa.eu/taxation_customs/common/eu_training/competency/index_en.htm. 

27 

 
                                                 
particular the national profiles. 

Germany  and  Croatia  take  into  account  the  weaknesses  in  their  daily  operational 
implementation  of  CRMF.  In  addition,  Germany  mentions  how 
the  ongoing 
reorganisation challenges the implementation of objectives for risk management. 

In  Austria  a  central  risk  analysis  centre  is  implemented  since  2004.  Local  risk 
management  in  customs  offices  is  established;  a  network  sharing  risk  information  by 
special Anti -Fraud coordinators in all customs offices and all tax offices is established. 

Belgium  installed  a  non-automated  workaround  for  mathematical  checks  demanded  in 
particular  CRCs.  Negotiations  with  licensing  authorities  are  ongoing  to  open  real-time 
access to the denial database for all analysts who are dealing with CRCs. 

Actions planned, but not started yet: 

Bulgaria,  Hungary,  Estonia,  Italy,  Luxembourg,  Malta,  Slovakia  and  Slovenia  are 
planning  to  organise  training  modules  depending  on  currently  ongoing  developments 
such as the UCC, update CRC guidelines, new national IT modules etc. 

Austria, Cyprus and Finland express the need for development of training modules at 
EU level. 

Poland mentioned that an update of the national ‘CRC operational guidelines’ has been 
planned  in  regard  of  the  forthcoming  implementation  of  new  operational  customs 
systems  (AIS  —  new  Automated  Import  System,  AES  —  new  Automated  Export 
System, NCTS2 — an updated version of New Computerised Transit System). 

DELIVERABLES:  Commission  services  and  Member  States  are  active 
in 
harmonising  the  implementation  of  CRC.  Guidance  on  training  and  performance 
the  EU  Customs  Performance  Competency 
requirements 
Framework.  However,  activities  on  developing  requirements  for  Member  States’ 
risk management systems and the update of CRC guidelines still have to be started 
(blue). 

is  provided 

in 

More harmonised implementation of CRC  

Functional requirements for MS Risk Management systems 

Technical requirements for MS Risk Management systems 

Updated CRC guidelines 

Practical 
operational modules 

training  programme  for  national  customs  authorities  containing 

28 

 
 
 
 
 
 
 
 
 
Action 4.2 

Develop  possible  further  capacities  and  enhance  cooperation 
and coordination between customs authorities 

4.2.1 

ONGOING 

Identify  and  determine  —  at  Member  State  and  EU  level  — 
possible  further  capacities  that  might  be  necessary  to  support 
including 
more  effective  and  efficient  risk  management, 
increased responsiveness to newly identified risks 

CRMS re-shape: a business case document is finalised. Together with this document, a 
project delivery planning and cost expectations are provided, as well as proposals for IT 
architecture.  In  the  context  of  the  re-shape  of  CRMS,  Slovakia  proposes  a  new 
organisation  of  information  dissemination  in  the  area  of  Crisis  Management  at  the 
national level. 

The  Commission,  in  close  cooperation  with  Member  States,  has  improved  the  use  of 
CRMS for exchange of risk information. Various actions have been carried out: 

-  specific guidelines have been distributed to underline recurrent problems of quality of 

information; 

-  a new release has been made to improve some functions of the system; 
-  attention  was  given  to  training  on  the  use  of  the  system  to  ensure  it  is  in  line  with 

business needs and accurate; 

-  a close monitoring of the database is ongoing to streamline the quality of information 

provided in CRMS; 
the use of the system is regularly promoted in groups. 

- 

Various  Member  States  underline  the  importance  of  the  re-shape  of  CRMS  as  a 
collaborative platform for exchange of risk-relevant information. Nevertheless, Finland 
mentions  performance  issues  with  the  CRMS  system  and  Romania  indicates  that 
functions in CRMS should be more flexible. It is also mentioned (Finland and Austria) 
that  information  is  not  always  of  a  high  quality,  that  it  should  be  better  ensured  and 
coordinated at national and EU level. 

Also  the  work  of  projects  initiated  by  Member  States:  ENS  pilot  (Maritime)  and 
LFCG-CRAI  (see  action  4.1.1  above)  has  contributed  to  identifying  capacity  gaps, 
needs  and  possible  solutions  in  the  national  systems  and  CRMS.  The  outcomes  of  the 
groups provide valuable input to possible solutions on how to overcome weaknesses and 
non-equivalence at EU level. 

Germany mentions the ongoing evaluation for effective and efficient risk management at 
national  and  EU  level.  This  evaluation  will  identify  the  necessary  IT  and  non-IT 
requirements  and  the  necessary  resources.  National  and  international  cooperation 
between customs and other authorities are being intensified. 

The  Anti-fraud  and  Controls  Central  Directorate  of  the  Italian  Customs  Agency  has 
developed  the  internal  coordination  and  strengthened  the  related  practices  already  in 
place to identify new types of frauds, also in close cooperation with customs authorities 
of other Member States. Particular areas of investigations are the customs procedure 42 
00, tobacco and tobacco products, mineral oils and alcoholic spirits. 

Slovakia  mentions  bilateral  agreements  between  the  Visegrad  countries  (SK,  CZ,  PL, 
HU)  on  the  exchange  of  data  in  order  to  eliminate  fraud  in  connection  with 
undervaluation of textile goods, as well as in the context of the fight against fraud in the 
application of the customs procedure 4200. 

29 

 
 
The Netherlands informed on explorations that they are carrying out on auto-detection 
of data. Information and analysis of data are the most important building blocks. These 
are  bundled  in  the  national  intelligence  function,  which  should  be  elevated.  A  team  is 
created, comprised of customs officials and data analysts, to achieve the development of 
a  risk  for  play-model  and  self-learning  models.  Also,  research  has  started  to  explore 
improvements for manual selection (related to ICS) with the use of human intelligence. 

France and Slovenia have defined at national level the actions required to be carried out 
in  real  time  to  identify  risks  in  the  CRMS  platform  and  the  requirements  to  address 
weaknesses  and  inappropriate  variances  in  the  current  national  implementation  of  the 
CRMF. 

Croatia  explains  that  data  acquired  from  RIFs  is  cross-referenced  with  national  public 
databases  to  find  connections  between  subjects  that  do  not  seem  interlinked.  This  is 
based on experience gained on interagency cooperation in the fight against counterfeited 
goods.  In  addition,  a  national  database  is  developed  to  log  all  activities  related  to 
individual  RIFs.  In  this  context  complexity  of  exporting  of  data  from  CRMS  into  a 
national database is mentioned. 

Also  the  National  Risk  Analysis  Centre  in  Spain  analyses  on  a  permanent  basis  risk-
relevant  information  received  from  other  Member  States  through  CRMS.  The 
information  is  disseminated  to  the  relevant  risk  management  units  for  national 
application. 

Bulgaria  mentions  national  efforts  to  improve  risk  management  in  the  area  of  air 
passengers  as  well  as  enhancement  of  controls  for  rail  transport  and  analysis  of  X-ray 
images for control decisions.  

4.2.2 

ONGOING 

Analyse  and  identify  options  for  further  enhanced  pro-active 
cooperation,  coordination  and  better  risk  assessment  of  the 
supply  chain  on  a  real-time  basis  in  cooperation  with  the 
Member States 

In  regard  of  enhancing  complementarity  between  customs  risk-based  controls  and 
customs investigations, the amendment of the Regulation (EC) No 515/97 by Regulation 
(EU)  2015/1525  is  very  relevant.  The  CSM  directory  is  provided  for  in  Article  18a 
paragraph 4 and shall be operational as from 1 September 2016. Designated analysts in 
the Member States and Commission will have an access to this directory. For the input of 
data from CSM a pilot project is carried out with selected container carriers associated in 
the  World  Shipping  Council.  This  pilot  verifies  the  feasibility  as  well  as  technical 
problems with transfer of data. 

Further  study  woul  be  needed  as  to  how  the  data  can  be  applied  both  for  customs 
investigations and risk management processes covering the full range of risks as defined 
in the Article 5 (7) UCC under the CRMF. The most appropriate option identified should 
be reflected in IT solutions to be developed. 

This  should  include  identification  of  the  appropriate  governance  to  ensure  that 
development and administration of the existing and future IT systems are formally shared 
between the relevant Commission services in accordance with data protection rules. 

The  Customs  2020  Contraffic-ENS  Pilot  Project  Group  has  tested,  through  the 
experimentation  performed  at  the  JRC  and  by  using  its  ConTraffic  system,  the 
application of data analytics techniques in the combination of container status movement 
ConTraffic data primarily with ENS data as well as pre-arrival datasets. Over 2016-2018 
the  group  will  be  supported  by  the  JRC  in  the  development  of  a  preliminary  solution 
design for effective integration of CSM collected in the common directory into real-time 

30 

 
pre-arrival  risk  analysis  of  ENS  and  in  flexible  analytics.  This  will  determine  capacity 
needs and describe technical and operational implementation requirements. This project 
is also linked to Objective 2. Commission services strongly support the work carried out 
by the JRC on this pilot.  

The Customs 2020 Data Mining Project Group, launched by Lithuania, will also help 
improve  the  skills  and  knowledge  of  the  Member  States  in  the  use  of  the  relevant 
techniques in identification of customs risks. The group has exchanged experiences and 
identified  relevant  tools,  capacity  issues  and  practices  in  data  analytics.  The  areas  in 
which  data  mining  can  complement  customs  risk  management  will  be  further  explored 
and  tested  in  2016-2017.  For  this  purpose  the  mandate  of  the  project  group  will  be 
extended. 

The  Horizon  2020  security  research  programme  call  for  the  2017  work  programme 
will call for Research and Innovation Action on architectures and organisations, big data 
and data analytics for customs risk management of international goods supply chain trade 
movements.  The  scope  will  be  to  identify  appropriate  solutions  of  intelligent  use  and 
management  of  complex  and  large  amount  of  data,  exploiting  unstructured  data, 
supporting  operational  and  situational  awareness  of  customs  authorities,  adding 
intelligence  (trends  analysis,  correlation  analysis,  etc.)  by  means  of  state-of-the-art 
technologies including in the fields of big data, data analytics, data mining, visualisation, 
and intelligent user interfaces.  

4.2.3 

ONGOING 

for  developing  necessary 

Put  forward  and  implement  appropriate  solutions  (including 
further  risk  management 
IT) 
capacities  at  MS  and  EU  level  (considering  also  solutions 
proposed  by  EU-funded  research  projects)  including  enhanced 
cooperation and coordination between the customs authorities 

The development of ICS 2.0 with a common repository for ENS (see actions 1.2 and 2.2) 
is an important project to provide an appropriate IT solution to support the increased risk 
management capacities at EU and national level. In their progress reports many Member 
States indicate that they are urgently waiting for a proposed way forward of the project: 
Croatia,  Cyprus,  Denmark,  Estonia,  Finland,  Germany,  Hungary,  Ireland,  Italy, 
Latvia, Lithuania, Malta, Poland, Portugal, Romania, and Slovenia. 

Another IT development is the CRMS re-shape, for which a business case document is 
finalised. Together with this document, a project delivery planning and cost expectations 
are provided, as well as proposals for IT architecture. 

Also  at  national  level,  new  IT  developments  are  launched,  for  example  in  France: 
national systems in the direct ICS field are currently being modified. A new IT general 
architecture  is  already  implemented  in  the  national  IT  centre.  New  modules  are  being 
delivered  and  will  also  be  constantly  modified,  National  Base  of  Controls  (BANACO 
Base Nationale des Contrôles), and screens for real-time treatment of risks. 

Research and Innovation: 

Member States actively participate in the following projects funded by Horizon 2020: 

1) BES-09-2014  — supply chain security topic 2: Technologies for inspections of large 
volume  freight  —  project  called  C-BORD  (Container  inspection  at  border  control 
points). The aim is to develop innovative tools for customs controls which — combining 
the  non-intrusive  X-rays  advanced type  technologies  for  the  diagnosis  of  customs  risks 
— allow the detection of dangerous and illicit substances (such as explosives, chemical 
agents),  radiological  or  nuclear  risks,  tobacco  and  illicit  drugs  (specifically  through  the 
sniffer  technology),  and  other  customs  offences.  France,  Italy,  Hungary,  the 

31 

 
Netherlands and Poland. 

2)  BES-14-2014  —  Ethical  Societal  Dimension  topic  1:  the  Human  factors  in  border 
control  —  project  called  BODEGA.  The  aim  is  to  improve  the  approach  to  border 
control operations, developing methodologies, tools and practices to make controls more 
effective. Particular focus is placed on reducing the information gap between the border 
authorities, the development of control methods that analyse the behaviour of travellers, 
the  simplification  of  the  verification  of  travel  documents,  and  the  creation  of  a  video 
surveillance  system  to  monitor  broader  cross-border  areas.  France,  Greece,  Italy  and 
private entities. 

CORE project:16 

The aim is to strengthen and extend the capabilities of the European Union to make the 
supply chain safer and more efficient. Belgium, Italy, the Netherlands and the United 
Kingdom  participate  in  cooperation  with  private  partners  in  so-called  demonstrators: 
such  as  Work  package  (WP)  14:  Demonstrator  FALACUS:  FAstLAne  through 
CUStoms,  dedicated  to  the  realisation  of  the  pilot  system  for  a  ‘fast  lane’  at  European 
level  to  secure  the  supply  chain  logistics  of  ceramic  products  for  export  to  the  United 
States (Interport Bologna — Port of La Spezia — USA). 

Dutch customs is participating in one of the WPs focusing on the port of Rotterdam. The 
objectives of this demonstrator are to integrate logistics and security requirements in the 
supply chain design and planning; to identify benefits of coordinated border management 
and to improve supply chain visibility for supervision in trade lanes. 

The Netherlands indicates that innovation is also a topic in the air passenger traffic; i.e. 
to  strengthen  the  intelligence  function  by  getting  access  to  TRIP  (Travel  Information 
Point). TRIP provides more opportunities for analysis and contributes to the development 
of a single window. In  this context, Bulgaria mentions the availability of PNR data for 
the  purposes  of  air  passenger  traffic  risk  analysis.  Amendments  to  the  legislation  have 
been made adopting regulations on the provision of such data and its processing by the 
national agency for National Security. 

Furthermore,  Bulgaria  is  implementing  new  technologies,  for  example  to  enhance  the 
effectiveness  of  customs  controls  of  consignments  transported  by  rail  through  a 
stationary X-ray system for inspection of trainsets and transported goods. Another project 
is  to  enhance  efficiency  in  interpreting  X-ray  images  in  order  to  better  prepare  an 
appropriate control decision through creation of a centralised database for non-intrusive 
inspection images. 

Such a centralised X-ray database of NII images exists in Poland, at the National X-ray 
Inspection  Centre  in  Gdańsk.  The  central  X-ray  Image  Data  Base  collects  images  and 
their  descriptions,  based  on  which  specialised  libraries  of  comparative  materials  are 
established.  The  centre  in  Gdańsk  provides  mechanisms  as  well  as  organisational  and 
functional  solutions  supporting  efficient  and  effective  operation  of  the  customs 
authorities and flexibility for responding to any needs arising from a changing customs 
environment. The centre also ensures complex coordination and efficiency monitoring of 
the use of the X-ray devices by customs. 

Dutch  customs  is  also  exploring  innovative  technologies  for  auto-detection  of  goods. 
Regarding  detection  technology,  the  approach  aims  to  challenge  companies  to  develop 
new products that increasingly meet new demands and requirements. Applications should 
not  only  generate  images,  but  interpret  those  images.  In  addition,  a  tool  called 

16   CORE is a consortium created under the umbrella of Horizon 2020. 

32 

 
                                                 
CLARISSA is developed together with a commercial  partner. The current development 
of CLARISSA is a dashboard that can be used as additional data from external sources 
and  used  in  the  risk  assessment  of  paper-based  declarations.  JRC  supports  the 
CLARISSA project through the provision of data from its ConTraffic system. 

DELIVERABLES: all three deliverables are ongoing 

Report of the analysis and/or evaluation of the outcomes of the pilot(s) 

At MS level further necessary IT and other relevant risk management capabilities 
are developed.  

At  EU  level  further  necessary  IT  risk  management  capabilities  (e.g.  enhanced 
CRMS) or other relevant capacities are developed. 

Action 4.3 

Develop  further national and EU level  customs threat and risk 
assessments for the full range of threats and risks 

4.3.1 

ONGOING 

Work  on  a  strategic  analysis  to  identify  trends  of  illicit  trade 
crossing  EU  borders  with  a  view  to  better  identify  common 
profiles of illicit trade within the CRMF 

A  CRMS  analysis  group  (Commission  and  Member  States)  has  thoroughly  analysed 
2013-2015 data available in CRMS. The group has produced five specific trend analysis 
reports on 1) counterfeit, 2) financial risks, 3) health (including animal, public and plant 
health)  and  safety  risks,  4)  security  risks  and  5)  illicit  drugs.  The  information  provides 
customs  authorities  with  a  better  insight  and  situational  awareness  of  trends  and 
developments  in  illicit  trade.  The  work  of  the  group  has  contributed  to  the  CRMS  re-
shape document in particular in the part dedicated to data analytics and reports. It enables 
customs to better identify common risk profiles and refinement of common risk criteria.  

The annual overview of the LFCG also provides an analysis of key trends based on data 
from  detections  made  at  each  of  the  171  commercial  road  and  rail  Customs  Border 
Crossing Points and RIFs produced during a given year concerning road and rail traffic. 

4.3.2 

ONGOING 

Develop  customs  threat  and  risk  assessments  at  national  level 
and  ensure  that  their  results  are  shared  and  deployed  in  the 
CRMF  and  used  for  development  and  refinement  of  the 
common risk criteria and standards, where appropriate 

Austria,  Cyprus,  the  Czech  Republic,  Estonia,  Germany,  Ireland,  Latvia,  the 
Netherlands, Slovenia and Sweden mention that this action is part of daily operations. 

Italy,  as  a  member  of  the  CRMS  analysis  group,  implements  the  outcomes  of  the 
group’s  analysis.  The  customs  agency  has  also  reached  an  agreement  with  the  main 
international express couriers in order to directly access their handling systems to detect 
immediately new trends and threats in the risk field. In addition, Italy has developed an 
automated  tool  (SIDDA).  This  tool  assists  Italian  customs  in  trend  analysis  for  — 
amongst  others  —  undervaluation,  based  on  statistical  analyses  of  data  from  customs 
declarations on the unit price of consignments. 

Poland  has  developed  a  similar  IT  tool  (based  on  statistical  measures)  for  preventing 
undervaluation of customs value in textiles and footwear for imports in Poland. This has 
contributed to an increase of the declared customs values for the above-mentioned goods. 

Dutch customs is participating in national meetings concerning the EU policy cycle and 

33 

 
 
 
 
 
 
national operational activities for EMPACT (Organised crime threat assessments). On a 
tactical  level,  senior  customs  officers  and  management  meet  with  their  colleagues  to 
discuss  and  verify  national  threat  analyses.  In  view  of  multi-agency  cooperation 
(Objective  5)  at a  more operational level, customs intelligence  officers liaise  with  their 
counterparts in various other law enforcement agencies. The aim is to ensure sharing of 
relevant targeting information. 

Cyprus  informs  that  the  national  Government  Data  Warehouse  has  been  recently 
developed  in  order  to  collect,  link  and  analyse  information  obtained  from  various 
databases, including ICS, ECS, customs declaration systems etc. Various reports can be 
produced  including  risk  assessments  and  compliance  measurement,  through  the  results 
monitored by appropriate KPI’s. 

In  Lithuania,  the  Customs  Criminal  Service  prepares  annually  the  list  of  priority 
directions  for  the  coming  year.  Threat  assessment  and  discussions  between  leading 
experts take place in preparing that list, which is approved by order of the director of the 
Customs  Criminal  Service.  Hence,  the  list  is  made  available  for  obligatory  use  to  all 
officers  of  the  Customs  Criminal  Service.  The  list  of  priority  directions  for  2016 
contains:  control  of  circulation  of  narcotics  and  precursors;  control  of  illegal 
transportation  and  command  of  excise  goods;  focus  on  organised  crime  and  most 
targeting; 
dangerous  offences; 
strengthening cooperation with other national control institutions and with institutions in 
other countries, as well as with international organisations. 

risk  management  and 

improvement  of 

further 

Poland  has  structured  Task  Force  Groups  specialised  in  most  of  the  strategic  areas  of 
functioning  of  the  Customs  Service  such  as  tobacco  products,  mineral  oils  and  illicit 
drugs. These groups coordinate and/or  initiate actions at local as well as national level. 
They 
The Strategic Centre of Analysis of Customs Service (NRAC) creates strategic analytical 
reports which are implemented in the Polish automated customs environment ZISAR.  

cooperation  with  other  government 

coordinate 

also 

the 

agencies.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 

4.3.3 

ONGOING 

Develop  customs  threat  and  risk  assessments  at  EU  level  and 
ensure their results are shared and deployed in the CRMF and 
used  for  development  and  refinement  of  the  common  risk 
criteria and standards, where appropriate 

See  the  work  carried  out  by  the  CRMS  analysis  group  as  mentioned  above  for  action 
4.3.1. The group continues updating analysis of data for specific risks in 2016. 

DELIVERABLES: work is ongoing to contributing to all three deliverables 

Structure for strategic analysis identifying trends of illicit trade  

Improvements at national and EU level for assessment processes 

More precise risk criteria and selection standards including for customs procedures 
following entry 

34 

 
 
 
 
 
 
 
Action 4.4 

Further  develop  EU  common  risk  criteria  and  standards 
(CRC)  for  the  full  range  of  risks,  in  cooperation  with  the 
competent services 

4.4.1 

ONGOING 

Develop further, under the CRMF, EU common risk criteria, 
where  relevant,  together  with  competent  authorities  for  full 
range of risks associated with goods movements 

This  action  occurs  for  11  different  policy  areas  and  the  involvement  of  all  relevant 
Commission  services:  Aviation  security;  Product  safety  and  compliance;  Health  and 
consumer  protection;  Animal,  food,  feed  and  plant  health  and  safety;  Intellectual 
Property  Rights;  Financial  risks;  Non-proliferation  and  conventional  weapons; 
Environment  (Waste,  ODS,  Wildlife  trafficking,  Chemical  products);  Drug  precursors; 
Cash controls and Cultural goods.  

Aviation  security:  development  of  the  Air  cargo  security  CRC  and  Risk  Indicators 
commenced  in  2015.  As  these  criteria  and  risks  are  of  multi-agency  concern,  the  work 
has  been  carried  out  together  by  Commission  services  and  the  national  customs,  civil 
aviation, and counter-terrorism experts within an informal working group. A draft set of 
the  CRC  and  risk  indicators  went  through  first  consultation  with  all  national  civil 
aviation  and  home  affairs  authorities  from  the  28  EU  Member  States,  Switzerland  and 
Norway.  The  consultation  was  completed  in  December  2015,  with  substantial 
contribution  from  the  civil  aviation  authorities  and  lack  of  input  from  the  national 
authorities  responsible  for  home  affairs  (i.e.  security  and  intelligence  agencies).  An 
increased and more substantial input from the home affairs authorities is a challenge that 
should be addressed in the next phases of the project. The operational implementation of 
these  criteria  and  risk  indicators  depends  on  the  operational  implementation  of  the 
Objective 1 and 2 (including the additional risk analysis capacity envisaged to be able to 
electronically  implement  risk  rules  for  these  criteria  at  EU  level).  An  end-date  for 
completing this project can therefore not be indicated yet. 

Product  safety  and  compliance:  A  document  named  ‘Cooperation  between  Customs 
and Market Surveillance Authorities (MSA) on risk management in the area of product 
safety  and  compliance  controls  on  imported  goods’  was  finalised  and  shared  with 
Member States in December 2015. The document provides a methodology for exchange 
of  risk  information  between  customs  and  MSA.  Over  the  years,  numerous  operational 
activities have been undertaken in the product safety and compliance sector. 

On  a  regular  basis,  Commission  services  selects  RAPEX  notifications,  which  are 
transformed in RIF and uploaded in CRMS. 

Health and consumer protection: factsheets for a selection of legislations in the area of 
health and safety, setting prohibitions and restrictions at the border have been drafted in 
close  cooperation  with  Member  States  and  Commission  services.  Each  factsheet  gives 
the  description  of  the  legislative  framework,  the  role  of  customs  and  the  documentary 
and  physical  checks  to  be  applied,  and  cooperation  with  other  authorities.  These 
factsheets (PARCS) provide a basis to evaluate the best place for customs to control and 
whether further recommendations for customs and other agencies need to be formulated. 

Animal,  food,  feed,  plant  safety:  for  this  area  Commission  services  have  worked 
together  on  the  establishment  of  the  factsheets  (PARCS)  as  mentioned  above.  The 
factsheets were discussed with Member States and distributed after finalisation. 

A workshop with customs and veterinary authorities was held in March 2016. Issues of 
common  interest  for  both  authorities  were  discussed,  such  as  scenarios  of  import 

35 

 
controls, cooperation between authorities, transit, and the EU Single Window (CVED). 

To handle requests for cross-border cooperation in cases of non-compliance in the food 
and  feed  chain,  each  Member  State  has  appointed  a  contact  point  within  the  EU  Food 
Fraud Network. The network has been operational since July 2013. 

Intellectual  Property  Rights:  due  to  lack  of  resources  no  concrete  development  of 
CRCs has been done. 

Financial risks: this concerns mainly misclassification of goods, Anti-Dumping Duties, 
undervaluation, origin, simplified procedures and use of the customs procedure 4200. A 
first proposal for common risk criteria will be submitted for endorsement to the Customs 
Code Committee — Section Controls and Risk Management by the end of 2016. 

Non-proliferation  and  conventional  weapons:  concerning  dual-use  goods,  a  joint 
simulation  exercise  (SIMEX)  with  involvement  of  customs  authorities  as  well  as 
licensing authorities was organised in 2015. Priority Control Action (PCA) COSMO was 
carried out in 2015 to support and complement a joint action initiated by the WCO. The 
objective  was  to  streamline  the  information  from  EU  customs  and  to  underline  the 
complementarity of actions. 

In  December  2015  the  Commission  published  a  Communication  on  an  EU  action  plan 
against  illicit  trafficking  in  and  use  of  firearms  and  explosives.  Recommendations 
from  this  report  include  the  setting  up  of  a  PCA  with  Member  States  on  the  illicit 
trafficking of firearms and — as far as possible — explosives, at the external borders and 
developing potential CRC. 

Environment  (Waste,  Wildlife  trafficking,  Chemical  products):  an  EU  risk  profile 
following the Tianjin blast has been set; updated general risk information is shared with 
the  Member  State  customs  authorities.  An  EU  RIF  has  also  been  issued  on  the  illegal 
exports of Anguilla Anguilla fish (CITES-product). 

Drug  Precursors:  an  EU  Drug  Precursor  Project  Group  meeting  on  ‘Risk 
analysis/management in the field of drug precursors’ was organised in 2015 in Sofia. The 
event  gathered  members  of  the  ‘Customs  2020  Drug  Precursor  Project  Group’,  EU 
Member State experts on drug precursor legislation and risk analysis/management, third 
country  experts  from  Colombia  and  Peru,  and  experts  from  the  International  Narcotics 
Control Board (INCB) and the US Drug Enforcement Administration (DEA). 

The  EU  Drug  Precursor  Project  Group  intends  to  meet  in  subgroups  (sea  traffic,  air 
traffic,  land  traffic  and  express  services)  in  order  to  discuss  specific  risk  management 
related topics. 

On a regular basis, RIF-messages concerning drug precursors are uploaded in CRMS. EU 
Member States are also frequent contributors to the Precursor Incident Communications 
System (PICS) of the International Narcotics Control Board. 

Cash controls: development of CRC for cash movements is ongoing. 

Cultural  goods:  This  concerns  mainly  the  restrictions  on  the  import  of  cultural  goods 
from Iraq and Syria. An EU risk profile for imports has been created. In order to identify 
the parameters of this problem and establish an appropriate risk management approach in 
this area, we need more expertise from various sources in the field, including the expert 
group that was created on Customs and Cultural goods. 

36 

 
 
 
4.4.2 

COMPLETED 

Propose  and  adopt  adequate  legal  acts  for  the  new  EU 
common risk criteria 

To ensure continuous harmonised application of risk analysis and controls in the area of 
security  and  safety  based  on  established  common  risk  criteria  and  standards,  it  is 
necessary under the UCC to review the Commission Decision No C (2009) 2601 of 15 
April  2009,  since  its  legal  basis  expired  on  1  May  2016  following  the  entry  into 
application of the UCC. The amendment contains the minimum necessary changes, as the 
substantial review of the existing common risk criteria, the establishment of the new ones 
(e.g. air cargo security) and any other relevant aspects, such as the ones stemming from 
the implementation of the Objectives 1 and 2 of the Strategy, will need to be addressed at 
a later stage as appropriate. 

The favourable vote on the draft proposal for a Commission Implementing Decision on 
common  security  risk  criteria  and  standards (entry  and  exit)  took  place  in  the  Customs 
Code Committee on 18 March 2016.  

DELIVERABLES: the legal act is adopted.  CRCs are implemented in PCA where 
necessary and ongoing. CRCs currently being developed in areas such as air cargo 
security,  financial  risks  and  others  will  be  integrated  in  the  future  Commission 
Decision (see also the next action 4.5.1) 

COM acts in the framework of the current CCC and UCC establishing CRC 

CRC implemented via Priority Control Actions  

Action 4.5 

Systematically  monitor,  evaluate  and  improve  implementation 
of  the  EU  risk  management  by  the  MS  and  measure 
performance of the CRMF 

4.5.1 

ONGOING 

Continue  to  evaluate  and 
improve  the  effectiveness  and 
efficiency  of  the  existing  CRC;  improve  the  arrangements  for 
CRC review 

As  regards  the  air  cargo  security  CRC  and  risk  indicators,  any  move  towards  legal 
adoption  is  pending  the  evolution  of  the  project  of  developing  these  criteria,  which 
effectively depends on the target date of Implementation of Objective 1 and 2, together 
with  the  appropriate  additional  risk  analysis  capacity  to  support  the  implementation  of 
CRC/risk indicators by the MSs (i.e. risk engine for execution of risk rules/ algorithms). 

4.5.2 

ONGOING 

structured  approach 

for 
Develop  a 
systematically  monitoring, 
improving 
implementation  of  EU  risk  management  by  the  MS  and 
to  ensure 
the  CRMF, 
the  performance  of 
measuring 
harmonised, effective and efficient implementation 

(evaluation  cycle) 
and 

evaluating 

The systematic CRMF evaluation cycle concept is in development in close consultation 
with  the  Member  States.  The  overall  concept  and  the  specific  areas  for  the  CRMF 
evaluation  cycle  and  Customs  Union  Performance  (CUP)  are  mutually  supportive. 
Coordination is ensured between the Customs Code Committee — Section Controls and 
Risk Management and the CUP Project Subgroup on controls. The work of that subgroup 
is  dedicated  to  improvement  and  further  development  of  performance  indicators  in  the 
field of control. 

There exists a separate set of indicators  for post-clearance controls.  A summary of  key 

37 

 
 
 
 
figures  and  trends  on  control  indicators  is  regularly  prepared  in  CUP  Analytical  and 
Annual Reports. Cooperation of the CUP project and the risk management area has been 
established.  The  cooperation  covers  several  aspects:  exchange  of  information  on  the 
current state of play and further plans, consultation on summary reports and definitions 
of performance indicators, creation of a structured list of areas for further development of 
performance indicators on customs controls.  

The following activities are planned to be carried out: 

Joint meetings of the CUP Steering Group with risk management experts. 

• 
•  Detailed  analysis  of  CUP  2015  data.  2015  Analytical  and  Annual  Reports  will  be 
prepared in the first half of 2016 in cooperation/consultation with the control and risk 
management area. 

•  A  survey  on  three  areas:  border  management/passenger  traffic,  mobile  controls  and 
non-intrusive  inspections.  The  outcome  of  the  survey  will  create  a  basis  for 
considering the approach and identifying potential candidates for further performance 
indicators  in  the  control  area  in  cooperation  between  the  CUP  and  CRMF.  This  is 
planned for 2016/2017. 

•  An  amended  version  of  definitions  for  the  current  CUP  performance  indicators  on 
controls will be prepared aligning them with the UCC and DA/IA, by end of 2016. 

DELIVERABLE: work is ongoing to contributing to the deliverable 

CRMF performance measurement implemented (CRMF evaluation cycle)   

38 

 
 
 
 
 
4.5  Objective  5:  Promoting  interagency  cooperation  and  improving  information 
sharing between customs and other authorities at Member State and EU level, 
in order to ensure effective risk management 

Interagency cooperation means cooperation between customs and other authorities. 

Ensuring border-crossing for persons and goods that is both secure and smooth and fast, 
while  also  applying  the  rules  on  border  checks  and  customs  control  has  become  a 
challenge  at  many  border-crossing  points,  with  the  overall  flow  of  goods  and  persons 
increasing.  Interagency  cooperation  between  the  authorities  responsible  for  checks  on 
persons and control of goods could facilitate this task. Customs services’ ability to carry 
out  effective  risk  assessment  depends  on  information  and  intelligence  received  from 
other  agencies.  Some  examples  of  such  cooperation  are  mentioned  in  the  following 
paragraphs, and more specific details are given in the description of the actions. 

The  guidelines  on  cooperation  between  customs  and  border  guards  working  at  the 
external  borders  issued  in  2013  are  a  practical  tool  that  supports  cooperation  in  a 
structured  way  (i.e.  by  synchronising  both  the  timing  and  location  of  checks).  The 
guidelines provide informal and non-binding guidance for Member States in eight areas 
of cooperation, depending on the specific national circumstances (e.g. the organisational 
structures in place and the local situation). The eight areas include: synchronised checks, 
joint  planning  of  infrastructure  and  procurement,  information  exchange,  risk  analysis, 
equipment, investigations, joint operations and training. 

A  document  on  cooperation  between  customs  and  market  surveillance  authorities 
(MSA)  on  risk  management  in  the  area  of  product  safety  and  compliance  controls  on 
imported  goods  was  finalised  in  December  2015.  It  provides  a  methodology  for  the 
exchange of risk information between customs and MSA. A large number of operational 
activities  have  been  undertaken  in  the  product  safety  and  compliance  sector  in  recent 
years,  mainly  as  part  of  joint  enforcement  activities  for  MSA  and  customs  financed  by 
grants  from  the  consumer  policy  budget.  The  increased  value  of  goods  sold  via  the 
internet (e-commerce) being imported into the EU, which take the form of a high volume 
of  small  parcels,  presents  a  new  challenge  for  enforcement  authorities,  including 
customs,  who  need  to  enforce  prohibitions  and  restrictions  through  effective  risk 
management and controls. 

At national level, customs authorities cooperate with other border and law enforcement 
authorities, either through customs representatives in ministerial councils or on the basis 
of cooperation agreements or memoranda of understanding with other authorities. Some 
examples from Member States include the following:  

─ 

In the Netherlands, the control of goods by different authorities is coordinated by 
a state inspectorate terminal at the port of Rotterdam and a joint inspection centre 
at Schiphol airport.  

─  Croatian and Spanish customs authorities have signed cooperation agreements for 
integrated  border  management  with  relevant  authorities  from  the  ministries  of 
Agriculture, Health, Maritime Affairs and others.  

─  Finnish customs has a cooperation framework with the national transport agency 
set  up  through  Portnet,  in  which  notifications  of  the  arrival  and  departure  of 

39 

 
vessels are centrally collected and can be used for risk analysis of Entry Summary 
Declarations (ENS).  

─  The  Italian  customs  agency  is  the  coordinating  body  for  the  Italian  Single 

Window system. (For further details, see action 5.1.4). 

Customs’  contribution  to  the  fight  against  organised  crime  and  the  related  police-
customs cooperation is described in more detail under action 5.3. 

Action 5.1 

Develop 
further  cross-sectoral  cooperation  arrangements, 
improve  sharing  and  accessibility  of  (risk)  information  and 
customs involvement in risk and threat assessments 

5.1.1 

ONGOING 

Develop further the cooperation arrangements between customs 
and  other  competent  authorities,  with  a  view  to  ensuring 
complementarity of roles in supply chain risk management 

For  the  development  of  multi-agency  cooperation  10  main  areas  of  cooperation  have 
been identified: Law Enforcement; Intellectual Property Rights; Transport (maritime and 
aviation  security);  Animal,  food,  feed  and  plant  health  and  safety;  Product  safety  and 
compliance;  Health  protection;  Environment;  Tax;  Non-proliferation  and  conventional 
weapons; and Cultural goods. Outcomes from actions ongoing under the objectives 3 and 
4 deliver an important input in establishing cooperation arrangements between customs 
and other authorities.  

Law Enforcement: 

A  Customs  2020  High-Level  Seminar  on  cooperation  between  border  authorities  was 
organised  by  the  Latvian  Council  presidency  in  Riga  (May  2015).  This  seminar  on 
passenger  controls  identified  an  agenda  for  further  work  and  cooperation  between 
customs and other border authorities, e.g. to ensure that advance passenger data are also 
available for customs use. 

For cash movements controls an analysis and evaluation of current information sharing 
mechanisms  is  being  conducted  against  the  backdrop  of  the  ongoing  revision  of 
Regulation (EC) 1889/2005. 

Intellectual Property Rights: 

A  High-Level  Conference  on  cooperation  between  the  authorities  in  the  fight  against 
infringements of IPR took place in February 2016 and highlighted the difficulties in the 
area  of  systematic  exchange  of  information  between  all  law  enforcement  authorities, 
prosecutors and judicial authorities. 

For  the  linking  of  COPIS  with  AFIS  the  inception  activities  are  ongoing.  The  date  for 
launching the production is estimated for Q2 2017. 

Transport (maritime and aviation security): 

Concerning  aviation  security  see  the  details  on  development  of  common  risk  criteria 
outlined under action 4.4.1. 

For  the  maritime  domain,  the  Commission  launched  a  study  (March  2016)  in  order  to 
analyse  risk  assessment  capacities  within  Coastguard  functions  including  Customs  in 
the area of maritime security. The study is expected to contribute to a better overview of 
multi-agency  cooperation  in  conducting  risk  assessment  tasks  of  individual  authorities, 

40 

 
 
and to provide recommendations in this area. The results are expected for spring 2017. 

In the area of maritime transport the Commission has launched the DTLF in 2015. This 
Forum  aims  at  the  further  digitalisation  of  freight  transport  and  logistics.  It  brings 
together  Member  States  and  stakeholders  from  transport  and  logistics  communities  in 
order  to  identify  areas  where  common  action  in  the  EU  is  needed.  (Further  details  are 
mentioned under Objective 2, Action 3). 

Within  the  framework  of  the  EU  Maritime  Security  Strategy  various  initiatives  are 
ongoing in the area of improving multi-agency cooperation and exchange of information. 
At EU and national level customs actively contributes to improving supply chain security 
and supports risk-based surveillance of goods movements in the maritime domain in the 
fight against terrorist and organised crime activities such as the smuggling of goods and 
the  trafficking  of  arms  and  narcotics,  along  with  cross-border  movements  of  cash  as 
proceeds  of  this  illegal  trade.  The  development  of  a  Common  Information  Sharing 
Environment (CISE) promotes the exchange of relevant information among the different 
authorities involved in the maritime area. CISE has been developed as a meta-project for 
enhanced  cooperation  and  information  exchange  between  civil  and  military  authorities 
with a view to further enhance a common maritime situational awareness picture and data 
exchange. With the aim of improving supply chain security and supporting the risk-based 
surveillance  of  the  movement  of  goods  in  the  maritime  domain,  CISE  promotes  the 
exchange  of  information  between  the  different  authorities  involved  in  the  fight  against 
terrorist and organised crime (e.g. smuggling of goods, trafficking of arms and narcotics 
and  cross-border  movements  of  the  cash  proceeds  of  illegal  trade).  In  the  context  of 
CISE, relevant EU agencies (e.g. EMSA, EFCA, FRONTEX, EDA and EUROPOL) and 
other  European  agencies  (e.g.  ESA)  are  invited  to  reinforce  cooperation  between  those 
agencies.  Also,  the  Pre-Operational Validation  project  'EUCISE2020'  is  to  test  CISE  at 
large scale by 2017-2018, followed by a step-by-step implementation until 2020.  

Animal, food, feed and plant health and safety: 

A workshop with customs and veterinary authorities was held in March 2016, further 
workshops should be planned with other sanitary import control authorities. See further 
details under action 4.4.1. 

To handle requests for cross-border cooperation in cases of non-compliance in the food 
and  feed  chain,  each  Member  State  has  appointed  a  contact  point  within  the  EU  Food 
Fraud Network (FFN). The network has been operational since July 2013; and since its 
creation  the  Commission  has  observed  a  marked  increase  in  the  number  of  exchanges 
from  30  in  2013  to  more  than  100  in  2015,  adding  up  to  more  than  200  cases  in  total 
since the creation of the network. 

A  dedicated  IT  tool,  the  Administrative  Assistance  and  Cooperation  (AAC)  system, 
was  launched  on  18  November  2015  to  facilitate  the  exchange  of  administrative 
information between national authorities. At a later stage, it will be made available also 
to the liaison bodies working on cases of Administrative Assistance and Cooperation not 
related to fraudulent practices. Only Member State Authorities can introduce information 
on fraud cases into the AAC system, not the Commission. 

A  project  initiated  by  the  Commission  integrating  electronic  Certificates  of  Inspection 
(COI) certifying the organic status of agricultural products exported from third countries 
to  the  Union  in  the  TRACES  is  ongoing.  The  pilot  creates  an  interface  including  risk 
management  information  giving  input  to  customs’  automated  systems  for  import 
declarations. 

EU  Single  Window  CVED:  Synchronised  communication  with  TRACES  is  already 

41 

 
working with the national customs authorities in the Czech Republic, Ireland, Slovenia, 
Latvia  and  partly  in  Poland.  With  other  Member  States  (AT,  CY,  NL  and  LT) 
conformance testing is planned. 

Notifications from the RASFF data base are regularly transformed in RIFs. 

Product safety and compliance: 

In  the  framework  of  the  support  to  Member  States  for  the  implementation  of  common 
guidelines  for  customs  and  market  surveillance  authorities,  25  visits  took  place  from 
2012  until  October  2015.  Two  more  visits  will  be  carried  out  in  2016.  These  visits 
provide  customs authorities  with  a better view on the objectives  of market surveillance 
authorities  and  other  organisations  at  national  level  as  well  as  EU  level.  There  is  a 
specific reference to the treatment of Small- and Medium-sized Enterprises. 

With the use of RAPEX relevant notifications are selected which are then transformed in 
a  RIF  and  uploaded  in  CRMS  on  a  regular  basis.  However,  specific  information 
requested  by  customs  related  to  routing,  means  of  transport,  goods  description  is  not 
is 
always  available 
understandable where MSA take measures within the EU and customs enforces controls 
at the external border at the moment of entry and import of goods. 

to  market  surveillance  authorities’  (MSA)  activities.  This 

See also details mentioned under action 4.4.1. 

Health protection: 

Commission  services  are  closely  working  together  on  the  draft  official  control 
regulation  which  should  repeal  Regulation  (EC)  No  822/2004  to  ensure  appropriate 
cooperation structures between customs and sanitary import control authorities. The new 
draft  regulation  is  still  in  discussion  at  the  Council  in  the  frame  of  the  co-decision 
procedure. It is expected that the new regulation will be adopted at the end of 2016. 

The development of the  tobacco traceability solution required under Article 15 of the 
Tobacco Products Directive is important. Commission services cooperate to make certain 
that there is customs input and advice on customs risk management needs: notably access 
to the data for CRM processes, and referencing of the solution at the relevant moment in 
the customs declarations (including pre-arrival/pre-departure and NCTS). 

Environment: 

In response to the problem of illegal logging and related trade, the European Commission 
launched  an  Action  Plan  on  Forest  Law  Enforcement,  Governance  and  Trade 
(FLEGT), setting a range of measures for tackling illegal logging in the world's forest. 
Within  the  framework  of  FLEGT  Regulation,  the  cooperation  and  communication 
between customs and other competent authorities is a key element of the implementation 
of border controls. For the support of customs in effectively carrying out their tasks, the 
European Commission Notice: Customs and FLEGT Implementation Guidelines - Public 
Summary, was published in 2014. Furthermore, FLEGIT (IT system) has been developed 
by Commission services for the electronic management of FLEGT licences by Member 
States  competent  authorities  and  customs  authorities.  Those  authorities  have  also 
received training on FLEGIT in Brussels in the first half of 2016, while onsite training 
sessions have been scheduled for the second half of 2016 in interested Member States  

The EU Timber Regulation (EUTR) is the key instrument for the implementation of the 
FLEGT Action Plan, to address the problem from the demand side. EUTR prohibits the 
placing  by  operators  (i.e.  any  (natural  or  legal)  person  first  placing  timber  on  the  EU 
market) of illegally harvested timber on the EU market. Although the regulation does not 
stipulate measures for border control measures, a better access to customs data, regarding 

42 

 
the  identification  of  operators  and  relevant  import  data  from  competent  authorities  is 
essential. This information exchange will facilitate checks using  a - risk based approach- 
supporting more effective enforcement of EUTR. 

For  2017  a  joint  workshop  is  considered  to  be  organised  for  customs  and  competent 
environmental  authorities  on  Invasive  Alien  Species.17  This  concerns  enforcement  to 
prevent  such  species,  for  example  exotic  algae  or  insects  that  can  damage  the 
environment, entering the EU. 

For  the  control  of  cross-border  controls  on  shipments  of  waste  between  the  EU  and 
China,  a  set  of  recommendations  has  been  endorsed  by  a  mixed  group  of  customs  and 
environmental  authorities  (EU  and  China),  including  a  recurrent  data  collection  and 
analysis exercise to support risk management activities (first exercise to be completed by 
end 2017). 

Tax: 

Fiscalis  2020  Group  No  10  issued  its  report  at  the  end  of  2015.  The  group  provided 
recommendations  on  how  to  enhance  the  cooperation  between  customs  and  tax 
administrations. The multiple connection points between the two types of administration 
were  identified  as  well  as  the  specification  of  information  to  be  exchanged.  The  group 
identified  points  for  attention  in  the  following  areas  of  interest:  Customs  Procedure 
42/63;  Valuation  of  goods  in  customs  procedures;  Excise  products  and  Tax  collection. 
The proposals will be used as a starting point for further elaboration to improve tax and 
customs cooperation. 

Non-proliferation and conventional weapons: 

A joint simulation exercise (SIMEX) with involvement of customs authorities as well as 
licensing  authorities  was  organised in  2015.  Also  a  Priority  Control  Action  (PCA)  was 
carried out in 2015 to support and complement a joint action initiated by the WCO. The 
objective  was  to  streamline  the  information  from  EU  customs  and  to  underline  the 
complementarity of actions. 

Cultural goods: 

It  has  been  widely  reported  that  illicit  trafficking  of  cultural  goods  is  a  source  of 
terrorist financing. To enforce restrictions on the import of cultural goods from Iraq and 
Syria,  a  RIF  for  imports  has  been  created.  To  further  identify  the  parameters  of  the 
problems  related  to  the  import  of  cultural  goods  and  determine  an  appropriate  risk 
management approach, the Commission has launched a study to map the situation in the 
EU,  the  conclusions  of  which  are  expected  by  the  end  of  September  2016.  The  study 
should also suggest solutions (binding measures, coupled perhaps by ‘soft-law’) on how 
the  problems  can  be  best  tackled.  A  Commission  proposal  for  a  legal  instrument 
regulating the import of cultural goods is expected by mid-2017. 

17  Regulation  (EU)  No 1143/2014  of  the  European  Parliament  and  of  the  Council  of  22 October  2014  on  the  prevention  and 
management of the introduction and spread of invasive alien species. 

43 

 
 
 
 
                                                 
5.1.2 

ONGOING 

Ensure  customs  participation  in  relevant  supply  chain  security 
threat and risk assessments done at national and EU levels and 
ensure the integration of this work in customs risk management 
of the supply chain 

At  EU  level  most  details  related  to  this  action  are  given  in  the  reporting  above  on  the 
actions 4.4.1 and 5.1.1. 

Belgium,  Greece,  Ireland,  Italy,  Poland,  Portugal,  Slovakia,  Slovenia  and  Spain 
report that their customs authorities are part of a national structure in which competent 
authorities  participate,  mostly  at  ministerial  level,  to  ensure  national  threat  and  risk 
assessments in various policy areas, e.g. on firearms and dual-use goods. 

Belgium  mentions  cooperation  between  the  national  market  surveillance  authority  and 
customs  in  the  area  of  product  safety,  ensuring  an  appropriate  exchange  of  control  and 
risk information. 

The  Netherlands  mentions  a  Joint  Data  Analysis  for  analysing  risks  for  air  passenger 
controls jointly between customs and the border guard authority.18 A maritime operations 
centre  is  planned  to  be  developed  by  the  national  coast  guard,  in  which  customs  also 
participates.  Concerning  cooperation  with  the  coast  guard,  Latvia  refers  to  the  use  by 
customs of SafeSeaNet19 operated by the European Maritime Security Agency. 

Croatia  informs  on  agreements  that  customs  signed  regarding  mutual  cooperation  and 
information  sharing  with  other  authorities,  such  as  the  police  and  the  tax  service.  An 
agreement  for  integrated  border  management  was  also  signed  between  customs  and 
Ministry  of  Interior,  Ministry  of  Finance,  Ministry  of  Agriculture,  Ministry  of  Health, 
Ministry of Foreign Affairs, Ministry of Maritime Affairs, Transport and Infrastructure, 
Ministry  of  Tourism  and  Croatian  Personal  Data  Protection  Agency.  Cooperation  and 
information  sharing  structures  not  based  on  formal  agreements  exist  also  with  other 
authorities  in  the  area  of  product  safety  and  dual-use  goods.  Also  Slovenia  points  out 
improved cooperation with the Ministry of Economy at national level on the licensing of 
dual-use goods in order to avoid diversion of export of goods for which an export licence 
has been denied. 

In  the  area  of  risk  and  threat  assessments  on  fiscal  fraud,  Lithuania  established  a  risk 
analysis centre in 2014 by joint order of the Customs Department, State Tax Inspectorate 
and  Financial  Crime  Investigation  Service.  It is  run  by  a  group  of  representatives  from 
each of the institutions ensuring a continuous exchange of information. 

In  Estonia  strategic  comprehensive  risk  analysis  (Base  analysis)  is  established  by 
customs annually. This covers all known risk areas and is used, among others, as a base 
document  for creating new risk profiles.  Customs  shares  these  analyses  with  the police 
authorities and border guards. 

An  agreement  on  mutual  cooperation  in  the  area  of  waste  management  between  the 
Financial  Administration  and  the  Slovak  Environmental  Inspectorate  is  currently  being 
discussed. The agreement foresees joint controls of cross-border movements of waste and 
exchange  of  information  between  the  relevant  authorities.  Also,  regular  meetings  are 
organised to ensure cooperation and exchange of information between customs and other 
authorities on the implementation of FLEGT and IPR. 

In  Spain  cooperation  between  customs  and  other  authorities  is  operating  in  national 

18 De KMAR: de Koninklijke Marechaussee (Royal Military Police). 

19 SafeSeaNet is a vessel traffic monitoring and information system. 

44 

 
                                                 
structures  for  exchange  of  information  between  the  relevant  authorities  and  customs, 
concerning  denials  for  licences  of  dual-use  goods,  from  TRACES,  and  from  MSA. 
Customs uses this information in their risk analysis processes. 

Sweden  emphasises  cooperation  mechanisms  between  customs  and  other 
enforcement authorities to coordinate and combat organised crime. 

law 

Luxembourg indicates that their customs authority can interact at any given time in the 
supply chain based on transport and commercial  related data which is not yet declared to 
customs. These data can be required by means of memoranda of understanding (MOU). 
Multi-agency  cooperation  is  partly  done  under  an  ongoing  project  for  establishing  a 
national single window. 

Since  June  2015,  Portuguese  customs  is  part  of  the  National  Superior  Council  for 
Internal Security. This Council is responsible for threat assessment in all issues related to 
security  and  advises  the  Prime  Minister  in  such  matters.  In  matters  of  security,  also 
Denmark  indicates  that  there  is  a  structure  in  place  at  national  level  for  cooperation 
between relevant services, including customs. 

In the area of cooperation with aviation security services, Croatia, Cyprus, Finland and 
Latvia mention planned activities in the near future. 

5.1.3 

ONGOING 

Develop  together  with  the  competent  authorities  the  EU 
common  risk  criteria  and  standards  and  mechanisms  for  their 
regular evaluation and review, where appropriate 

Concerning  the  development  of  CRC  see  the  details  on  ongoing  activities  given  under 
Objective 4, actions 3 and 4. 

The development of mechanisms for regular evaluation and review is described in detail 
under Objective 4, action 5. 

Concerning  financial  risks  the  issue  of  exports  of  out-of-quota  sugar  under  Regulation 
(EU)  No  951/2006  remains,  which  requires  physical  customs  checks  by  reference  to 
Regulation  (EU)  No  1276/2008.  Regulation  (EU)  No  951/2006  is  expected  to  expire 
when the sugar quota system expires at the end of September 2017. 

Agricultural  import  and  export  licences  entail  the  personal  obligation  of  the  licence 
titular holder to have products released for free circulation or export. In order to enable 
customs and licence authorities to check this obligation, the Commission introduced the 
mandatory  use  of  the  EORI  number  in  the  licences.  The  customs  procedure  may, 
however,  be  carried  out  by  a  customs  representative  based  on  Article 18  of  Regulation 
(EU)  No  952/2013.  The  problem  is  that  in  certain  complex  representation  formats  the 
EORI number of the ‘importer’ or ‘exporter’ mentioned in the customs declaration is not 
necessarily the EORI number of the licence titular holder. In the framework of the AGRI 
CMO Committee, Commission services and Member States are in connection to come to 
solutions covering this problem. 

In  the  review  of  agricultural  licence  legislation,  about  to  be  finalised,  the  number  of 
products for which an import or export licence is required has been drastically reduced in 
cases where the licence only serves as a means of market monitoring. This simplification 
could  be  achieved  because  the  customs  surveillance  system  has  been  significantly 
improved  in  terms  of  information  generation  and  performance.  In  the  meantime,  using 
customs  surveillance  for  agricultural  market  monitoring  has  been  introduced  as  a 
standard for use of market monitoring by Commission services. 

45 

 
 
A  system  for  local  control  coordination  in  concrete  cases  between  customs,  paying 
agencies,  and  licence-issuing  authorities  should  continue  for  at  least  preferential  and 
TRQ imports.20 TRQs with a high quota rent (= profit) are sensitive for abuse on issues 
like  origin  or  classification,  e.g.  garlic.  Customs  surveillance  over  time  shows  shifts  in 
imports under certain CN codes or in origins per CN code. Such patterns can be normal, 
but could also identify an abuse interesting for further analysis. 

5.1.4 

ONGOING 

Improve  accessibility, 
sharing  and  utilisation  of  risk 
information  from  other  authorities  and  ensure  its  timely 
integration  into  the  risk  management  of  the  supply  chains, 
including in ad hoc / crisis situations 

Sharing of risk information between customs and other authorities is done at a daily basis 
in  Austria,  the  Czech  Republic,  Denmark,  Estonia,  Finland,  Greece,  Germany, 
Ireland, Italy, Latvia, Luxembourg, Poland and Slovenia. 

including  control  results  from 

Belgium indicates in the area of environmental issues an extensive collaboration between 
customs  and  the  competent  national  authority,  which  has  led  to  an  integrated  common 
risk  management; 
the  national  authority  being 
communicated to customs, on the basis of which customs risk profiles are updated. The 
cooperation  also  ensures  risk  evaluation  and  targeting.  In  addition,  Belgian  customs  is 
developing  automated  data-mining  tools  in  order  to  improve  the  targeting  of  risky 
consignments,  and  the  development  of  a  single  window  for  import  release  is  being 
considered with other authorities. 

In 2016 a single information exchange system between the Bulgarian customs and the 
national  Agency  for  Food  Safety  will  be  deployed  in  order  to  ensure  that  specific 
products  of  animal  origin  can  only  be  released  when  authorised  by  the  food  safety 
authority. 

In Cyprus, customs is a co-competent authority for the implementation of the National 
Action  Plan  for  crisis  situations  regarding  emergency  response  to  radiological  and 
nuclear  incidents.  The  roles  and  competencies  of  the  different  authorities,  including 
customs,  are  defined  in  the  national  plans.  For  customs  there  is  a  specific  reference  to 
exercising  controls  based  on  common  risk  criteria  and  information  exchange  through 
CRMS.  Swedish  customs  also  actively  participates  in  national  response  plans  for 
CBRNE. 

In  France an internal  framework note has  been  concluded, defining  and describing the 
actions  to  be  done  in  real  time  to  implementing  newly  identified  risks  in  the  CRMS 
platform. 
Finland  refers  to  the  Portnet  portal21  used  nationally,  supporting  a  single  window 
approach  in  the  maritime  environment.  Finnish  Customs  has  developed  the  notification 
procedure  for  vessel  traffic  together  with  the  Finnish  Transport  Agency,  ship  agents, 
shipping companies, other government agencies, harbours and other maritime operators. 
The  electronic  Portnet  system  provides  for  electronic  submission  to  customs  of 
notifications related to arrival and departure of vessels. 

Integrated control of goods (one-stop-shop) is a reality in  the Netherlands through the 
state  inspectorate  terminal  (Rijksinspectie  Terminal,  RIT)  Rotterdam  and  the  joint 

20 Tariff Rate Quota is an agricultural term in the WTO agreement; used for agricultural products. 

21 www.portnet.fi. 

46 

 
                                                 
inspection centre (JIC) at Schiphol Airport. Information  is exchanged between customs 
and  other  authorities  in  many  areas.  For  example,  the  programme  NLIP  (Neutral 
Logistics  Information  Platform)  gradually  develops  facilities  for  the  joint  use  of  data. 
Customs is working with other governmental agencies and in consultation with industry 
players  through  the  NLIP  provision  for  one-time  delivery,  re-use  and  rendering  of 
information.  The  Maritime  Single  Window,  which  will  be  phased  in  from  the  end  of 
2015, is a basic provision. Dutch Customs is also participating in the CORE project, of 
which one of the working packages is focusing on the Amsterdam Airport Schiphol. The 
objectives of this demonstrator are to demonstrate benefits of data sharing between value 
chain  partners  and  between  the  different  control  agencies,  including  customs  and 
phytosanitary control. 

Since  2011  in  Italy  the  Customs  Agency  has  implemented  the  Italian  Single  Window 
system, where the customs administration acts as a coordinating and monitoring body. It 
collects  all  information  and  data  required  for  clearance  and  exchanges  them  with 
economic  operators  and  the  other  administrations  (Health,  Foreign  Affairs,  Transport, 
economic development, Agriculture, food and forestry policies etc.) involved through the 
electronic  dialogue.  Important  is  the  one-stop-shop,  which  implies  that  controls  by 
customs  and  other  public  administrations  are  carried  out  jointly  and  risk-relevant 
information is shared. 

Lithuanian  customs  receives  information  on  unsafe  products  from  the  responsible 
national institution on a daily basis and transfers this into risk profiles. They have only 
limited  access  to  some  police  data  and  data  from  the  State  Border  Guard  Service. 
Furthermore,  the  actual  exchange  of  information  with  other  services  is  rather  limited 
although mutual agreements are in place. 

Portugal considers organising in 2016 a seminar for other authorities to explain the role 
and responsibilities of the customs authorities. 

Slovakia  will  establish  a  joint  analytic  centre  of  Police  and  Customs  with  the  aim  to 
apply a common methodology of data evaluation (this activity resulted from the National 
Action  Plan  of  the  fight  against  tax  fraud).  It  is  being  considered  to  introduce                                                                                                                                                          
string  matching  technologies  into  the  National  Risk  Profiling  System  based  on  the 
experiences  from  the  Customs  2020  Project  Group  on  Data  Mining.  There  are  also 
various  projects  planned  at  national  level  covering  exchange  of  information  with  other 
national  authorities  such  as  the  Nuclear  Regulatory  Authority,  police  and  the  civil 
aviation  authority  for  PNR  data  and  cooperation  with  control  authorities  for  waste, 
FLEGT and dual-use goods. 

Slovenia  is  also  planning  to  develop  an  IT  application  for  daily  updates  on  denials  for 
export  of  dual-use  goods,  issued  by  other  Member  States  in  cooperation  with  the 
Ministry of the Economy responsible for licensing exports of dual-use goods 

For  entry  and  exchange  of  information  between  customs  and,  for  example,  aviation 
security authorities, the further developments and the final deployment of the system 
ICS 2.0 are important. A common repository is the core and fundamental prerequisite for 
the  required  improvements  in  data  quality  and  availability  (See  objectives  1  and  2). 
Germany and Italy indicate that they are awaiting these developments in order to make 
the necessary changes at national level. Italy refers specifically to the targeted activities 
requiring  cooperation  with  other  national  law  enforcement  agencies  that  can  only  be 
planned when the common repository and additional functionalities such as e-screening 
and  risk  analysis  on  pre-loading  data  for  security  purposes  will  be  in  place.  The 
willingness of such national administrations in sharing info is a crucial turning point for 
such cooperation and the only way to get effective and efficient security risk analysis.   

47 

 
5.1.5 

ONGOING 

Promote  complementarity  and  coherency  of  initiatives  from 
other authorities aimed to improve security of the supply chain 
to avoid undue disruption or burden to trade 

Commission  services  are  cooperating  in  order  to  ensure  coordinated  contributions  and 
consistency to the development of various initiatives and finding synergies. 

European Agenda on security: 

Through various actions, customs contributes to the protection of European citizens with 
regard  to  ongoing  increase  of  threats,  in  particular  posed  by  terrorism  and  serious  and 
organised  crime:  EU  Maritime  Security  Strategy,  Air  cargo  security,  EU  action  plan 
against  illicit  trafficking  in  and  use  of  firearms  and  explosives,  EU  action  plan  for 
strengthening  the  fight  against  terrorist  financing,  EU  action  plan  against  wildlife 
trafficking and the initiative on smarter and stronger information systems for EU borders 
and security (COM(2016)205). 

Maritime Safety and Security: 

Several actions from the customs Strategy also support the EU MSS as the two strategies 
share several objectives, in particular in the area of improving multi-agency cooperation 
and  exchange  of  information.  (See  action  5.1.1).  Furthermore,  there  is  a  Commission 
initiative to create a Contact Group developing common views on how to further enhance 
EU  Coastguard  capacities  including  information  sharing,  multipurpose  operations  and 
common practices; including the relevant actors such as customs. 

In  2015  the  Commission  launched  the  DTLF  for  the  next  three  years.  For  details  see 
action 5.1.1. 

Air cargo security: 

The Security Risk Rules Project for the establishment of specific risk rules for Air cargo 
security  common  risk  criteria  is  another  crucial  project  for  customs  authorities  to 
contribute to the EU Security. See the details on the development of common risk criteria 
outlined under action 4.4.1. 

Non-proliferation and conventional weapons: 

A joint simulation exercise (SIMEX) with involvement of customs authorities as well as 
licensing authorities was organised in 2015. For further details see action 5.1.1. 

Product, animal, food and feed safety, protection of environment: 
CITES:  The  Commission  has  presented  an  Action  Plan  against  Wildlife  trafficking.22 
Further implementation of customs-related actions is supported in the framework of the 
PARCS activities (See Objective 3). 

WASTE:  For  mid-2016,  the  adoption  of  Commission  Implementing  Regulation  on  the 
correlation  of  waste  codes  with  customs  tariff  codes  is  foreseen.  The  Implementing 
Regulation intends to support customs in a more targeted selection of high-risk shipments 
of waste. 

FLEGT:  Commission  services  have  been  consulted  the  customs  aspects  related  to  the 
implementation of the FLEGT Regulation. 

EUTR: the implementation of the EUTR to the product scope of the regulation is  done 
with reference to CN codes. 

22 COM(2016) 87 + SWD(2016) 38 final. 

48 

 
                                                 
Intellectual Property Rights: 

Within  the  framework  of  the  EU  Customs  Action  Plan  to  combat  IPR  infringements 
action  2.2.1  aims  to  improve  customs’  capabilities  to  detect  IPR  infringing  goods  in 
different  kinds  of  consignments.  Activities  are  ongoing  involving  cooperation  between 
IPR  specialists  and  customs  risk  analysis  experts  in  order  to  improve  the  targeting  of 
customs controls. 

The impact assessment for the ‘review of export control policy’ is ongoing.  

DELIVERABLES: work is ongoing contributing to all four foreseen deliverables 

Cross-sectoral cooperation arrangements 

Customs involvement in risk and threat assessment including crisis situations 

CRC for risk and threat assessment 

Procedures for sharing of information in crisis situation 

Action 5.2 

Strengthen  the  EU  Authorised  Economic  Operator  (AEO) 
concept  through  broader  recognition  and  promotion  by  other 
authorities 

5.2.1 

ONGOING 

Strengthen  the  EU  Authorised  Economic  Operator  (AEO) 
concept through its broader recognition by other authorities in 
the  relevant  existing  or  future  partnership  programmes  or  in 
the control regimes stemming from other policies 

Cooperation with other government authorities remains one of the core priorities in the 
context of the EU AEO concept. 

Aviation  security:  Regulation  (EC)  687/2014  for  regulated  agents  referring  to  AEO 
standards  is  implemented  and  continuously  monitored  by  the  responsible  Commission 
services. 

Dual-use  goods:  In  2015,  work  was  launched  on  the  identification  of  synergies  and 
possible  strengthened  cooperation  between  the  EU  AEO  concept  and  a  (future)  market 
surveillance  scheme.  Besides,  the  work  of  the  Joint  Working  Group  on  AEO-ICP 
Convergence resulted in final recommendations that were adopted by the AEO network 
and the Dual Use Coordination Group. A roadmap defining next steps regarding AEO-
ICP Convergence has  been  drafted. Further increase of capacity  building in  the area of 
dual-use items is considered. Amendment of the AEO guidelines containing a reference 
to ICP has been completed. 

In the area of market surveillance and in other policy areas, possible cooperation will be 
further investigated. 

Concerning maritime security and product safety: discussions at national and EU level 
are  ongoing  in  order  to  improve  the  mutual  understanding  of  the  different  security 
schemes  and  explore  possibilities  for  future  cooperation  between  customs  and  other 
authorities. 

In the area of product safety and compliance, statistics have been collected on customs 
controls, based on visits at points of entry in Member States. The outcomes will be used 
for further elaboration of different compliance schemes.  

49 

 
 
 
 
 
 
DELIVERABLES: work is ongoing to contribute to both foreseen deliverables 

Feasibility study 

Where appropriate, proposals for broader recognition of the AEO status in control 
regimes of other competent authorities 

Action 5.3 

Promote  use  of  good  practices  and  cooperation  methods 
between customs and other national authorities 

Encourage  the  exchange  of  good  working  practices  and 
cooperation methods between Member State customs and other 
national authorities (Customs 2020, CCWP) 

5.3.1 

ONGOING 

PARCS Factsheets 

Factsheets  for  a  selection  of  legislations  in  the  area  of  health  and  safety,  setting 
prohibitions  and  restrictions  at  the  border  have  been  drafted  in  close  cooperation  with 
Member  States  and  Commission  services.  Each  factsheet  gives  the  description  of  the 
legislative framework, the role of customs and the documentary and physical checks to 
be  applied  and  cooperation  with  other  authorities.  These  factsheets  provide  a  basis  to 
evaluate the best place for customs to control and whether further recommendations for 
customs and other authorities need to be formulated. 

The  cooperation  of  customs  and  sanitary  authorities  for  controls  on  SANTE-regulated 
goods  is  laid  down  in  these  factsheets.  In  addition,  there  is  a  so-called  positive  list, 
Decision 2007/275/EC as amended by Decision 2012/31/EC, specifying all animals and 
products  of  animal  origin  which  need  to  go  for  mandatory  import  controls  to  border 
inspection posts. A first joint workshop for customs and veterinary authorities regarding 
import controls on live animals and products of animal origin from third countries took 
place  in  March  2016  to  exchange  best  practices  and  cooperation  methods  between 
Member State customs and veterinary authorities during import controls. 

In July 2015 the Commission launched the DTLF. The forum will continue its work until 
2018. 

In accordance with Directive 2010/65 on reporting formalities for ships that arrive in or 
depart from EU ports, Member States needed to establish by 1 June 2015 National Single 
Windows for the electronic reporting of port call notifications. Information, submitted in 
electronic format and ‘only once’, should be shared at national level with all authorities 
involved  in  ship  clearance  (e.g.  authorities  dealing  with  transport,  maritime  safety  and 
security, pollution and waste control, border control, customs, health, phytosanitary and 
veterinary  control).  This  covers  information  such  as  ship  details,  voyage  information, 
crew  and  passengers  lists,  cargo,  security,  safety  and  health  information.  Relevant 
information also has to be shared between Member States via the SafeSeaNet system, the 
vessel  traffic  monitoring  and  information  system  established  in  accordance  with 
Directive  2002/59.  An  expert  group  was  established  with  representatives  from  all 
authorities  concerned,  including  customs,  and  industry  stakeholders  with  the  aim  to 
ensure harmonised implementation of the Directive. 

OLAF  provides  lecturers  to  CEPOL  on  excise  fraud  (cigarettes)  and  VAT,  actively 
involves  Europol  in  the  Joint  Customs  Operations  and  supports  the  actions  initiated  by 
Europol where OLAF has a mandate. 

Commission services actively participate and assist Member States within the framework 
of  the  Customs  Cooperation  Council  Working  Party  (CCWP)  on  the  realisation  of  the 

50 

 
 
 
 
eighth  Action  Plan  adopted  by  the  CCWP  and  the  EMPACT  Operational  Action 
Plans (OAP) 2016. Participation of customs authorities in these actions, coordinated by 
police authorities, is increasing. 

Europol  presented  to  Council  working  parties  its  views  on  how  to  further  develop  the 
police  and  customs  cooperation  in  the  ‘Strategic  Review:  Europol  and  customs’  and 
also organised a first meeting of Directors of customs agencies in the framework of the 
European Police Chiefs Convention, in 2015. In order to further strengthen the links and 
cooperation  between  Commission  services  and  Europol,  a  study  visit  was  organised  in 
the beginning of 2016. On this visit, further cooperation possibilities in the area of risk 
analysis  and  information  exchange  were  discussed.  The  Commission  also  supports  the 
effort  of  systematic  involvement  of  customs  authorities  in  the  preparation  of  the  EU 
Serious and Organised Crime Threat Analysis (SOCTA). 

As  regards  the  cooperation  between  customs  and  police,  close  cooperation  exists  in 
many  Police  and  Customs  Cooperation  Centres  (PCCCs).  Among  the  46  existing 
multinational  cooperation  centres  involving  Member  States,  25  include  the  presence  of 
national  customs  representatives.  The  same  holds  for  the  Single  Points  of  Contact 
(SPOCs) located in international police cooperation units serving as unique contact point 
for  all  international  police  cooperation  requests.  Also  there,  the  presence  of  customs 
officials is very appreciated by Member States applying this practice. Both SPOCs and 
PCCCs have as main task to ensure information exchange on cross-border crime. 

Commission services launched a project to evaluate the cooperation between Customs 
and Border guards working at the external border in February 2015. The evaluation is 
based on eight working areas described in the Guidelines for cooperation between 
Customs and Border Guards issued in 2013. The areas are: 1/ synchronised checks; 
2/joint planning of infra-structure and procurement; 3/information exchange; 4/risk 
analysis; 5/equipment; 6/ investigations; 7/ joint operations and 8/ training. For each area 
three modules representing different levels (low, middle and high) of co-operation have 
been developed. The Guidelines outline a practical approach for strengthening the co-
operation between the Customs authorities and Border Guards, taken into account the 
differences in organisational structures and competencies at national level.  

The evaluation started by sending a questionnaire to Member States. The replies to the 
questionnaires are made available on a shared information platform providing examples 
of existing cooperation practices to both authorities in all Member States. The 
questionnaire is follow-up by on-the-spots visits that are currently carried out in some 
countries. The evaluation teams are always composed of Commission officials for 
different services and Member States experts from Customs and Border Guards. The 
general objective of the evaluation is to strengthen the co-operation through the 
information gained and update of the Guidelines by the end of 2017.  

Best working practices have already been identified for example streamlining of 
information exchange either through national coordination centres or appointing liaison-
officers. Sharing of information and risk profiles related to illegal movements of persons 
and the related goods and cash will reinforce the capacity to detect all types of risks and 
analysis of trends of mutual interest for both authorities. Shared access to the different 
databases and systems of the authorities as well as mutual use of equipment is already 
daily practice in several Member States. Officials from both Customs and Border Guard 
also participate in each other's training programmes. Through the evaluation project those 
positive experiences and working practices have been seen and are promoted for use in 
other Member States. Also the issues eventually identified as difficulties require more 

51 

 
 
 
 
detailed analysis to find out whether and how these challenges can be addressed. It will 
also be necessary to consider practical experience from the perspective of the different 
type of borders (land, sea, air). 

The  Customs  services  of  Lithuania,  Latvia  and  Estonia  are  going  to  implement  the 
joint project ‘Development of joint data exchange network between X-ray scanners used 
by  customs  services  of  Baltic  States’  (BAXE).  The  project  will  create  a  possibility  to 
exchange  X-ray  images  and  search  them  according  various  criteria,  thus  increasing  the 
abilities for risk analysis. The authorities of the three Member States are also connecting 
their Automated Licence Plate Recognition systems at the border for profiling, analysis, 
investigation and control purposes. 

Such a centralised X-ray database of NII images exists in Poland as well, employed by 
the National X-ray Inspection Centre in Gdańsk (See Action 4.2.3). The national centre 
provides training on recognition of X-ray images also to customs authorities from other 
countries (Ukraine, Moldova, Georgia, Germany and Finland).  

DELIVERABLE:  various  activities  are  ongoing,  from  which  the  outcomes  will 
contribute to the foreseen deliverable 

Recommendations  for  best  practices  for  cooperation  between  customs  and  other 
competent control authorities 

52 

 
 
 
 
 
4.6  Objective  6:  Developing  cooperation  with  trade  to  secure  and  facilitate 

legitimate trade 

Major achievements have been made in this area in respect of  strengthening the AEO 
programme. 

The  main  changes  needed  to  be  made  to  the  AEO  in  the  context  of  the  UCC  and  its 
Delegated  and  Implementing  acts  are  related  to  the  overall  changes  in  policies  and 
structure  under  the  UCC  and  also  to  the  lessons  learned  over  more  than  five  years  of 
practical  implementation  of  the  EU  AEO  programme.  The  AEO  guidelines  have  been 
updated.23  

The  AEO  network  group  was  created  in  2007  as  the  main  way  of  monitoring  the 
implementation  of  the  programme.  The  results  of  the  second  monitoring  exercise, 
launched  in  2013,  confirmed  that  the  EU  had  established  a  sound  and  reliable  AEO 
programme.  Member  States  have  developed  robust  procedures  for  applying  the  AEO 
legislative  requirements,  guaranteeing  high  quality  and  efficient  management  of  the 
programme in a consistent and highly uniform way, as can be shown, for example, by the 
number of suspensions and revocations of certificates. 

The structures currently in place within the AEO programme and the other Compliance 
Programmes are further analysed in cooperation with competent authorities (Objective 5) 
at EU and national level, with a view to identifying areas where the same best practices 
can be applied, in order to avoid duplications and needless administrative burdens both 
for  operators  and  competent  authorities.  In  the  area  of  maritime  security  and  market 
surveillance, discussions are being held at EU and Member State level, thus improving 
the mutual understanding of the different security schemes. 

Commission Implementing Regulation (EU) No 687/2014 24 refers to the AEO standards 
to define the concept of regulated agents. Reciprocal customs legislation does the same 
for  the  recognition  of  regulated  agents  and  non-consignors.  Implementation  of  the 
legislation is continuously monitored by the Commission. 

A number of indicators have been implemented within the CUP reporting to measure the 
impact of the AEO concept. The CUP contributes to achieving the strategic objectives of 
the  EU  customs  union  including  the  AEO  concept.  Under  the  main  area  relating  to 
facilitation/competitiveness  in  particular,  the  AEO  concept  is  analysed  on  the  basis  of 
general  aspects  such  as  the  number  of  certificates  and  applications  at  EU  level,  the 
involvement of AEOs in the supply chain and the control rates for AEOs in comparison 
with economic operators not certified as AEO. 

Two  specific  target  groups  were  created  within  CRMS  for  the  exchange  of  risk 
information concerning the AEO process and procedures (For further details, see action 
6.1.1).  In  other  areas  covered  by  this  objective,  such  as  improving  the  knowledge  of 
supply chains, progress has been slower. 

23 http://ec.europa.eu/taxation_customs/resources/documents/customs/policy_issues/customs_security/aeo_guidelines_en.pdf. 

24   Commission Implementing Regulation (EU) No 687/2014 of 20 June 2014 amending Regulation (EU) No 185/2010 as regards 
clarification,  harmonisation  and  simplification  of  aviation  security  measures, equivalence  of  security  standards  and  cargo  and 
mail security measures (OJ L 182, 21.6.2014, p. 31). 

53 

 
                                                 
Action 6.1 

Continue  to  strengthen  and  promote  the  AEO  concept,  by 
addressing  any  relevant  weaknesses  identified  and  providing 
further benefits 

6.1.1 

ONGOING 

Continue  to  strengthen  the  AEO  concept  by  addressing  any 
relevant  weaknesses  identified  through  the  monitoring  and 
evaluation  of  the  implementation  of  the  programme  and  by 
ensuring its harmonised implementation throughout the EU 

The  CUP  (see  4.5.2)  supports  achieving  strategic  objectives  of  the  AEO  concept.  In 
particular  under  the  main  area  relating  to  facilitation/competitiveness,  the  AEO 
programme  is  analysed.  A  basic  set  of  CUP  performance  indicators  was  established 
already  in  2014.  This  set  covers  three  main  elements:  AEO  involvement  in  the  supply 
chain  in  terms  of  declarations;  rate  of  controls  of  AEOs,  and  electronic  risk-based 
element for AEO (rate of cases where irregularities were found based on direct electronic 
selection).  Quality  Assurance  Initiative  activities  were  carried  out  on  all  AEO-related 
CUP indicators. 

In 2015, two specific target groups were created within CRMS for the exchange of risk 
information  specifically  related  to  AEO  processes  and  procedures.  Both  target  groups 
will be used by the Commission and Member State customs authorities. The target group 
‘EU  AEO  process’  deals  with  the  exchange  of  any  relevant  information  related  to  all 
stages  in  the  AEO  process  that  due  to  its  sensitive  nature  and/or  format  cannot  be 
exchanged  via  the  EOS/AEO  system.  The  target  group  ‘MRA  AEO’  focuses  on  the 
exchange of information about irregularities involving partner country AEOs. 

Belgium, Greece, Ireland, Slovenia, Spain, Sweden ensure systematic and continuous 
analyses of cases recorded by the AEO helpdesk and through the monitoring process of 
the AEO network.25  

Austria has developed a concept for monitoring of the AEO programme in coordination 
with  the  Central  Anti-Fraud  Department.  AEOs  are  monitored  every  six  months  taking 
into consideration any detected or suspected irregularities. 

Greece  further  develops  the  concept  of  pre-audits  in  order  for  customs  to  have 
information  to  decide  where  and  when  to  control;  to  identify  and  determine  with  other 
competent  authorities  relevant  weaknesses  or  difficulties  encountered  in  practical 
implementation, in particular the fulfilment of criteria of security and safety standards. 

Over the last 2 years, Germany has shared practical experiences on the implementation, 
derived  from  monitoring  and  expert  analysis  in  seminars  at  national  level.  There  is 
cooperation  on  implementation  of  the  AEO  standards  for  regulated  agents  (See  5.2.1). 
Also  a  regular  exchange  of  information  between  customs  and  the  national  aviation 
security  authority  is  implemented  since  March  2015  and  continuously  evaluated.  Since 
June 2015 such regular exchange is also done in Poland. 

Slovakia refers to the national implementation of AEO standards for regulated agents. 

Belgium monitors the granting process of  AEO with an IT tool (RAM  — risk analysis 
management)  to  ensure  that  the  requirements  stipulated  in  the  AEO  guidelines  and 
annexes  are  met.  Based  on  risk  analysis  for  each  AEO,  an  individual  control  and 

25 The AEO Network Group was established in 2007 in order to ensure a uniform application of the AEO 
EU rules. The network has regular meetings between national AEO contact points and the Commission. 
The  group  exchanges  information  and  communications  on  AEO  issues,  explores  common  solutions, 
contributes to updates of the Guidelines and amendments of EU customs legislation. 

54 

 
                                                 
assistance  plan  is  defined  and  integrated  in  the  IT  automated  selection  tool  for 
transactions.  As  regards  licensing  for  dual-use  goods,  customs  and  the  licensing 
authorities are cooperating in a common audit procedure of AEO. 

Also  Italy  uses  an  automated  tool  (AIDA)  to  implement  AEO  benefits  in  customs 
controls  with  regard  to  pre-audit,  goods  release  and  post-audit.  Italy  indicates  concerns 
about providing benefits to AEO intermediaries. These enterprises should guarantee also 
for their clients in terms of customs infringements committed. Violations committed  by 
the  clients  of  intermediaries  need  to  be  also  considered  in  the  decision  of  releasing, 
revocating or suspending an AEO authorisation for intermediary economic operators not 
being owner of the goods. 

Lithuania  reports  that  AEOs  are  periodically  excluded  from  the  application  of  risk 
profiles  and  control.  Profiling  of  AEOs  is  based  on  results  of  the  trader’s  assessments 
completed before the issuing of AEO authorisations. 

France indicates that reduction of controls for AEO is not applied for security controls. 
Luxembourg  provides  lesser  controls  only  in  the  area  of  financial  risks.  In  Finland  a 
new automated risk analysis system is deployed for implementing better AEO benefits. 

Estonia, Poland and Portugal announce re-assessment of AEO authorisations as soon as 
the updated AEO guidelines are published. 

Part of the implementation of the enforcement vision of the  Dutch customs focuses on 
the  Green  Lane:  the  known  traders.  Apart  from  data  of  the  declaration  and  customs 
knowledge of goods, the knowledge of AEOs is incorporated as well. In particular, the 
involvement  of  more  than  one  ‘known  trader’  in  a  particular  supply  chain  leads  to 
adjustment of the control level (downwards) and the level of service (upwards). 

6.1.2 

ONGOING 

Identify and develop enhanced benefits for AEOs to be given by 
customs, propose and adopt adequate legal acts 

Spain mentions that they are exploring new benefits for AEOs certified within the EU as 
well as by third countries with Mutual Recognition Agreements. 

Cyprus  and  Greece  examine  possibilities  for  lower  guarantees  for  AEOs  in  the 
application of specific customs procedures such as temporary storage and warehousing. 

Italy  informs  on  application  of  further  benefits  such  as  fast  corridors  to  compliant 
traders, in general when quality data and required information are provided beforehand to 
customs in order to perform risk analysis and appropriate control. 

Belgium customs meets regularly with AEO certified traders to discuss new benefits in 
addition to already existing national AEO benefits. Decisions on additional benefits are 
communicated to the AEO. 

The  Netherlands  has  developed  for  AEOs  an  instruction  for  the  implementation  of 
benefits (so called AEO staalkaart). This document elaborates on the benefits related to 
traders and their specific role in the supply chain. AEOs have a dedicated ‘Trader contact 
point’  with  specific  customs  officers  who  will  act  as  their  point  of  contact.  Regular 
meetings with AEOs are hosted as well by customs. 

Poland lists benefits that have been introduced at national level for AEOs: 

  Shifting VAT payments to the day of a monthly VAT settlement. 
  Introduction  of  the  programme  ‘Ports  24h’,  on  the  basis  of  which  the  required 
formalities related to the clearance of goods imported by sea to Poland shall take no 
more than 24 hours. In this programme, Customs has a coordinating role for control 

55 

 
activities of all services operating in the Polish sea ports. 

Planned projects are reported by several Member States: 

Belgium:  Adaptation  of  an  IT  transaction  selection  tool  —  Dataflux  —  in  order  to 
integrate the AEO’s individual control plan. 

Greece will launch the possibility for applying electronically for AEO status. 

The  Netherlands:  The  next  step  for  implementation  of  the  Green  Lane  will  consist  of 
more detailed knowledge on the size and complexity of the Green Lane in the different 
customs  processes.  Subsequently,  steps  will  be  taken  to  enlarge  the  Green  Lane  by 
increasing  insight  in  supply  chains  and  the  role  of  known  traders  (potentially  by  using 
different  databases  or  make  available  the  option  to  submit  additional  data  to  link 
databases). 

DELIVERABLES are completed.  

Adopt COM acts in the framework of the UCC, where appropriate 

Update AEO common guidelines 

Action 6.2 

Improve the knowledge of supply chains, raise trade awareness 
and exploit valuable data available to trade 

6.2.1 

ONGOING 

Increase  supply  chain  visibility  by  ensuring  that  valuable 
additional  data  (not  required  by  customs  legislation),  available 
to  traders  and  made  available  to  customs,  is  exploited  for  risk 
management purposes by getting access to economic operators’ 
knowledge and information 

The  Customs  2020  ConTraffic-ENS  Pilot  Project  Group 
the 
experimentation  performed  at  the  JRC  and  by  using  its  ConTraffic  system,  the 
application of data analytics techniques in the combination of container status movement 
(ConTraffic) data primarily with Entry Summary Declaration (ENS) data as well as pre-
arrival  datasets.  The  group  confirmed  the  business  value  on  several  dimensions  and 
provided  a  preliminary  view  of  capacity  needs  for  effective  integration  of  CSM-based 
risk  indicators  in  real-time  risk  analysis  and  of  flexible  data  analytics  approaches  (EU 
Classified given the operational relevance to CRC). 

through 

tested, 

The ConTraffic-ENS Project Group will be supported by the JRC over 2016-2018 in the 
development  of  a  preliminary  solution  design  for  effective  integration  of  CSM  in  real-
time  pre-arrival  risk  analysis  and  in  flexible  analytics.  Commission  services  strongly 
support  the  work  of  the  JRC  on  this  project  as  it  is  regarded  beneficial  to  improving 
customs risk management in particular on entry of goods. 

The  Horizon  2020  security  research  programme  finances  Research  and  Innovation 
Actions on architectures and organisations, large data and data analytics for customs risk 
management  of  the  international  goods  supply  chain.  CORE  is  a  consortium  created 
under  the  umbrella  of  Horizon  2020  and  aims  to  enhance  the  speed,  reliability  and 
efficiency of legitimate trade and logistics whilst enhancing effectiveness in supervising 
global trade and safeguarding supply chain security. CORE demonstrators are currently 
being prepared or carried out and first results can be expected in the beginning of 2017. 
Member States actively participate in these initiatives aiming to identify possible further 
risk  management  capabilities  at  national  and  EU  level  in  line  with  the  objectives  laid 
down in the Strategy. A project, financed by Horizon 2020, will test and demonstrate the 

56 

 
 
 
 
use  of  data  pipeline  concepts  and  container  security  technologies  to  introduce  a  more 
efficient exchange and re-use of data along the supply chain.  

The Commission has created a network of maritime R&D to create a clear vision and to 
propose  a  cross-sectoral  agenda  for  maritime  security  research.  The  initiative  will 
promote  dual-use  R&T  and  R&D.  The  network  was  established  late  in  2015  and  will 
gradually pick up work during 2016 and onwards. 

The development of a CISE in the maritime domain is promoting exchange of relevant 
information  amongst  the  different  authorities  involved.  The  creation  of  common 
technical  solutions,  interoperability  in  procedures,  operation  aspects  will  also  enhance 
performance in this area. CISE is expected to deliver a platform by 2017-2018 ready for 
actors to use and where all sectors and agencies can exchange information. 

In 2015 the Commission launched the DTLF for the next three years. The Forum aims at 
the  further  digitalisation  of  freight  transport  and  logistics.  It  brings  together  Member 
States  and  stakeholders  from  transport  and  logistics  communities  in  order  to  identify 
areas  where  common  action  in  the  EU  is  needed,  to  provide  recommendations  and 
solutions,  and  to  work  on  the  implementation  of  these  recommendations  and  solutions, 
where appropriate. Two subgroups were created as part of the DTLF: 

  A  subgroup  addressing  the  definition  and  the  acceptance  of  electronic  transport 
documents.  This  subgroup  looks  into  1/  how  to  increase  recognition  of  electronic 
transport  documents  by  EU  MS  authorities,  2/  whether  similarities  between  the 
transport  documents  used  in  the  various  transport  modes  could  be  exploited  with  a 
view to advance towards ‘multimodal transport documents’, 3/ whether other types of 
documents used for freight transport (e.g. on vehicles) could also be digitalised. 

  A subgroup addressing the optimisation of cargo flows along transport corridors. This 
subgroup looks in particular at possible solutions for enhancing traceability of goods 
along the supply chain, through incorporating data from different sources. 

6.2.2 

PARTLY 
ONGOING 

Improve  data  quality  and  knowledge  on  Supply  Chain 
vulnerabilities 
trade 
close 
organisations at EU and MS level 

engagement  with 

through 

The outcomes of the two projects as mentioned above under action 6.2.1 will contribute 
to this action. 

The improvement of data quality and filing arrangements as described under Objective 1 
is also closely linked to the development of this action. 

6.2.3 

PARTLY 
ONGOING 

Identify  existing  solutions  and,  where  necessary,  put  forward 
appropriate solutions 

The  development  of  CISE  is  promoting  exchange  of  relevant  information  among  the 
different  authorities  involved  in  the  maritime  domain  (see  action  6.2.1).  This  platform 
will have to be further implemented and used as widely as possible in order to obtain the 
best operational results possible. This will be a challenge from 2018 and onwards. 

An  administrative  arrangement  initiated  by  the  Commission  will  be  implemented  over 
2016-2017  to  provide  a  preliminary  solution  design  for  the  operational  integration  of 
Container  Status  Messages  in  real-time  customs  risk  management  and  in  flexible  data 
analytics. 

Contributing to this action are also the development of the tobacco traceability solution 
required  under  Article  15  of  the  Tobacco  Products  Directive,  advice  on  customs  risk 

57 

 
management needs, access to the data for CRM processes, and referencing of the solution 
at the relevant movement in the customs declarations. 

6.2.4 

NOT 
STARTED 

Implement  the  appropriate  IT  solution(s),  if  necessary,  to 
ensure that valuable data available to operators is exploited by 
authorities for risk management purposes 

No developments in regards of implementing an appropriate IT solution. 

DELIVERABLES:  The  five  last  deliverables  related  to  development  of  an 
appropriate IT solution have not yet been launched.  

CSM collected and exploited for risk management purposes 

Analysis report in relation to commercial databases and research projects 

At MS and EU level outreach and awareness-raising campaigns organised with the 
trade 

Business case document 

Vision document 

BPMs levels 3 and 4 

Technical systems specifications 

IT systems adjusted and further developed 

Action 6.3 

Promote compliance management by customs administrations 
in close cooperation with trade 

6.3.1 

COMPLETED 

Identify  best  practices  in  the  implementation  of  compliance 
management  by  comparing  national  programmes  and 
continue raising awareness among economic operators of the 
importance  of  managing  their  own  compliance  with  customs 
regulations 

The Customs 2020 Compliance Project Group mapped current practices on key themes 
(including  client  segmentation)  in  seven  Member  States  already  using  the  concept  of 
client segmentation.  

The results of the project group are only based on experiences of seven Member States, 
and  the  purpose  and  approach  of  client  segmentation  varies  between  those  Member 
States. Nevertheless, the main conclusions are: 

The objectives of client segmentation are in general: 

• 

• 

• 

Decision-making process on controls — help to balance controls and facilitation; 

Pro-active customer relationship management — marketing and communication; 

National planning and resource allocation. 

Typical segments of traders include: 

58 

 
 
 
 
 
 
 
 
 
 
• 

• 

Known or not known; 

Scale/size of the company (not only from a customs perspective); 

Subjective  risks  of  the  economic  operator  (based  in  part  on  compliance  history, 

• 
sometimes taking into account type of industry, goods, authorisation, etc.). 

The segmentation process and management varies as well (range of data sources, degree 
of ‘automation’, frequency/flexibility of change of segmentation). 

Some  Member  States  directly  integrate  information  about  clients  in  automated  risk-
scoring systems. 

The  main  challenges  identified  are:  lack  of  good  data  for  automated  use,  recourse  to 
manual analysis and complex system structures. 

The  result  shows  that  client  segmentation  is  an  evolving  working  practice  in  which 
customs categorise economic operators into distinct groups with common characteristics 
and/or needs that may require similar treatments. Client segmentation enables customs to 
develop and improve targeted controls and services related to customers’ needs; thereby 
enhancing the efficiency and effectiveness of its operations and deployment of resources. 
It  can  be  used  for  compliance  management  but  has  been  implemented  for  many  other 
purposes as well. 

In addition, Poland mentions a special team comprised of tax and customs officials that 
has  been  established  to  implement  in  both  administrations  statistical  methods  for  the 
purpose  of  risk  analysis  and  prepare  statistical  models  for  the  purpose  of  client 
segmentation. 

6.3.2 

ONGOING 

Explore  possibilities  for  establishing  a  harmonised  approach 
to  client  segmentation,  as  an  element  of  the  overall  concept; 
complementing  the  AEO  programme  and  supporting  more 
effective and efficient risk management 

The  outcomes  of  the  Customs  2020  Compliance  Project  Group  (see  action  6.3.1)  will 
provide  an  important  input  for  taking  forward  this  action  to  explore  possibilities  for  a 
more harmonised approach to client segmentation. In 2016 work will proceed with those 
Member States that have expressed an interest in this action within the CCC-CRM.  

6.3.3 

NOT 
STARTED 

Subject to the feasibility of harmonised standards in the area 
of  client  segmentation  and  their  possible  incorporation  into 
the  customs  risk  management,  put  forward  the  appropriate 
approach, supported by the business case   

The outcomes of action 6.3.2 will provide the input for the development of harmonised 
standards  in  the  area  of  client  segmentation  and  the  integration  of  the  approach  in  the 
customs risk management processes. 

DELIVERABLE: the analysis as foreseen is ongoing. 

Best practices and feasibility analysis 

Action 6.4 

Promote  the  re-use  of  customs  data  submitted  electronically 
by  economic  operators  to  streamline  customs  procedures, 
reduce costs and improve efficiency 

59 

 
 
 
6.4.1 

ONGOING 

Identify, in cooperation with trade, formalities and processes 
where  already  submitted  and  available  data  can  be  re-used 
without legal obstacles or additional risks.  

The  UCC  legislation  as  detailed  described  under  Objective  1,  established  a  legal 
framework  that  guarantees  stability  and  clarity  for  postal  and  express  carriers. 
Nevertheless,  further  work  is  needed  as  at  this  point  there  is  no  unanimous  view  in 
Member States on data re-use and how this would function. 

As regards the establishment of the legal framework, the option of re-using data already 
submitted  and  made  available  by  trade  for  other  formalities  and  processes  is  being 
discussed in the context of the CN23. The question is how the data elements of the CN23 
could be made available and re-used for lodging a safety and security declaration (ENS) 
as  well  as  for  lodging  a  customs  declaration.  Several  meetings  were  organised  with 
Member States and trade participation in order to analyse the options in the context of so-
called ‘pilots’. 

While there is general agreement on the benefits of re-using data, sometimes difficulties 
emerge in view of data protection, but also practical issues such as: at which time is the 
data available, who disposes of the data, for which purpose is the data needed, etc. 

6.4.2 

COMPLETED 

Analyse,  in  cooperation  with  trade,  whether  re-use  of  data 
will  increase  efficiency  of  identified  procedures  for  economic 
operators and customs administrations 

The data requirements as defined in the UCC legislative package (see Objective 1) have 
been aligned with the WCO data model. The analysis was carried out with the support of 
DIH  experts  and  in  close  cooperation  with  relevant  stakeholders,  resulting  in  the 
preparation of new legal provisions (data annexes to the UCC DA/IA). The analysis and 
consultation on the UCC DA/IA data requirements have  been  finished and agreed with 
Member States and trade stakeholders at the end of 2015. 

6.4.3 

COMPLETED 

Put  forward  appropriate  proposals  to  agree  with  MS  and 
economic operators 

The  EU  Customs  Data  Model  (result  of  action  6.4.2)  can  be  seen  as  a  supporting 
instrument for Member States and trade. This data model provides also for specific views 
such as the so-called ‘consignment view’, which allows for the mapping of the EU safety 
and security data  against  the WCO  data model. A final  publication of the EU Customs 
Data Model is done in May 2016. Data maintenance requests (DMR) were submitted to 
the  WCO  and  approved  in  January  2016.  These  requests  are  implemented  in  the  new 
version 3.6 of the WCO data model in April 2016. 

Finding  the  balance  between  what  customs  needs  and  what  trade  can  provide  is  not 
always  very  easy,  in  particular  when  it  concerns  new  legal  obligations  (e.g.  post)  or 
additional/new data elements. In order to allow traders to prepare their environments for 
these new obligations, a substantial period for transition is foreseen in the UCC related 
acts. 

6.4.4 

COMPLETED 

Draft  adequate 
implementation in practice 

legal  basis 

to  enable  and 

support 

The  analysis  of  the  UCC  DA/IA  data  requirements  has  been  finished  and  agreed  with 
Member States and trade stakeholders. This work was delivered in the form of the UCC 

60 

 
 
DA/IA annex B as  published  in  the Official  Journal  on 29 December 2015.26 Annex  B 
was drafted a way that enables the seamless exchange of data defined throughout the data 
chain  and  the  implementation  of  the  customs  processes.  The  data  matrix  in  title  I  of 
annex B illustrates the extent to which the legal data requirements can be re-used. 

DELIVERABLE: ongoing in view of the outcomes of the pilots as mentioned under 
action 6.4.1 

Feasibility analysis 

26   Delegated  Regulation  (EU)  No  2015/2446  of  28  July  2015  (DA)  and  Implemented  Regulation  (EU)  No  2015/2447  of  24 

November 2015 (IA) and the Union Customs Code, Regulation (EU) No 952/2013 of 9 October 2013 (UCC). 

61 

 
 
 
 
 
                                                 
4.7  Objective  7:  Tapping  the  potential  offered  by  international  cooperation  to 
improve  risk  management  of  the  supply  chain,  for  better  identification  of 
risks,  more  effective  risk  mitigation  and  cost  reduction  for  operators  and 
authorities 

Mutual recognition of trade partnership programmes is an important tool for improving 
supply  chain  security  and,  at  the  same  time,  helping  legitimate  and  secure  economic 
operators  by  granting  substantial,  equal  and  reciprocal  benefits  to  AEOs  under 
compatible programmes. This is especially relevant with regard to cooperation with the 
EU’s neighbouring countries and main trading partners. 

At  global  level,  cooperation  with  other  competent  authorities  and  the  alignment  of 
programmes  has  been  recognised  as  an  essential  factor  for  developing  a  robust  AEO 
programme. In order to ensure global supply chain security and to avoid duplication of 
efforts and costs for economic operators and authorities, the EU AEO concept has been 
incorporated into the WCO SAFE Framework of Standards (WCO SAFE FoS). 

The  Smart  and  Secure  Trade  Lanes  (SSTL)  pilot  was  launched  by  the  EU  and  the 
People`s Republic of China in 2006. The aim of the pilot is to test specific safety- and 
security-related recommendations issued by the WCO SAFE FoS. When it became clear 
that  it  would  be  impossible  to  achieve  meaningful  volumes  without  a  stable  automated 
solution,  the  SSTL  IT  expert  group  started  to  develop  the  conceptual  design  for 
automated SSTL data exchange in 2014 (the second phase of the pilot). This design was 
intended  to  serve  as  a  proof  of  the  concept  and  is  in  line  with  the  Utility  Block  2, 
proposed  by  the  EU  as  part  of  the  global  standards  WCO  GNC  initiative.  (For  further 
details, see action 7.1.2). 

The EU is a member of various fora, through which it contributes to the development of 
global  standards  for  improving  risk  management  of  the  supply  chain,  i.e.  the 
development of WCO GNC Utility Blocks and the Joint WCO-ICAO working group for 
developing  global  standards  for  pre-loading  air  cargo  information.  (For  further  details, 
see action 7.3). 

Another  example  of  EU  input  on  global  customs-related  issues  is  the  Priority  Control 
Action (PCA) COSMO on dual-use goods carried out in 2015. The PCA supported and 
complemented  a  joint  action  launched  by  the  WCO.  The  aim  was  to  streamline  the 
information  from  EU  customs  authorities  and  to  highlight  the  complementarity  of  the 
actions. The WCO final report refers to the fruitful cooperation with the Commission and 
Member States. 

62 

 
 
 
Action 7.1 

Develop  international  cooperation  through  multilateral  and 
bilateral initiatives 

7.1.1 

ONGOING 

On  the  basis  of  the  objectives  and  priorities  of  the  overall 
strategy,  develop  international  cooperation  models  in  the  area 
of  risk  management  and  supply  chain  security,  including  AEO 
mutual  recognition  schemes,  development  of  trusted  and  fluid 
trade lanes and necessary exchanges of information 

The  EU  has  concluded  agreements  on  customs  security  measures  with  Norway, 
Switzerland,  Andorra,  the  United  States  of  America,  Japan  and  China.  The  benefits  in 
each  case  depend  on  the  provisions  defined  in  the  agreement.  AEO  MRA  negotiations 
are  underway  with  Canada.  An  automated  data  exchange  solution  has  already  been 
deployed  for  exchange  of  data  between  the  EU  and  China,  Japan,  Switzerland  and  the 
USA. 

Some progress has been made in the development of an AEO concept in line with the EU 
legislation  in  the  Republic  of  Moldova  and  in  Ukraine.  A  comparative  analysis  of  the 
respective AEO legislations was conducted by Commission and Member States experts. 
Ukraine  participated  in  the  AEO  network  meeting  and  in  three  study  visits  to  Member 
States, which took place in 2015. The overall assessment of legislative approximation is 
positive. Based on the EU recommendations, Ukraine has launched the legal process in 
order to adopt new AEO-related legislation. Moldova will participate in the forthcoming 
AEO network meeting. 

A pilot project on recognition of EU AEOs at one of the border-crossing points (BCP) on 
the Moldovan-Romanian border was launched on 1 July 2015 for an initial period of 6 
months;  the  pilot  project  aims  at  providing  additional  benefits  for  the  EU  AEOs  at  the 
Leuseni  BCP  (reducing  processing  time,  improving  risk  targeting,  fewer  physical  and 
documentary based controls). The pilot project was prolonged until 1 July 2016 and will 
be evaluated in 2016. 

A regional workshop concerning AEO will take place in May 2016 with representatives 
from Ukraine, Moldova and Georgia. 

In order to improve risk management and facilitate trade between the EU and its eastern 
neighbours,  the  Project  Group  on  Exchanges  of  Information  decided  to  launch  a  pilot 
project  with  Moldova  and  Ukraine  on  transmission  of  TIR  Carnet  data.  The  ultimate 
objective of the advance exchanges of information is to allow the authorities to carry out 
risk analysis at central level in advance, to facilitate and to accelerate the border-crossing 
of  goods  consignments  from  the  EU.  The  Terms  of  Reference  documents  for  the  pilot 
projects  with  Moldova  and  Ukraine  were  endorsed  in  2015.  The  Commission  prepared 
the  business  case  (subject  to  approval  by  ITSC  and  IT  Board)  with  the  aim  of 
implementing the project in the second half of 2016. 

two  areas, 

Some progress was achieved in cooperation on AEO and risk management with Russia. 
This  covers 
the  area  of  authorised  economic 
operators/reliable  traders,  including  the  establishment  of  a  fast  lane  (‘green  corridor’), 
and  exploring  ways  to  cooperate  in  the  area  of  risk  management.  Discussions  on  this 
issue took place in the expert group on AEO and risk management meetings on February 
and September 2015. 

i.e.  cooperation 

in 

Enlargement  countries  must  align  their  customs  legislation  to  the  EU  acquis.  This 
includes implementing the AEO concept, which is now a key tool in the EU customs risk 
management and trade facilitation policy. The Commission has drafted an action plan on 

63 

 
AEO in the Western Balkan Enlargement Countries. The action plan provides for a set of 
actions  to  be  undertaken  in  the  next  three  years  to  facilitate  the  implementation  by  all 
countries in the Western Balkans of this essential element of the EU customs acquis. The 
Secretariat of CEFTA (the Central European Free Trade Agreement) will be involved in 
this  work  since  it  plays  a  leading  role  in  matters  of  trade  facilitation  in  the  Western 
Balkans. 

As a first action, a regional workshop is planned in June 2016, which will bring together 
experts  on  security,  trade  facilitation  and  AEO  from  the  Western  Balkan  Enlargement 
countries  as  well  as  Member  State  and  Commission  experts.  In  this  workshop,  the 
objectives, the legal foundation and the practical arrangements of AEO will be outlined 
by the EU representatives, in particular the main changes resulting from the adoption of 
the UCC. 

7.1.2 

ONGOING 

Pursue the existing bilateral cooperation including piloting with 
third countries, with a view to reaching a stable operational and 
legal basis for full implementation 

For exchanging information from customs transaction systems for the purpose of Smart   
and  Secure  Trade  Lanes  (SSTL)  between  EU  and  China,  the  user  requirements  are 
being  drafted.  So  far,  an  in-depth  analysis  of  the  business  processes  for  maritime 
transport, an analysis of the data availability in the national systems, data mapping, and 
message  specification  have  been  completed  as  well  as  defining  the  user  requirements 
(international  component)  with  the  Member  States  for  the  automated  SSTL  data 
exchange for phase 3. Discussions on the business process modelling for the EU internal 
component  of  the  data  exchange,  the  SSTL  risk  management  process  at  Member  State 
level, the data analysis, data mapping and message specifications are ongoing. 

Co-financing  of  a  project  called  ‘Joint  Action  China  2’  to  strengthen  cooperation 
between EU and Chinese authorities to ensure that products placed on the EU market are 
safe  and  meet  the  requirements  of  EU  applicable  legislation  and  to  support  already 
existing  agreements  between  the  EU  and  China  regarding  product  safety  cooperation. 
The project is at the stage of starting a pilot activity between China and the Netherlands 
that grants facilitation of trade in toys of authorised manufacturers from China to Europe 
(Authorised  Toy  Manufacturing  scheme).  First  results  of  the  pilot  should  be  available 
mid-2016 and could lead to extension to other EU countries and/or other product sectors 
in the future. 

Recommendations related to controls on trans-boundary shipments of waste EU-China: 
have been endorsed by a mixed group of customs and environmental authorities (EU and 
China),  including  a  recurrent  data  collection  and  analysis  exercise  to  support  risk 
management activities (first exercise to be completed by end 2017). 

IPR Enforcement: 

Regulation  608/2013  foresees  in  Article  22  that  the  Commission  shall  adopt 
implementing  acts  defining  the  elements  of  the  practical  arrangements  concerning  the 
exchange of data and information with third countries customs authorities regarding IPR. 

Following the IPR Action Plan: 

  EU-Hong Kong: pilot to test exchange of risk information and detentions related 

to actual seizures ended on 31 March 2016; 

  EU-China: pilot on the exchange of detention statistics for threat assessment has 

been run; conclusions are under finalisation (by mid-2016). 

A  number  of  enlargement  countries  have  adopted  primary  legislation  which 

64 

 
‘transposes’ the relevant EU acquis in the area of AEO. As a rule, either implementing 
legislation is still needed or, where that exists, none or very few national operators have 
applied or been granted the AEO status. 

7.1.3 

ONGOING 

Develop  international  cooperation  through  multilateral  and 
bilateral initiatives 

The WCO GNC initiative is continuing in a ‘Proof of Concept’ phase, where  members 
are encouraged to make use of the five existing UBs (See action 7.2) and to identify any 
areas where the UBs could be improved. 

In 2015 the Commission published a revised version of the Customs Blueprints. One of 
these  blueprints  concerns  ‘Supply  Chain  Security’,  a  second  ‘Risk  Management’. 
Customs  officials  from  enlargement  countries  participated  in  the  Customs  2020  group 
which  drafted  the  review.  Enlargement  countries  are  primary  recipients  of  this 
publication. 

The EU participated actively in the three-year review cycle leading up to publication of 
the 2015 version of the WCO SAFE FoS, which is completed and published. The next 
three-year  review  cycle  of  WCO  SAFE  FoS  culminating  in  a  2018  version  has  been 
launched. Member States have been invited to provide input for additional areas of SAFE 
to  be  reviewed,  beyond  those  already  discussed  at  Council.  One  additional  area  on 
Customs sealing has been proposed and communicated to the WCO secretariat. 

DELIVERABLES: all deliverables are ongoing 

Elaborated international cooperation models 

EU standards for exchange of customs information with third countries 

Appropriate provisions in the international customs cooperation agreements 

Reports under the supply chain security research project CORE (FP7) 

Action 7.2 

Implement  appropriate  cost-effective  IT  solutions  to  enable 
international cooperation 

7.2.1 

ONGOING 

Implement  necessary  cost-effective  IT  solutions  enabling 
international cooperation to support EU customs authorities in 
detecting risks with the use of Utility Blocks (UB 1 exchange of 
AEO  MR  data  and  information  from  customs  transaction 
systems and UB 2 relevant risk information) 

The  EU  has  concluded  agreements  on  customs  security  measures  with  Norway, 
Switzerland, Andorra, the United States of America, Japan and China. An automated data 
exchange solution has already been deployed for exchange of data between the EU and 
China, Japan, Switzerland and the USA. 

The negotiations with Canada are still ongoing. The IT discussions will start before the 
signature of the MRA at the request of the Canadian customs. The implementation of the 
agreement  with  Canada  takes  normally  9  months  after  the  acceptance  of  the  external 
specifications by the Commission and Canada. 

Development of WCO GNC Utility Blocks 

65 

 
 
 
 
 
 
The  EU  input  has  contributed  to  the  development  of  international  standards,  so-called 
Utility Blocks, that are either approved or still under development. There are two Utility 
Blocks:  UB1  Exchange  of  AEO  MR  data,  and  UB2  Exchange  of  information  from 
customs  transaction  systems.  UB3  Exchange  of  risk-relevant  information  is  being 
developed. 

DELIVERABLES:  the  foreseen  deliverables  concern  the  necessary  steps  for 
launching a project for development of an IT system as defined in the MASP.  

Business case document 

For UB1 — agreed in 2012 

For UB2 — agreement in principle in 2012  — to be developed for each specific 
pilot project/agreement 

Vision document 

For UB1– non applicable 

For UB2 — to be developed for each specific pilot project/agreement 

BPMs levels 3 and 4 

Technical systems specifications 

For UB1 — decision made for each different mutual recognition agreement 

IT systems adjusted and further developed 

For UB1 — decision made for each different mutual recognition agreement 

Action 7.3 

Ensure that the EU and its Member States play a pro-active role 
in  the  development  of  global  standards 
in  the  relevant 
multilateral fora 

7.3.1 

ONGOING 

Continue  ensuring 
input  and 
establishment of the international standards 

the  EU 

leading  role 

in 

Development of WCO GNC Utility Blocks: see action 7.2.1 above. 

Review of WCO SAFE FoS (see action 7.1.3) 

The WCO SAFE review cycle was endorsed by the WCO Council in June 2015. During 
the  SAFE  review  cycle  amendments  to  the  WCO  FoS,  including  pre-loading  cargo 
information  for  air  security  purposes,  were  introduced.  This  information  includes  data 
elements, time lines, persons submitting the data and risk mitigation measures. 

ICAO 

In  addition  to  the  amendment  of  the  WCO  FoS,  the  EU  is,  together  with  the  USA  and 
Canada,  the  main  driver  within  the  Joint  WCO-ICAO  working  group  on  Air  Cargo 
Information (JWGACI). The group is comprised of ICAO member states, WCO member 
states,  trade  representatives  and  UPU.  The  JWGACI  aims  to  set  up  global  harmonised 
standards for the application of the pre-loading air cargo information (PLACI) scheme by 
those  regulators  who  would  opt  for  it,  i.e.  harmonised  PLACI  data  sets  and  risk 
mitigation  protocols.  Following  completion  of  the  first  phase,  the  second  phase  was 
finalised  in  December  2015,  bringing  forward  a  concept  for  the  use  of  PLACI  as  a 

66 

 
 
 
 
 
 
 
 
 
complement to the existing civil aviation security tools.  

7.3.2 

ONGOING 

Ensure  that  the 
respected and implemented in the EU 

international  norms  and  standards  are 

This is a permanently ongoing action; examples of recent implementation of international 
standards are the UCC DA/IA data requirements (UCC DA/IA annex B) based upon the 
the  WCO  Data  Model  and  the  EU  contributions  to  the  review  of  the  WCO  SAFE  FoS 
(see action 7.3.1 and 7.1.3). 

DELIVERABLE: continues work ongoing to achieve results for this deliverable 

International standards developed with pro-active input by the EU 

67