By Streamlining Administration, Delegating Power to Lower Levels and Transforming Functions, What has China Customs Transformed?
[Wang Hua]: It sounds like this management system has had great effect on realizing the goal in the customs supervision, increasing supervision efficiency, protecting the legal rights of the enterprises, and promoting the healthy development of the declaration services. Then, will the cancellation now affect the quality of declaration and the efficiency in the clearance? 04/03/2014 14:56:23
[Xing Yueling]: In accordance with the requirements of the Central Committee of the CPC and the State Council for streamlining administration, delegating more power to lower levels and transforming government functions, the government should exit the sectors that can be regulated effectively by the market mechanism, and give full play to the decisive role of the market in allocating resources. The government should strengthen the in-process and ex post supervision, to achieve accurate, effective and fine management. 04/03/2014 14:56:48
[Qiu Yueling]: Qualification licensing and authentication is one of the key contents on which the State Council focuses in this round of reform on administrative examination and approval system through streamlining administration and delegating more power to lower levels and transforming government functions. The Plan of the State Council for Institutional Reform and Functional Transformation places special stress on the reduction of qualification licensing and authentication, specifying that except for the circumstances set out in the Administrative Licensing Law, no administrative licensing should be set for competences and qualifications, and the licensing already exiting should all be abolished. 04/03/2014 14:57:38
[Qiu Yueling]: Therefore, the Customs cancelled the “examination and approval of declarer qualification”, and reformed the management system for declarer qualification, which shows the specific measures to streamline administration, delegate more power to lower levels and transform government functions. After this item is cancelled, the Customs will not set any threshold and access condition for being declarers, and not organize any qualification test for the declarer. Instead, the declarers will be selected and hired by the declaring enterprises on their own, with the superior selected and the inferior eliminated by the market mechanism. It will lower the employment threshold, release energy in starting business, and create a fair competitive environment for employment and starting business. 04/03/2014 14:58:10
[Qiu Yueling]: To be specific, thanks to the technological advancement, the Customs are able to standardize the practice of every declarer. The management philosophy of the Customs has changed to be “from the enterprise to the personnel”. Based on strengthened supervision and management over more than 7,000 declarant units, which select and manage the declarers according to market rules, the Customs can prevent the decline in the level of professionalism of declarers, increase in declaration errors, or decrease in clearance efficiency of the enterprises, so as to realize highly-efficient management of the declarers. See the figure below.
[Wang Hua]: Does it mean that the declaring enterprises have the full right to select and hire the declarers? Many declarers worry that if the threshold is removed, many people who do not have the qualification certificate will engage in customs declaration business, and this will impact their employment. So is their worry reasonable? 04/03/2014 15:00:54
[Qiu Yueling]: After the item is cancelled, the actual professional competence of the declarers will be the main factor the declaring enterprises will consider. For people having obtained the qualification for declarers, it seems that the employment is getting more competitive, but the relatively complete knowledge and professional skills they have acquired during the process of obtaining the qualification give them obvious advantage in the job market. 04/03/2014 15:02:48
[Wang Hua]: The cancellation of the administrative items related to processing trade is also a highlight of this reform, which arouses great reaction in the society. Mr. Chen, can you say something about the benefits it will bring to enterprises? 04/03/2014 15:03:21
[Chen Xudong]: The reform on the administrative items related to processing trade involves the handbook registration, outward processing, transfer for further processing, transfer of excessive materials, verification and cancellation, and abandonment of checking and approval. Here I'll focus on the outward processing and transfer for further processing. The businesses of outward processing and transfer for further processing are the extension of the processing chain and value-added chain of the processing trade. They help give play to the radiation and leading function of the leading enterprises, attract domestic enterprises to become a link on the chain of processing trade, drive the development of the small and micro enterprises, and promote the transformation and upgrade of the processing trade. 04/03/2014 15:03:39