TradeTrust: A Singapore Initiative September 2018 Mr Loh Sin - - PowerPoint PPT Presentation

September 2018

TradeTrust:

A Singapore Initiative

Mr Loh Sin Yong, Director (Trade), IMDA (Loh_Sin_Yong@imda.gov.sg) Mr Kay Ren Yuh, Senior Manager (Trade), IMDA (Kay_Ren_Yuh@imda.gov.sg)

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SINGAPORE’S DIGITAL ECONOMY BLUEPRINT

PREPARING OUR ECONOMY FOR THE DIGITAL AGE

LEADING Singapore among the top three digital economies in the world DIGITAL ECONOMY Singapore’s existing sectors embrace digital to remain competitive REINVENTS ITSELF Continuously invest in digital capabilities to seize growth

• pportunities

OUR ASPIRATIONS

SINGAPORE AS A LEADING DIGITAL ECONOMY WHICH CONTINUALLY REINVENTS ITSELF

ACCELERATE COMPETE TRANSFORM

Accelerate digitalisation

• f existing sectors

Grow Singapore’s competitiveness by fostering new ecosystems, enabled by digital Developing the next gen digital industry as an engine of growth

DIGITALISING INDUSTRIES INTEGRATING ECOSYSTEMS INDUSTRIALISING DIGITAL TALENT RESEARCH & INNOVATION POLICY, REGULATIONS & STANDARDS PHYSICAL & DIGITAL INFRASTRUCTURE VISION STRATEGIC PRIORITIES ENABLERS

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IMDA’S ROLES

INDUSTRY DEVELOPER

Develop the digital tech and media industries as an engine of growth for Singapore Foster a data ecosystem for the digital economy

ENABLER

Master-planner for connectivity, digital infrastructure & standards Prepare tech & media manpower, and segments

• f society to be digitally-

ready

REGULATOR & PROTECTOR

Ensure resilient telecom & broadcast networks Govern market conduct and protect consumer interest through infocomm, media, postal and data protection regulation

DIGITAL CHAMPION

Drive digitalisation across industries Supporting a digitally enabled workforce

United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) Definition

“trade in goods, including their import, export, transit and related services, taking place on the basis of electronic communications, including exchange of trade-related data and documents in electronic form;.”

• Framework Agreement on Facilitation of Cross-border Paperless Trade in Asia and the Pacific

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Challenges to moving forward on cross-border paperless trade

• Adoption of common International

Standards

• Harmonization of legal frameworks
• Capacity gaps among the parties
• Cooperation between public and

private sectors

• Lack of intergovernmental coordination

mechanism

PAPERLESS AND PAPER-LESS TRADE

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Manual Processes

Heavy use of paper documentation Susceptibility to fraud Slow movement of paper documents Risk of documents lost

Fragmented Systems

Lack of systems’ interoperability Lack of legal recognition for documents

• utside proprietary systems

Lack of standardisation for documents across trade ecosystem

EXISTING NON-TARIFF RELATED TRADE BARRIERS

International Trade & Supply Chain

Commercial Measures

 Contract  Purchase Order  Delivery Forecast  Invoice  (Self) Test Certificate  Manufacturing Certificate  etc.

Trade Finance & Settlement

 Open Account  Letter of Credit  Bill of Exchange  Obligation to Pay  Factoring  etc.

Transport & Logistics

 Shipping Instruction  Delivery Order  Packing List  Bill of Lading  Airway Bill  Despatch Advice  Cargo Insurance  etc.

Compliance

 Advance Manifest  Permit  Licence  Cert of Origin  Fumigation Cert  Safety Cert  Health Cert  Phytosanitary Cert  etc.

Shipper (Seller) Consignee (Buyer) Sea/River Logistics/FF Insurance Road Air Carrier Chambers of Commerce Surveyors Competent Authorities Bank Rail Customs ….. and many more * source: UN/CEFACT

Complexity

Many parties Complex interactions Many documents

Broker

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A TRADE PROBLEM THAT NEEDS GOVERNMENTS TO WORK TOGETHER TO SOLVE

Silo systems cause other problems:

• Duplicated memberships across Solutions
• Disparate documents
• Validity, Authenticity and Provenance not

portable

• Not future-proof
• Vulnerable to discrepancy (intentional or
• therwise)

Govt Authorities Govt Authorities

Paperless Trade originated from one country often gets “translated” into paper when crossing borders into another country

Business Documents Regulatory Documents Business Documents Regulatory Documents

Declarant Declarant

?

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HOW GOVERNMENTS CAN WORK TOGETHER TO SOLVE THE PROBLEM

TradeTrust™ TradeTrust™

“Circle of Trust” to close the loop

A synchronous view that can be trusted

• Only one membership required
• Can handle any data/documents
• Validity, Authenticity and Provenance

in-built

• Adaptable to future-tech
• Invulnerable to discrepancy (intentional
• r otherwise)

Govt Authorities Govt Authorities

Declarant Declarant

?

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TRADETRUST FRAMEWORK & INFRASTRUCTURE TO ENHANCE G2G CONNECTIVITY

Trade Trust Infrastructure TradeTrust Framework (Standards, Semantics, Legal)

e.g. Standards & Semantics - e-Bill of Lading, e-Certificate of Origin, e-Invoice, Legal – ETA & ETR

Digital Ecosystems Co-Development, SME Adoption & Digitalisation Cross-domain Interoperable Framework

Inter-ledger Interoperability Resource Discovery e-Notary Services Legal (ETA/ETR Model Law)

National Single Window

Smart Contracts Trade Event Registry Master Chain

Domain Specific Standards Development

Commercial Measures Transport & Logistics Trade Finance & Settlement Regulatory Compliance

Commercial Applications/Platforms/Solutions

Digitalization & Interoperability Lower Non-Tariff Related Trade Barriers

Technical Infrastructure

Business-led Business Innovation Standards Devt Technical Implementation Govt-led e.g. Cross-border Recognition e.g.

Finance Insurance Logistics

…

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SINGLE REPOSITORY APPROACH VS DISTRIBUTED APPROACH

Sea/River Logistics/FF Insurance Road Air Carrier Chambers of Commerce Surveyors Competent Authorities Bank Rail Customs Broker

Single Repository*

* Typical repositories support a specific set of communication protocols with bespoke connections needing to be built if the

• ther party is not able or willing to adopt

Chambers of Commerce

TT Node TT Node TT Node TT Node TT Node TT Node TT Node TT Node

Sea/River Logistics/FF Insurance Road Air Carrier Surveyors Competent Authorities Bank Rail Customs Broker

• Lower resistance-to-participate due to fear of data

being “with another party”

• Lower barrier-to-adoption because communication
• verheads are taken care of by just running a Node

TradeTrust Network

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POTENTIAL PILOT USE CASES

Leverage on existing G2G collaborations

Singapore Single Window

Project Illustrations

1. Digital platforms to connect Singapore to

• ther countries for shipments travelling

along mutually-identified trade lanes. 2. Establish an expedited multi-modal channel for goods flowing along the trade lanes. 3. Trade document digitalization 4. Interoperability across different trade solutions/platforms

Single and/or Multimodal Transport Corridors

Keen to explore similar pilots to be conducted for other regions

Inland location Sea Port

Country X Single Window

THANK YOU

sgdigital.sg facebook.com/IMDAsg twitter.com/IMDAsg youtube.com/IMDAsg

Mr Loh Sin Yong, Director (Trade), IMDA (Loh_Sin_Yong@imda.gov.sg) Mr Kay Ren Yuh, Senior Manager (Trade), IMDA (Kay_Ren_Yuh@imda.gov.sg)