Read the text and explain why it is vital to elaborate a customs management theory and to reform customs administration.

Reforming the Russian Customs

Effectivization of the Federal Customs Service is linked with measures to improve its organizational and administrative activity, and first of all, to elaborate a customs management theory, to introduce systematic methodologies for managing the performance and development of the customs agencies, to bring all the customs service components in line with international standards, and to build up the competency potential of the managerial staff.

The reforms of customs administration should take into account the needs for an adequate feedback from an object of its administration – a participant in foreign trade activities who operates in a market environment. This calls for modernization of the traditional autocratic administrative model to bring it closer in line with that of client-centered management in a commercial firm. This approach allows the customs authorities to realize to the full the concept of state services in the customs sphere based on international quality standards.

Text 18

Read the text and answer what compelled the WCO to revise its Convention.

The Revised Kyoto Convention

Since its inception in 1952, the World Customs Organization (WCO) has been working to develop modern principles that would buttress effective customs administrations by examining customs policies and practices worldwide, cooperating with its member administrations, and working with trade communities and international agencies. The early efforts for simplifying and harmonizing customs procedures culminated in the Kyoto Convention, which was adopted by the WCO in 1973 and entered into force in 1974. Globalization, rapid transformation of international trade patterns, and advances in information technology (IT) since then have compelled the WCO and its members to review and update the Convention. The resultant revision of the Convention, known as the Revised Kyoto Convention, reflects the economic and technological changes and incorporates best practices of member administrations.

The Revised Kyoto Convention was adopted by 114 customs administrations at the WCO’s 94th session in June 1999.

Many countries have already reviewed their national legislation based on the Revised Kyoto Convention.

(From: Customs Modernization Handbook)

Text 19

Read the text and speak on customs cooperation between Russia and Japan.

Customs Cooperation between Russia and Japan Gathers Pace

On 4th December in Kyoto (Japan), Mr. Ruslan Davydov, Deputy Head of the Russian FCS, met Mr. Mitsutaka Inagaki, Director General of Customs and Tariff Bureau of Japan’s Ministry of Finance.

The representatives of Russia and Japan discussed the issues of the customs collaboration, including the cooperation in the law enforcement domain, the exchange of customs statistics on the bilateral trade, the exchange of personnel between the customs authorities, as well as the collaboration of the Russian FCS with the international organizations, such as WTO and APEC.

The parties confirmed their readiness to develop the cooperation between Russia and Japan in all the customs activity domains.

Text 20

Read the text and speak on the activities of the Moscow Customs.

Moscow Customs monitoring the customs borders of Russia

The Moscow Regional Customs was founded in 2010. Currently, the Moscow Customs includes 22 customs stations, 36 functional departments and 10 departments of customs clearance, each having its own departmental code.      

Today the Customs employs 1.3 thousand employees. Every three years, the staff takes retraining which is mandatory for all employees of the customs.
     The Customs aims to assist in the implementation of trade policies of Russia and the Customs Union. With this in mind, the body not only complies with the Russian legislation, but also adheres to the laws of the Customs Union member-states.

When clearing imported goods, the Moscow Customs charges anti-dumping and countervailing duties as well as customs duties. In addition, the Customs enforces tariff regulation measures and ensures that goods subject to any restrictions or limitations do not cross the Russian border.

Customs officers working at the Moscow Customs conduct investigations and incentivize administrative proceedings, fight against terrorism and corruption, prevent trafficking of drugs, ammunition, weapons and other prohibited goods across the border.

The Customs advises its customers on many customs issues. As it is subordinate to the Russian authorities, the Moscow Customs shall promote the protection of the rights of domestic consumers and producers. In particular, the Customs shall promote the development of trade between Russia and other countries. The entity at large has been designed to protect foreign economic interests of Russia and to ensure the international obligations of the Russian Federation. Thus, the role of the Customs is difficult to overestimate, given the functions it performs.


Text 21

Read the interview with Andrew Rashbass and speak on his transition from CEO to CIO. Explain the difference between the two positions.

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