Ministry of Finance organized the MOU signing ceremony with the Ministry of Health and Ministry of Agriculture and Forestry on Integrated Risk Management and Coordination Mechanism to facilitate cross-border trade through International Border Checkpoints

Vientiane Capital, 13th December 2021. Lao Customs Department, Ministry of Finance, held Signing Ceremony of Memorandum of Understanding (MOU) with the Food and Drug Department, Ministry of Health, and Department of Agriculture and Department of Livestock & Fisheries, Ministry of Agriculture and Forestry on Integrated Risk Management and Coordination Mechanism to facilitate cross-border trade through International Border Checkpoints among Lao Customs Department.

The Joint MOU is an important initiative to provide a framework of collaboration among the border agencies for improving border clearance through WTO-TFA Implementation supported by the Lao Competitiveness and Trade Project (LCT). The MOU Signing Ceremony was attended by the representatives from relevant departments.

• The representatives of the four respective departments signed the MOU on behalf of their organization. The representatives of the departments are:
• Director General of Food and Drug Department, Ministry of Health, Dr. Bounsou keohavong PhD
• Director General of Import-Export Department, Ministry of Industry and Commerce. Mrs. Manivone Vongxay
• Deputy Director General of Department of Agriculture, Dr. Soulaphone Inthavong PhD
• Deputy Director General of Department of Livestock & Fisheries, Ministry of Agriculture and Forestry, Dr. Sythong Phiphakhavong
• Deputy Director General of Customs Department, Ministry of Finance, Mr Saymanolin Sinbandhit

The purpose of implementing the agreed actions in the MOU are to share information on risk management among the concerned departments by using the selectivity module on the ASYCUDA system. This is expected to improve the accurately, reduce the procedures and time spent on inspection of imported – exported goods, and increase the consistency of the procedures at international checkpoint across the country. The MOU content was through the research on the specific mechanism on information sharing and joint inspection, and it was agreed by the National Trade Facilitation Secretariats (NTFS) and the management of the relevant departments.

In addition, the Ministry of Finance has established a Joint Risk Management Committee, which consists of the relevant departments, to coordinate the collection of information, development of integrated risk profiles and uploading into the ASYCUDA system for being used as risk criteria in its selectivity module. In addition, the committee is also responsible for improving the clearance process through system of risk-based inspections and proving recommendations to the concerned parties for further efficient and effective implementation.

The risk management principle mentioned in a revised Kyoto Convention is remaining to be conducted by customs officers as an important member of the mentioned convention on using risk management principle for customs clearance controls.

Lao Competitiveness and Trade (LCT) project is a multi-donor project funded by the World Bank Group, Australian Aid, Irish Aid, and USAID, which implementing at the Department of Planning and Cooperation, Ministry of Industry and Commerce. LCT project aims to eliminate the barriers to private sector-led growth by improving the regulatory environment, lowering trade costs and raising firm-level competitiveness.