Dagang Net in Indon JV for Document Processing

Published by The Edge (Financial Daily)

Time Engineering Bhd 20%-owned e-commerce services provider Dagang Net Technologies Sdn Bhd will collaborate with e-trade service provider PT EDI Indonesia to speed up trade facilitation between both countries.

In a statement, Dagang Net said both parties would set up a system for the exchange of import and export documentation between the two countries and improve turnaround time for cargo shipments.

Under the agreement, both companies would collaborate and develop the “inter-value added network connectivity” (inter-VAN) system for faster and more efficient exchange of customs declaration information.

“This cross-border initiative with Indonesia is all part of our spearheading initiatives aimed at creating a paperless e-Customer regime to facilitate and streamline trading processes in this region,” said Dagang Net chief executive officer Saifol Bahri Shamlan.

Last year, trade volume between both countries totalled RM19.28 billion.

The system would involve developing a declaration status and tracking module for both countries whereby the trading communities can track the same consigment.

Dagang Net said forwarding agents could re-use data originating from the source country, thus reducing or eliminating the need to duplicate data entry processes. This would also significantly reduce errors in data entries.

Saifol said Dagang Net’s ultimate objective was to simplify import and export procedures worldwide through an electronic messaging system among customs authorities, so that the same data could be used for export and import declarations.

Set up in 1989, Dagang Net today handles about RM1.80 billion in electronic customs duty payments a year under its Sistem Maklumat Kastam-DagaNet (SMK-DagangNet).

It also processes 40 million e-document transfers annually among manufacturers, forwarders, shipping agents, terminal and port operators, banks, port authorities and customs.