Successful Ukraine-Romania eCustoms pilot enhances trade facilitation

The State Customs Service of Ukraine and the Romanian Customs Authority have completed a successful eCustoms pilot to enhance the facilitation of trade. They tested the exchange of electronic data at the Porubne-Siret border crossing point during 19-26 June 2023. The cooperation was closely supported by the EU4Digital Facility, the EU Advisory Mission (EUAM) and the Directorate General Taxation and Customs Union (DG TAXUD). EU4Digital organised a post-pilot conference on 7 July 2023 with all the parties, to conclude the pilot, discuss results and start planning the next steps.  

The pilot demonstrated the effectiveness of digital applications in streamlining customs procedures and facilitating smoother border crossing. It also showed the potential for the eCustoms approach to be expanded to more countries. By embracing digital transformation in customs procedures, EU4Digital contributes to the overall improvement of trade facilitation within the Eastern Partnership region. 

The importance of facilitating trade

The cooperation around this eCustoms pilot has consolidated the foundation for ongoing collaboration and future digitalisation efforts in trade facilitation between Ukraine and Romania. By showcasing systematic electronic data exchange benefits, the pilot also provides a template for future initiatives in customs cooperation and trade optimisation between the European Union (EU) and its neighbours. 

The ongoing conflict in Ukraine has disrupted traditional trade routes and posed significant challenges to cross-border commerce. In response, the EU has shown solidarity by establishing dedicated ‘solidarity lanes’ to ensure the uninterrupted flow of essential goods.By prioritising trade facilitation, the EU and Ukraine can promote economic stability and alleviate the conflict’s impact on Ukrainians’ livelihoods. Streamlining customs procedures will facilitate trade through reduced barriers and more efficient logistics operations, supporting economic recovery and fostering stronger ties and cooperation between the EU and Ukraine.  

During the post-pilot conference, Dorel Fronea, Strategic Customs Adviser, EU Advisory Mission to the State Customs Service of Ukraine acknowledged the joint efforts and determination of all the pilot parties in the implementation of EU eCustoms best practices, and strengthening their partnership: “To implement solidarity lanes, while security of the EU border remains a priority, it is crucial to continue the momentum towards deeper collaboration between the neighbouring customs authorities. Building digital transport corridors and moving towards the exchange of customs declaration data is vital for trade facilitation and border security. It would be highly beneficial for Ukraine and the EU if Ukraine could implement preliminary exchange of information with all the EU-bordering states and the Republic of Moldova. Ukraine and Moldova, as EU partners and EU candidate countries, should open more digital transport corridors with EU member states. The European Union Advisory Mission (EUAM) fully supports this endeavour. I would like to congratulate EU4Digital, State Customs Service of Ukraine and the Romanian Customs Authorities for their efforts and determination in implementing EU best practices in digital customs.” 

What was done in the eCustoms pilot?

The Ukraine-Romania eCustoms pilot used the SEED (Systematic Electronic Exchange of Data) application. SEED has been used for customs data exchange in the Western Balkans for more than ten years. This experience, as well as a similar, successful Moldova-Romania pilot in 2022, contributed to the Ukraine-Romanian eCustoms pilot design. 

The pilot used the scenario of more than 80 empty trucks crossing the border in both directions. Customs procedures had been updated to integrate the SEED application when processing empty trucks. During the pilot, data was entered into the system by the front-line customs officers in the country of exit, sent through a secure channel and then verified and confirmed in the country of entry. This avoided the duplication of data inputs into the system by both customs authorities. At the same time, the risk assessment process became more dynamic, because the data could be analysed in the country of entry before the trucks arrived in the customs control area.  

Key achievements and benefits

The pilot data exchange ran smoothly, resulting in improved accountability, faster processing times and greater efficiency in trucks crossing the border. The pilot also showcased improved data accuracy, transparency, and risk management, enhancing the reliability of logistics operations.  

The use of the SEED application allowed the Romanian Customs Authority to advance the digitalisation of its internal processes. The customs experts who used the system appreciated being able to use existing data within the application, its ability to capture additional data, the visibility it provided on the trucks’ progress in crossing the border, its user-friendly interface and its efficiency for record-keeping, which could replace the traditional paper-based approach. 

Reactions to the results

Adrian Videanu, Head of Service for Customs Cooperation and Mutual Assistance with the Romanian Customs Authority, General Directorate for Risk Management and Customs Investigations, welcomed the pilot results. “We are interested to extend the electronic data exchange across all border crossing points with Ukraine and Moldova for empty trucks,” he said. “Additionally, we are considering expanding its usage to cover customs declarations on transported goods, to maximise its potential.” 

Mykyta Knyazevich, Head of International Cooperation with the State Customs Service of Ukraine, expressed gratitude to his colleagues for their excellent coordination and team effort in the eCustoms pilot. He acknowledged efficient collaboration with the Romanian Customs Authority and with EU4Digital experts, working towards the common goal. “The State Customs Service of Ukraine hopes to expand the scope of information exchange with Romania. This is particularly important for the solidarity lanes initiative, as advance pre-arrival information enables quicker movement of transport means,” he commented. “Our plan is to integrate the SEED application with our own customs information system and utilise it on a regular basis.”  

Arturas Piliponis, Team Leader of EU4Digital, saluted the high level of interest from both the Ukrainian and Romanian customs authorities in expanding the geographical scope and the types of data to be exchanged. “We were impressed to be working with such highly motivated expert teams in both customs administrations, and that they’re prepared to continue their combined efforts in facilitating border crossing,” he said. “The EU4Digital team is ready to support further expansion of cooperation in customs data exchange, to support larger EU trade facilitation initiatives.” 

Future outlook

In the context of the ongoing war in Ukraine and the establishment of EU-supported solidarity lanes, trade facilitation depends on open channels for trade and collaboration, to provide much-needed stability and support to the affected regions. 

Building upon the eCustoms pilot, Ukraine and Romania are well positioned to further enhance their customs cooperation and digitalisation efforts. Using SEED and other digital solutions, they can continue to modernise customs procedures, promote smoother cross-border trade and foster economic growth. 

Continued collaboration and digitalisation by customs administrations will contribute to further advancements in trade facilitation and strengthen economic ties between the EU and the Eastern Partnership.  

The EU4Digital eTrade theme’s eCustoms experts will formulate post-pilot recommendations covering legal, organisational, and technical perspectives. EU4Digital will also continue to support the customs administrations into next stage of their cooperation. 

Further information

• What is eCustoms and what are the benefits?
• EU – Systematic Electronic Exchange of Data