Derestricted
FTAA.sme/inf/113
August 12, 2003
Original: Spanish
Translation: FTAA Secretariat
FTAA – CONSULTATIVE GROUP ON SMALLER ECONOMIES
PARAGUAY
REQUEST FOR FINANCIAL AND TECHNICAL
ASSISTANCE UNDER THE HEMISPHERIC
COOPERATION PROGRAM – RELATED TO CUSTOMS
- PROJECT TITLE
TECHNICAL AND FINANCIAL ASSISTANCE FOR CUSTOMS SERVICES.
- EXECUTING AGENCY
Government of Paraguay, through the General Directorate of Customs (DGA).
(Paraguayo Independiente y Colón - Tel./Fax 595 – 21 – 497 960)
- BACKGROUND
The Government of the Republic of Paraguay, based on its 1999/2003 program to
raise the standard of living and improve the quality of life of the Paraguayan
people, designed and implemented the STRATEGIC SOCIOECONOMIC PLAN (P.E.E.S.).
The goal of the plan is to lay the foundation for a new development model
supported by private initiatives, by eliminating structural inefficiencies and
obstacles from the country’s production and institutional systems in order to
achieve a sustained increase in real GDP per capita and reduce poverty and
inequality.
This general framework requires that the country’s domestic policies be tailored
and harmonized to the global economic situation, and particularly to
international trade, as a means of achieving competitiveness in an era of
globalization, and with a view to ensuring socioeconomic development in the
country.
- RATIONALE
Significant changes at the national and global level constitute huge
challenges and demands for the General Directorate of Customs of Paraguay (DGA):
the modernization and upgrading of customs services for users, including
importers, exporters, customs agents, carriers, and related companies in the
country.
The implementation of the SOFIA system, a new system of computerized services
provided through a joint effort with the Customs Agent Center of Paraguay,
exemplifies the government’s commitment to modernizing the country’s customs
services and linking them to similar systems throughout the world.
In particular, countries with small economies, such as Paraguay, that are
heavily dependent on foreign trade, must assign high priority to mechanisms for
improving their international relations. Sectoral strategy, therefore, must be
brought in line with general economic strategy by harmonizing policies and
instruments.
Limited government resources, increasingly tied to macroeconomic goals, require
the optimization of procedures for prioritizing these goals, as well as
innovations and improvements in public administration.
Stimulating the modernization of economic agents linked to international trade
is of great strategic value for the Paraguayan economy and therefore, the
assistance that the FTAA could provide for a project such as this, the success
of which is threatened by DGA budgetary restrictions, will help to reinforce the
mechanisms being implemented by the General Directorate of Customs.
The SOFIA system, the flagship project of the DGA, is lacking in several areas,
despite being closely supported by all of the units comprising this institution.
For example, the registration, verification, valuation, and liquidations
departments, as well as the customs training school and other technical and
administrative departments, must adapt to increased growth and industrial
modernization.
The resources available to international negotiators are another key element
that must be strengthened within the framework of international negotiations.
The FTAA will prove to be an invaluable source of support for Paraguay in this
particular area.
- PROJECT OBJECTIVES
General Objective
To modernize and strengthen the capacities of the General Directorate of Customs
to maximize its contribution to the design of policies that promote socially and
environmentally sustainable development, by harmonizing the current rules of the
market economy and international trade.
Specific Objectives
To strengthen and develop capacities to design and evaluate sectoral
policies in production, foreign trade, rural development, and environmental
sustainability.
To develop institutional and technical capacities to ensure an effective and
timely dialogue with the various entities of importance for foreign trade.
To achieve the technical capacities required to operate as a center for
technical support and for the consultative bodies of the Ministry of Finance in
international trade.
To create the necessary technical capacities to optimize the allocation of
institutional resources based on development objectives, organize international
cooperation initiatives, and modernize institutional management.
To set up a comprehensive customs information system that would support
public and private sectoral agents.
To train DGA technicians to understand and manage the comprehensive trade
relations between industrialized nations and smaller economies, such as
Paraguay. - INPUTS
The resources required for the project are as follows:
COMPONENTS |
RESOURCES REQUIRED |
Experts
|
1 expert in narcotics detection and
handling, 8 months
1 expert in detection and handling of explosive,
nuclear, or hazardous materials , 8 months
1 expert in money laundering and international fraud, 10
months
|
Training of DGA technicians |
Master’s-level courses
6 months’ to 2 years’ duration
- 10 in customs techniques
- 10 in international trade
- 10 in information technology (satellite linkups)
National Master’s-level courses
6 months’ to 2 years’ duration
- 10 in customs techniques
- 10 in international trade
- 10 in information technology (satellite linkups)
Specialized courses abroad
6 months’ to 2 years’ duration
- 10 in customs techniques
- 10 in international trade
- 10 in information technology (webpage design)
- 10 in information technology (customs agent kit)
- 10 in information technology (distance learning)
National seminars
2 to 5 days’ duration
- 6 seminars
International seminars
2 to 5 days’ duration
- 6 seminars
|
Support for participating in customs
negotiations meetings
Training for international negotiators |
Cost of airfare and accommodations for an
average of 10 technicians attending 10 international meetings per year
10 Professionals
6 laptop computers
|
Support for participating in international
courses |
Cost of airfare and accommodations for an average of 10 technicians
attending 10 international courses per year.
|
Support for publishing texts for distribution |
Cost of texts with basic binding, numbering approximately 100 pages each,
on a total of 10 different customs topics.
|
Detection equipment
- Portable Geiger-Müller detector to measure radioactive emissions18 units
- Pen-style coloration detectors to measure intensive radiation exposure
-18 units
|
Customs agents at border crossings must be able to detect
unusual levels of radiation, which may be emitted by explosive materials
or prohibited radioactive waste. |
Detection equipment
- Portable, trackable radios to attach to transport vehicles for
monitoring purposes
- 6 units
|
Modern methods to monitor and control merchandise require
economical and easy-to-use equipment that can be easily attached to
transport vehicles to conduct appropriate follow-up. |
Analysis equipment
- Special envelopes for collecting samples and delivering them to labs
(linked to special courier services and must be assembled using
representative sampling procedures)
|
Due to high costs, multiple labs cannot be set up in
border regions. However, sampling equipment may be used to extract samples
in specially waxed envelopes so that they can be securely delivered to
specialized national and international labs. |
Training
- Technical training in valuation and international trade
(Valuation Dept.)
|
Given the highly dynamic nature of the sector, it is
recommended that customs agents receive brief practical training sessions.
The training program will provide realistic training for customs officials
and update them on international methodologies.
|
- Experts to formulate and design customs and
international trade policy, as well as to consult on operational issues.
|
1 expert from the European Union to design customs and
international trade policy
1 expert in narcotics detection and handling, 8 months
1 expert in the detection and handling of explosive, nuclear, or hazardous
materials, 8 months
1 expert in money laundering and international fraud, 10 months
1 customs valuation expert, 10 months (Risk analysis specialist)
1 expert in customs agent kit development, 8 months
|
Training of DGA technicians |
Master’s-level courses
6 months’ to 2 years’ duration
- 2 in customs techniques
- 2 in international trade
- 2 in information technology (satellite linkups)
National Master’s-level courses
6 months’ to 2 years’ duration
- 2 in customs techniques
- 2 in international trade
- 2 in information technology (satellite linkups)
Specialized courses abroad
6 months’ to 2 years’ duration
- 2 in customs techniques
- 2 in international trade
- 2 in information technology (webpage design)
- 2 in information technology (customs agent kit)
- 2 in information technology (distance learning)
National seminars
2 to 5 days’ duration
- 6 seminars
International seminars
2 to 5 days’ duration
- 6 seminars
|
Support for participating in customs negotiation meetings
|
Cost of airfare and accommodations for an average of 5
technicians attending 5 international meetings per year
|
Furnishings for the Customs Training School
-180 university-style desk chairs
|
For training in Asunción or in inland areas |
- 50 computers to create a basic computer training unit
- 50 printers
- 3 video cameras for computers used in videoconferencing |
For PC training in Word, Windows, and languages, as well
as for distance learning and printing of educational material. |
- 10 photocopiers for the Customs Training School and
administrative units
- 10 book staplers
- 10 3-hole punchers for binding educational material |
To supply printed materials to participants in technical
courses. |
- 6 sound equipment units for classrooms
- Amplifier, speakers, and microphones
- 6 wireless microphones
- 6 electronic blackboards |
For distance learning, through the Customs Training School |
- Books, brochures, customs encyclopedias, technical
customs dictionaries |
For use in the library of the Customs Training School |
Support for participating in international courses or
seminars |
Cost of airfare and accommodations for an average of 5
technicians attending 5 international courses per year
|
Support for publishing texts for distribution |
Cost of texts with basic binding of approximately 100
pages each on a total of 10 customs topics
|
- 5 multimedia projectors
- 5 projection screens
- 3 29” televisions
- 3 video cassette players
|
For use by the Customs Training School In order to conduct
distance learning courses and extend the benefits of online education to
customs posts in the inland and the border regions |
Books, brochures, customs encyclopedias, technical customs
dictionaries
|
For use in the library of the Customs Training
School |
- EXPECTED RESULTS
The DGA has qualified personnel, infrastructure, equipment, and extensive
experience in the areas for which it is responsible. However, it is currently
facing serious budgetary restrictions that affect its ability to operate. The
technical and financial support provided by the FTAA would enable the DGA to
respond in a timely and efficient manner to the requirements of senior levels of
government.
Furthermore, the DGA is the authorized contact point for other governmental
entities associated with international trade and tax collection.
The DGA strengthens and increases its capacity to administer development and
international trade policies and to adapt such policies to the current global
rules.
The DGA creates information systems that serve as essential inputs in the
decision-making process of public and private economic agents, and cooperates at
the international level with institutions such as RILO (Regional Intelligence
Liaison Offices) that are associated with the fight against, and control of,
dangerous drugs, contraband, and terrorism.
DGA technicians are trained to effectively manage public policy and
international trade and, as such, would be a strong ally in maintaining social
order and controlling crime in this part of the Americas.
|