- Goods no longer have to be pre-cleared
- Botswana was concerned about what goods transit its territory
- Delays and cost escalation due to itemisation of cargo by clearing agents an issue
Botswana has made a dramatic U-turn on its earlier decision that it would not receive and process any cargo that is consolidated or not pre-cleared on the Trans-Kakahari Corridor.
In a notice signed by the Chief Executive Officer of TKC, Leslie Mpofu, Botswana had stated: “All cargo moving on the TKC effective 17 April 2023 should be pre-cleared.” Dated 13 April 2023, the notice said consolidated cargo is not viable since it prevents itemised cargo inspection even if the goods are only in transit.
But Mpofu issued another notice the next day withdrawing the 14 April one. “Stakeholders are informed that the notification on the consolidation of cargo is hereby withdrawn,” he said on 14 April. “The purpose of the withdrawal is to allow further consultation with relevant stakeholders.” He added that stakeholders would be advised “on the way forward after the consultations have been concluded”.
In the notice 13 April notice, Mpofu had reminded stakeholders that when Botswana introduced a new Customs Management System (CMS) in 2017, there was an outcry among traders and transporters that the new system had done away with the consolidation of cargo facility which had existed in the previous system.
He said this resulted in delays and escalation of costs due to itemisation of cargo by clearing agents. Mpofu said the Trans-Kalahari Secretariat then convened a meeting of the TKC customs authorities from Botswana, Namibia and South Africa to deliberate on the issue and find a solution. “It was clear that consolidation of cargo was not best practice,” he said. “However, member-states prevailed on Botswana to impose a moratorium and allow consolidation of cargo to continue whilst a permanent solution (was being) devised.”
He also informed traders, transporters and other stakeholders that the three customs authorities had committed to finding a longlasting solution. In the meantime, Mpofu said, the three countries had agreed that consolidation of cargo is not viable because it does not allow the transit country to know what is actually transiting through it. They also agreed that all cargo admitted at all TKC ports of entry would be pre-cleared in order to eliminate all delays and minimise costs.
Botswana, Lesotho and South Africa also agreed that the Customs Data Exchange and pre-population of transit declarations using export declarations should be considered as the best alternative to consolidation and to end consolidation. Trans Kalahari Corridor (TKC) is a road network spanning approximately 1 900 kilometres across through Botswana, Namibia and South Africa.
