Examining The Effects of Existing Customs Procedures on Cargo Release Time in Addis Ababa International Airport

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Date

2024-06

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Addis Ababa University

Abstract

In international trade, customs as gatekeeper and plays a crucial role in implementation of tradeensuring compliance, document accuracy, verification, inspection procedures its processing time in the international airport is an important component of overall cargo release time. However, a great deal of money and time are lost in most sub-Saharan African countries, including Ethiopia,because of lengthy delays at customs. This study attempts to examine the impact of the existing customs Procedure on cargo release time at A.A. Airport. Toachieve the research objective, thestudy employed both descriptive and explanatory /inferential/ method and used bothqualitative and quantitative research approaches. As a source of survey data, the study used both primaryand secondary data sources. On the other hand, to collect the necessary data both semistructured interview and survey questionnaires as tools of data collection. In addition, annualreports of the branch, some published and unpublished empirical datas and data from eCMS system were used as as the sources of secondary data. The data were collected from 186 seniorand above level Customsemployees found in cargo import clearance, warehouse and customer service departments and 100 customs clearing agents who havepermanent office at the cargowindow selected purposively in an effort to better comprehend the qualified respondents. To get the right respondent, simple random sampling method was used.To analyze the collected data,both descriptive statitics and regression analysis was carried out with the aid of SPSS version 23. The finding of this study showed that the procedures namely; duty and tax assessment,document verfication, physical examination and risk management system have significant effect on cargo release time. This suggests that the various parties involved in the existing customsprocedures should work together to enhance the efficiency and effectiveness of these significant variables, ultimately reducing cargo release time and supporting international trade and supplychain operations. Thisstudy focused only on import clearance procedure with referring cargo release time as dependent variable at A.A. Airport customs branch. Thus, furtherresearch workis needed in this area with including other customs procedures and branches under customs commission. Key words: - Customs, Cargo Release Time, Customs Procedure, eCMS

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