Effect of Customs Clearance Practice on the Logistics Performance: In Development Bank of Ethiopia
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Date
2022-06
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Addis Ababa University
Abstract
The drive of this study was to measure the customs clearance practice and its effects on the logistics performance of the Development Bank of Ethiopia within factors of customs Face vet, Goods Inspection, Document Scrutiny, Risk Management, and Automation.The numbers of target population of this study was 75 and chooses the census sample technique. The statistical data were tabulated by SPSS software and the output analyzed by mean, frequency, correlation, and Regression. Descriptive and Inferential statisticswere usedfor analyze thedata. Majority of the independent variables are correlated at P < 0.01 and at P < 0.05 level of significance and there is a strong positive relationship between the effect of customs inspectionactivity and logistic performance with a Pearson correlation coefficient of (r=0.802) and significance value 0.00. The study recommended that Ethiopian customs commission should implement giving advance information for customers, Customs procedures and practices must be consistent, transparent, and appropriate to international customs clearance servicestandards and should be avoid redundancy of customs goods inspection and document scrutiny/checking for a particular shipment. Furthermore, in the Risk management system, the customs commission should give strong information to importers about risk channel categories;and Give training for Customs employees to have adequate operational knowledge. Key Words: Pearson correlation coefficient, face vet customs, risk channel categories, Customs Automation Systems and Descriptive and Inferential statistics