The Effects of Custom Clearing Practices on Export Trade Facilitation: Evidenced from Kality Custom Office in Addis Ababa

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Date

2026-06-02

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Addis Ababa University

Abstract

The phenomenon of global trade is undeniably shaped by various factors, among which customs clearing practices play a pivotal role. Efficient customs procedures reduce the time required for clearing goods, allowing exporters to access international markets more swiftly. Nonetheless, the customs clearing process in Ethiopia is basically characterized by delays in processing, inconsistent regulations, and lack of transparency that hinder the expedition of export trade. This study, thus, sought to examine the effects of customs clearance practices on export trade facilitation, evidenced from Kality Customs Office in Addis Ababa. A quantitative research approach along with an explanatory research design was adopted. The survey was conducted on export companies, targeting owners, executive managers, transiters, or agents. A sample of 297 valid and usable responses was collected from the targeted respondents using a convenient sampling technique. Primary data were collected through a self-administered questionnaire, and multiple linear regression inferential analysis was adopted to examine the relationship between customs clearing practices and export trade facilitation with the help of SPSS 25.0. The regression model was statistically significant (F = 111.280, p < .001), with an R² of .657, indicating that the five independent variables collectively explained 65.7% of the variance in export trade facilitation. The results revealed that all five factors—documentation (β = .137, p < .05), tariff classification (β = .194, p < .05), valuation (β = .255, p < .05), risk assessment (β = .079, p < .05), and staff competency (β = .415, p < .05)—have positive and significant effects on export trade facilitation. More specifically, staff competency and customs valuation have the highest contribution, while risk assessment has the least. Enhanced customs operations not only streamline the clearance process but also signal the government's dedication to facilitate export trade to global standard.

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Keywords

Custom Clearance, Customs Valuation, Export Goods, Trade Facilitation

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