Union Minister of Finance and Corporate Affairs, Nirmala Sitharaman, delivered a keynote address at the Global Conference on Cooperation in Enforcement Matters (GCCEM) 2023, where she stressed the importance of making substantial advancements in the realm of customs enforcement.
In her address, Sitharaman emphasized the need to distinguish between two critical facets of customs enforcement, focusing on facilitation and prevention.
“We are not going to see considerable achievement or progress in the customs area, and when I say customs area, I clearly look at two different silos, not necessarily silos, but I put them in two different compartments,” Sitharaman noted.
Concerning facilitation, she highlighted the necessity of enhancing the ease of trade and streamlining the movement of goods in international trade. She acknowledged the alignment of businesses and governments in promoting a more efficient and effective trade environment.
“One is the facilitation so that ease of trade is brought in, goods movement is facilitated, and we are able to have well-streamlined international trade. This is something that businesses and governments are actively working towards. It is a step that is already in motion, but we must continue to improve its efficiency,” she stated.
However, she underlined the significance of the prevention and deterrence aspect, emphasizing that continuous efforts were needed to elevate the current operational standards.
Moving on to the prevention and deterrence aspect of customs enforcement, Sitharaman stressed the importance of preventing illegal trade, smuggling, and activities that infringe upon a country’s sovereign authority.
She expounded on the concept of deterrence, a measure that reinforces customs enforcement through vigilance and commitment.
“Prevention of illegal trade, prevention of smuggling, prevention of activities that challenge a country’s sovereign authority—these are the areas where deterrence plays a crucial role. Deterrence is strengthened by demonstrating dedication and commitment to completely destroy confiscated goods, ensuring they do not re-enter the market, even if they may seem legitimate. Prevention and deterrence represent a pivotal area where this global conference on cooperation and enforcement matters can generate practical solutions,” Sitharaman explained.
Sitharaman emphasized that this global conference on cooperation in enforcement matters should serve as a platform for generating innovative ideas, especially in the area of prevention and deterrence. She highlighted the importance of sharing knowledge and experiences to effectively combat illegal trade.
The conference is expected to facilitate productive discussions on various aspects of enforcement matters, with the ultimate goal of enhancing customs enforcement at a global level. It serves as a significant platform for international cooperation and the exchange of best practices in customs enforcement, benefiting not only individual countries but also the international trade community as a whole.
