17 Aug 2023 14:30

Switch over to NCTS Phase 5 postponed by two months - Ukraine's Customs Service

MOSCOW. Aug 17 (Interfax) - The transition to Phase 5 of the New Computerized Transit System (NCTS) has been postponed by two months and is expected to take place on November 1, 2023, Ukrainian media said, citing the press center for the State Customs Service of Ukraine.

"The postponement has been prompted by the need, above all, to finish the system's DG TAXUD conformance testing and to ensure the integration of the new software with the national customs systems," the State Customs Service said.

The switch over to NCTS Phase 5 from November 1, 2023 will also give businesses more time to prepare for working with the new system and for the new requirements for filling out transit declarations, it said.

This decision has been agreed with representatives of the Directorate-General for Taxation and Customs Union (DG TAXUD), it said.

The transition to NCTS Phase 6 is scheduled to take place in June 2025, the service said.

NSTC Phase 5 will allow companies to submit more detailed information about goods at the House Consignment level, which is relevant to consolidated shipping, it said.

Ukraine's State Customs Service will draw up new guidelines for companies on how to add information to transit declarations given the specifics of NCTS Phase 5, it said. At the same time, all common transit rules and principles and simplified transit procedures remain relevant and in effect.

It will still be possible to submit transit declarations via brokerage software but taking into account the specifics of NCTS Phase 5, it said.

The State Customs Service is also considering providing businesses with an alternative tool for filling out and submitting transit declarations and for interaction with the national electronic transit system of NCTS Phase 5 - IT solutions similar to the existing Trader's Portal.

As reported, Ukraine's State Customs Service in January 2023 published software update specifications for developers of brokerage software (bit.ly/3NwC9pk). In August 2023, national software developers were granted access to API to test message exchanges with NCTS Phase 5. The State Customs Service also said that it was actively interacting with the relevant teams to ensure that brokerage IT solutions are ready before November 1, 2023.

NCTS is one of the 17 customs IT systems Ukraine will have to introduce before being admitted to the European Union. So far, it is the only system that Ukraine has joined. The introduction of an IT system involves not only its installation but also its synchronized development with other member countries of the Common Transit Convention.