A. General Information
1. Title
FTA KOREA PLUS - KOREA's FTA ORIGIN DETERMINATION SERVICE
2. Implementation period of the project/service:
4. Geographical coverage
Global
Participating countries: Australia, Canada, Chile, China, Colombia, India, New Zealand, Peru, Singapore, Türkiye, United Kingdom of Great Britain and Northern Ireland, United States of America
Hub Point: Republic of Korea
5. Participating agencies/entities of the project/service:
a. Development stage
Lead agencies/entities
The Ministry of Trade, Industry and Energy of Korea
Other participating agencies/entities
KTNET KOREA (service provider)
b. Operational stage
Lead agencies/entities (op)
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Other participating agencies/entities (op)
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6. Main stakeholders/beneficiaries of the service
Traders (big enterprises)
Traders (SMEs)
Other Government Agencies (OGAs)
7. Business process category of the service
Commercial Transactions
Forwarding and cargo handling
Regulatory/official control
B. Lessons Learned
8. Summary description of the project/service
a. Objective(s)
FTA PLUS KOREA enables the streamlined process of origin determination using AI and data compliance.
Main Functions:
FTA Information:
Rules of Origin information by FTAs
-RoO of RCEP and 17FTAs in effect
HS code search
Base Information Management
Product management
Customer Management
Bill of Materials management
Purchase/Sales ledger
Declaration of Origin Management
Origin Determination
Origin Verification Questionnair
Issuing Declaration of Origin (D/O)
Preferential Certificate of Origin
Post-Determination Management
P-C/O and D/O Signature register
Due diligence
b. Business need for the service (background)
Complicated RoO: 88% of trading SMEs interviewed complained about the origin determination; Challenges in Complicated RoO, difficult issuing process, and lack of knowledge and experts.
High Cost: The application and verification of RoO by Authority is a growing barrier ‘at the border’ in some countries. Sometimes, the total cost of utilizing FTA is higher than the tariff benefit of FTA.
Compliance: It is necessary to prepare for the risk of additional customs duties due to errors in the determination of origin and incomplete determination documents.
Administration burden: Responding to the customer's request for a Country of Origin Management is necessary. It is needed to prepare for due diligence.
c. Business process covered*
d. Overall architecture and functionalities*
e. Relevant document/figure
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9. Documents and data exchanged via the service
10. Data models/databases, proprietary solutions, hybrid approaches
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11. Main challenges faced during the service
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12. Lessons learned from the service
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13. Main benefit(s) of the service
Enhanced regulatory compliance*
Transaction Cost savings*
Transaction Time savings
Simplified process
13A. Elaborations/detailed description on benefits gained
14. Technical/financial/capacity building/other assistance
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15. Future plan for expansion of the service
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16. Other information or relevant references on the service
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17. Relevant document regarding the service
C. Relevant Standards
18. Name(s) of any international, national legal instrument underpinning the service
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19. Electronic message standard
19A. Electronic message standard supporting the service
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19B. Type of standard for electronic message applied for the service
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20. Technical communication standard
20A. Technical communication standard supporting the service
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20B. Type of technical communication standard applied for the service
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21. Security-related standards*
21A. Security-related standard supporting the service
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21B. Type of security-related standard applied for the service
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22. Other Technical Information
22A. Interface developed for data exchange with an internal system
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22B. Other technical implementation information
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