Cainiao's digital customs technology goes global, Lazada Indonesia wins award from the World Customs Organization

On the eve of International Customs Day , Lazada Indonesia received the Certificate of Merit from the World Customs Organization (WCO) in recognition of Lazada ’s outstanding contribution to the digitalization of Indonesian customs. With the recommendation of the Indonesian Customs Directorate General , Lazada became the only private enterprise to receive the award.

This award shows that Lazada’s efforts to improve Indonesia’s digital customs clearance system have achieved remarkable results . It also reflects that Cainiao’s efforts to help local partners accelerate digitalization and improve customs clearance efficiency have been recognized by the world .

As the country with the most islands in the world, Indonesia is expected to become the largest new consumer market after China and India by 2030. However , this bonus market is known as one of the countries with the most difficult customs clearance in the world , and the customs clearance time can be as long as several months. As a result, many foreign trade companies have problems with delayed delivery of goods. Cainiao Network , which supports Lazada 's cross-border logistics, officially launched the Indonesian digital customs clearance project in August 2020 , and introduced the digital customs clearance system to Indonesia in just 2 months .

Cainiao is not simply copying its technology and capabilities overseas. In the customs digitization project , because the declaration materials have not been digitized, the local customs needs to check the goods one by one. Once certain documents are missing, the goods will be physically inspected , which is very time-consuming . In response to this , Cainiao has opened up a digital customs clearance channel for the local customs , which can automatically collect original data such as orders, payments, and logistics to form online customs declaration data . All customs clearance nodes are visible, knowable, and movable. Before the goods leave China, Lazada merchants can upload the declaration materials to the system, and most of the customs declaration work can be completed before the goods arrive at the border . As a result, the customs clearance time is shortened from 72 hours to about 1 hour , which not only improves timeliness, but also helps customs better prevent and control risks.

Due to the epidemic, Cainiao technicians from Hangzhou, Shenzhen, Singapore and other places were unable to conduct field research in Indonesia and could only communicate remotely online; in order to ensure the localization of the product, all design and development were done in Indonesian, which increased the communication cost of the work. In addition, due to the limited capacity of the Indonesian customs information processing system, Cainiao and the Lazada team came up with a total of 6 alternative plans, which were tested layer by layer until they were finally confirmed before going online.

Djanurindro Wibowo, Deputy Minister of Imports of Indonesian Customs, highly praised Lazada's efforts to help accelerate the digitalization of Indonesia's customs system with Cainiao . He said, " The partnership between Indonesian Customs and Lazada will benefit all parties . After our customs system and Lazada system are connected, all declarations can be made online. In addition, customs officials will have access to reliable customs data and customs clearance speed will be greatly improved . "

It is reported that this is not the first time that Cainiao has introduced digital customs technology in Southeast Asia. As early as October 2017, Cainiao put eHub digital customs clearance technology into use in Malaysia, and the customs clearance speed was increased to seconds. In 2020, during Tmall Double 11 , Cainiao announced the completion of the "Apollo" plan. The plan was led by Cainiao and completed in cooperation with multiple e-commerce platforms, nearly 100 express delivery companies, and small and medium-sized sellers in 11 countries in Southeast Asia . The new system can cover a population of 1 billion and increase Southeast Asia's peak package processing capacity by 10 times , which can ensure the operation of an average daily package volume of hundreds of millions.

Jasinda Iriani, Vice President of Lazada Cross-border Logistics, said that Indonesia is the second Southeast Asian country to achieve customs digitization after Malaysia . Through the Lazada platform, it is expected that millions of cross-border packages will enter Indonesia every day through the Cainiao intelligent backbone network, accelerated by the digital customs clearance platform, to meet the needs of local consumers. In the future , we will gradually cover Lazada's six Southeast Asian markets with customs digitization , continue to use digital technology to serve local customs and logistics practitioners, and provide efficient and fast one-stop logistics solutions for cross-border e-commerce.

Currently, Lazada has more than 80 million active consumers in six countries including Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam, and has a logistics and payment network with obvious competitive advantages in the region.

The World Customs Organization was formally established in 1994 and is the only international intergovernmental organization in the world that specializes in customs affairs. Every year around January 26, International Customs Day, the World Customs Organization will give an annual recognition of efforts to improve the efficiency of global customs work.

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