BlockChain Technology
The Truth About Exporting To Egypt Using Their New One-Window System
Dear Foreign Exporter: Want Answers About The New Requirements For Egypt?
By Mohammed Shalaby
There has been much confusion around the new one-window system called Nafeza being implemented in Egypt. reading this, you are likely a foreign company exporting or planning to export to Egypt. You may be receiving mixed information about whether you have to register on Nafeza, or the local receiver in Egypt has to register or both. We will make this completely clear for you and lay out what steps you will need to take to be ready for the launch.
I’m the Vice-Chairman of Arab Spanish Maritime Company, (arabspanishmaritime.com) located in Alexandria, Egypt. We help simplify the import and export process for foreign and local clients through our logistics services and extensive experience.
Concerning what you need to be ready for, you first must know some basics about the new one-window system being implemented in Egypt.
What is Nafeza & Its Benefits?
Nafeza. The Single Window Concept
The single window concept is an international concept that is used to facilitate trade electronically. The system standardized information and documentation to be facilitated through a unified regulatory environment.
In plain English, it’s an electronic platform where all parties, mainly traders and authorities involved in the foreign trade in Egypt, can submit documents and transact, within a set of regulatory requirements.
The platform is aimed at expediting the clearance of goods, and propelling Egypt into a “One Logistical Area,” improving efficiency and effectiveness of official controls and reducing costs for both governments and traders due to a more optimal use of resources.
Benefits for government
• More effective and efficient deployment of resources
• Correct (and often increased) revenue yield
• Improved trader compliance
• Enhanced security
• Increased integrity and transparency
Benefits for traders
• Cutting costs through reducing delays
• Faster clearance and release
• Predictable application and explanation of rules
• More effective and efficient deployment of resources
• Increased transparency
The information above is simplified from the official website of Egyptian customs. If you want complete information visit https://www.nafeza.gov.eg/en.
What Is The New Requirement For Exporting To Egypt?
I am about to make it as easy and simple as this:
Importers (or their assigned forwarder) will register each import shipment on the Egyptian customs platform called NAFEZA. The importer provides details about the cargo, the exporter, and the importer. Suppose this type of cargo is allowed into Egypt, and the Exporter is not blacklisted. In that case, both the importer and exporter will receive an email from NAFEZA with the registered shipment’s ACID number.
If you need to know the basic explanation of what ACID is in the most simple language, go to our article “What Everyone Must Know About the ACID Number.”
Ok, so now that you know the basics of the One Window System & the ACID number, the question is…Do you, as a foreign exporter, need to register on Nafeza?
Do I Need To Register On Nafeza As A Foreign Exporter?
Short answer: No. But!
There is always a but, right?
… But, to connect to Nafeza, you must use blockchain technology to send secure original documentation. Therefore you must register with a company that offers this technology. It sounds more complicated than it actually is, so we will explain.
Now, if you know all about blockchain, this is very exciting. If you want to know a little more about blockchain and how the one window system will use it go to our article, “The Most Secure Cost-effective Way To Send Your Documents: What You Need To Know About Blockchain Technology To Use The Nafeza Or The Cargox System?”
How Do I Prepare For The New System?
To use blockchain technology, you will need to have an account on a blockchain documentation transaction system. This system basically allows you to send encrypted digitally signed documents over the internet. That is why you must create an account on CargoX. Egyptian customs selected the CargoX Platform as a channel through which exporters will submit eACI documents directly to customs.
The CargoX Platform is a neutral provider of blockchain document transfer service, which will preserve all the paper documents’ properties – including the original stamp and signature. They are actually considered a digital express courier where exporters can “send” digital “original” documents directly to Egyptian customs.
So although you do not have to register on the one window system Nafeza, you have to register on CargoX to interact with the one window system. Below is a snapshot of what it will look like for you as an exporter when you are about to create a new ACID “envelope” using the CargoX system so that you can send it directly to Egyptian Customs.
As you can see, when creating an “envelope” in the system, exporters will have the choice to create a special one for Egyptian customs, making it a straightforward process.
How Do I Register On CargoX?
Registering on CargoX is relatively simple, similar to any other website service. One thing to keep in mind. CargoX, like any courier, charges money to transfer documents. The fee is paid either by the Issuer (i.e., Shipping line) OR by the first recipient (i.e., shipper) using (Pay By Collect) of the document. All other parties involved in the exchange of the documents use the platform for free. They are a fraction of traditional couriers’ standard costs, so if you would like a $45 credit when you sign up, Please send me an email at ceo@arabspanish.com with the subject line: “CargoX Signup” and I will reply with an invitation link for you to receive $45 credit. You can also sign up on the site directly by going HERE, but you will miss out on the $45 credit.
We would also love to know what is still uncovered or what you may have questions on. Reach out to us by messaging us here, or filling out a request form on our website www.arabspanishmaritime.com