Procedure for Escalation of Issues REF#5798

The General Department of Customs and Excise has a Public Relations Unit which is generally very active and responsive, and we are appreciative that the Department has been helpful in addressing specific issues raised by EuroCham. This being the case, our members have raised concerns with the existing procedure to escalate issues relating to Customs officials or to request a Customs determination review.

Article 24 of Chapter 3 of the Law on Customs that was promulgated in 2007, states that any person dissatisfied with the determination of a tariff classification, origin or Customs value by a Customs official may object, by writing to the Director General within 30 days of receiving the Customs notification. Following which, the Director General shall make a decision regarding the objection within 60 days, otherwise the appeal will be deemed as accepted. If a decision is made by the Director General, this can also be objected by filing a written appeal to the Customs Tariff Committee, after which any further appeals must be made to a court within 30 days of the Committee’s decision.

While this process may have been appropriate for the earlier needs of the economy, as Cambodia’s trade volume has risen dramatically, as well as the number of businesses operating, it is likely that this process is now inefficient to manage the increased frequency of requests and reviews. Accordingly, businesses, particularly small and medium enterprises, require a more efficient and effective method to escalate issues that they encounter while engaging with Customs officials and to request a determination review.

The process for escalating issues encountered with Customs has not adapted to the needs of Cambodia’s current level of economic activity and is therefore creating a feeling of insecurity for businesses, as they consider their right to appeal decisions made by Customs officials to be limited.