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• An Inter-Ministerial Gateway Oversight Committee, with its
Secretariat, would oversee the initiative
• CrimsonLogic, which had managed TradeNet in Singapore,
would provide the electronic data interchange (EDI) system
at the core of the Ghana TradeNet
• Ghana would adopt the customs management system
designed for Mauritius, which had a smooth interface with
the Singapore TradeNet
• A company would be created to implement both the
TradeNet and the Ghana Customs Management System
(GCMS) for the Customs, Excise and Preventive Services
(CEPS). The company would be given a de facto Build, Own
and Operate (BOO) contract.
CrimsonLogic’s role
CrimsonLogic had licensed the trade Single Electronic Window
platform to Mauritius. Like Mauritius, Ghana is an African nation,
and CrimsonLogic’s deep domain expertise in trade facilitation
gave it an edge over other ICT solutions providers. Further,
CrimsonLogic had developed the Mauritius Customs Management
Software. It has also deployed many other e-Government solu-
tions, including several in the Middle East.
CrimsonLogic has created a niche for itself in the Trade and
Logistics domain due mainly to its intimate understanding and
experience in port operations and trade processes. This made it
a very appealing technology partner for Societe General de
Surveillance SA (SGS) and the Government of Ghana in this
project. As CrimsonLogic’s strategic partner, SGS played the
role of strategic investor and lead technical partner for the
project.
The Ghana Community Network
Various private and public entities were invited to participate in
the equity of the company that would manage the TradeNet and
help to computerize customs operations. As a result, the Ghana
Community Network (GCNet) came into being as a joint venture
with the following shareholders:
• SGS – 60 per cent;
• CEPS – 20 per cent;
• Ghana Shippers Council – 10 per cent;
• two local banks – five per cent each.
Working under a service contract with MOTI, GCNet must install
the EDI system and customs management systems, and produce
progress reports.
The GCNet vision was to transform a spaghetti-type network
of connections, which had been in operation amongst the various
entities involved in the trade transaction process, into an inter-
connected network for the trading community.
Previously, each agency required a unique set of documents,
which must be submitted only to it and which were not shared
with other members of the trading community. Data was often
duplicated and had to be transcribed for further processing. Lots
of paper work, multiple copies error-prone transcriptions were
involved. All this was time-consuming and costly.
This situation created a lot of opportunity for soliciting and
using ‘facilitation money’ to speed up transactions or adjust
customs declarations. The lack of transparency in these trans-
actions left a very weak audit trail – in most instances none at
all – and all this impeded the competitiveness of Ghana’s
economy.
Creating a trading community
GCNet’s objective is a totally interconnected trading community,
like the one already in place in Singapore. According to this vision,
the trader submits one document to the TradeNet (GCNet),
containing the information for all agencies that require it. The
TradeNet then selectively sends information to the relevant agen-
cies, which respond immediately either with requests for further
information or with the necessary permits. The objective of this
integration is to reduce transaction costs for traders, and to make
government regulatory operations more efficient.
A number of reviews during the 1990s revealed that the struc-
ture and organization of CEPS, its ICT and human resources
management structure, were not appropriate for the demands of
modern, efficient customs operations. Many records were kept
manually, and the ASYCUDA technology in place was under-
utilized and under-maintained. Since ASYCUDA could not treat
a customs declaration in less than 24 hours, a drastic upgrade
was needed: CEPS would simplify its trading procedures and
acquire a modern customs management system, and GCNet
would enable this.
In December 2000, Ghana’s national elections and the subse-
quent transition of political power stalled operational decisions
like the procurement of computer hardware, which was to be
CEPS’ contribution to the GCNet project. CEPS, too, was initially
unsure about the reforms needed in order to introduce the new
customs management system.
Under its service contract with MOTI, GCNet would help to
implement the EDI system and GCMS at CEPS, receiving a fee for
each declaration processed by the TradeNet. GCNet was to be the
systems integrator, and needed to select the various systems that
would make up the overall package. The choice of EDI was simple:
since the initial inspiration had come from the CrimsonLogic plat-
form in Singapore and its modification by Mauritius Network
Services (MNS, itself a joint venture between the Mauritius tele-
coms provider, CrimsonLogic and the Mauritius Government),
GCNet secured the services of both organizations. GCNet stepped
in wherever necessary to make sure the TradeNet and GCMS
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GCNet offices
Photo: SGS