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Traders save Shs1.2 billion with Electronic Cargo Tracking System
![Traders save Shs1.2 billion with Electronic Cargo Tracking System Traders save Shs1.2 billion with Electronic Cargo Tracking System](https://wsrv.nl/?q=95&w=850&url=//www.tralac.org/images/primary/6899/_thumb3/fuel-trucksnation-media.jpg)
A total of $434,107 (about Shs1.2 billion) has been saved by traders since Uganda Revenue Authority (URA) adopted the Electronic Cargo Tracking System (ECTS) in May last year.
Figures from the authority show that transporters used to pay between $200 and 250 per day due to roadblocks by police and customs authorities across the region before the tax body partnered with Trade Mark East Africa to have ECTS at a cost of $2million (about Shs5.5 billion)
In the past, cargo trucks would arrive at border points where a declaration is made but before being cleared by customs officers, goods would disappear. These would go on the market having evaded taxes and cause undue competition because they are often low priced.
And according to URA officials, the ECTS was in response to the above and Uganda’s strategic geographical location as it is a link to regional markets of South Sudan, DR Congo, Rwanda, and Burundi, among others.
Before May, every truck bringing in goods from Mombasa to Uganda was accorded an escort by URA with the owner paying $50 (about Shs138,500) every day for tracking the consignments to avoid tax avoidance.
While meeting regional Dutch ambassadors who visited URA offices last week, the Commissioner Customs, Mr Richard Kamajugo, said ECTS depends on a control centre and automatic devices attached onto a cargo truck which repetitively give feedback to the team at the URA control centre on location of a vehicle, speed and status of the container.
Saying East African Integration has been eased with such technology, Mr Kamajugo said: “Without ECTS, East African integration would be very difficult.”
In his speech, Mr Alphons Hennekens, the Dutch Ambassador to Uganda, applauded the initiative and said his country supports the East African integration efforts.