Subsidiary of South Korean IT giant Samsung SDS has signed an agreement with the Korean customs service (KCS) on the implementation of blockchain-system of customs clearance of export.
In the Memorandum of understanding (MOU) that was signed by both sides, indicated by the 48 participants, including public authorities, transport operators and logistics and insurance companies. The system, which will work the participants will improve process efficiency and prevent fraud.
The platform will operate on the basis of the blockchain Nexledger created by Samsung SDS in April last year to manage the transactions of private enterprises. Customs officers will use the system to send export documentation at each stage of the export process of goods: production, storage, preparation of customs Declaration and delivery.
Nexledger allows you to create smart contracts and conduct transactions in real-time. The platform can act as a system of control for different industries: financial industry, manufacturing industry and public sector.
So, the municipal government of Seoul decided to use the platform Nexledger in all branches of the administration of the capital by 2022. According to officials, it will improve administrative transparency and provide certain amenities to the citizens.
However the most widely used Nexledger found in the logistics industry of Korea. Last spring, Samsung SDS was founded by the blockchain-a consortium together with organizations such as KSC, the Ministry of oceans and fisheries, Hyundai Merchant Marine and the IBM representative in Korea. The result of a collaboration began testing the delivery of cargo between South Korea and China. Within seven months, the system on Nexledger recorded and tracked delivery which was made with a cargo vessel.
For the first time to work on the system of customs clearance of export of Samsung SDS and KCS began about five months ago. The purpose of the system was to start production of certificates of origin, documents that determine the country of origin for cross-border products. In June we were ready the pilot version of the platform.
It is worth noting that in April, Samsung itself has announced that it intends to use the blockchain to work with the global supply, the cost of which exceeds ten billion dollars per year. Using the technology of the distributed registry the company hopes to cut 20% of the cost of shipping.
