In a collaborative effort to combat smuggling and dumping, the South Sudan Revenue Authority (SSRA) has joined forces with the Uganda Revenue Authority (URA). The Commissioner General of SSRA, Africano Mande, visited URA Commissioner General John Musinguzi to discuss plans for the implementation of a new cargo monitoring system.
Commissioner Mande highlighted the challenges faced by SSRA in customs collections, prompting the need for strategic measures to improve revenue generation. The partnership includes the involvement of INVESCO, a Ugandan company providing cargo-tracking technology to enhance monitoring and control.
“Collections from customs have been low, pushing us to make tough decisions to improve. Invesco’s services will help us improve collections and even exceed our targets,” Commissioner Mande stated.
The collaboration draws inspiration from the success of a similar initiative in the Democratic Republic of Congo (DRC), where INVESCO was engaged to address low revenue collections at border points. The DRC experienced a significant boost in revenue collection, indicating the effectiveness of the cargo-tracking technology.
Previous attempts by South Sudan to address revenue loss through a company called K-Polygon proved unsuccessful, leading to the current partnership with URA and INVESCO. The aim is to replicate the success witnessed in the DRC, contributing to increased revenue for both URA and SSRA while curbing smuggling and dumping.
The initiative is particularly crucial for Uganda, which has been grappling with revenue losses attributed to dumping, causing economic inflation. Additionally, it is expected to mitigate the VAT refund racket, where individuals falsely claimed to be heading to South Sudan while leaving goods in the market and seeking VAT refunds from URA.
The collaborative effort between URA and SSRA is anticipated to strengthen revenue collection mechanisms, curb illicit trade practices, and foster economic stability in the region
