Trade-Van and Kale Logistics collaborate to facilitate digital trade between Taiwan and India

December 14th 2019

Trade-Van of Taiwan and Kale Logistics Solutions of India signed a Memorandum of Understanding to facilitate issuance of Digital Certificate of Origin (eCoO) at the 60th Pan Asian E-Commerce Alliance (PAA) annual conference at Cyberjaya, Malaysia. This process will ease up the custom clearance process and will be adhering to issuing country’s laws and regulations.

Certificate of Origin (CoO) is among the most critical documents in the logistics industry. In international trade transactions, tariff of a product and other trade measures will be applied based on CoO. Also, it is essential to say if the product is legally allowed to be imported.

According to the agreement, both stakeholders will establish an appropriate and effective cooperative framework for the facilitation of the eCoO project. Most notably, they both agree to exchange cross-border eCoO to facilitate the customs clearance process.

Validation is the most essential factor. The given document must be equal to the existing physical document to facilitate customs clearance. The agreement signed between the two entities is equal to paper CoO and still acceptable as a common supporting document for customs clearance.

eCoO is to be securely transmitted through Public Key Infrastructure (PKI) protection, which facilitates secure electronic transfer of information. PKI comes with a certificate authority to store, issue and sign a digital certificate. To ensure credibility of the entities requesting a digital certificate, PKI mechanism has a Registration Authority and a central directory to securely locate and index keys.