On February 1st 2023, the implementation of the Electronic Cargo Tracking Note (ECTN) system in Somalia marked a significant milestone in enhancing efficiency, promoting trade transparency, and stimulating economic growth in the region. This innovative initiative has been made possible by the Port Authority, with a system developed in partnership with ITR Logistics, a leading provider of Electronic Cargo Tracking Notes (ECTN). The management team at ITR is composed of an industry veteran with over 50 years of experience in shipping line logistics, a former Google employee and a seasoned entrepreneur with a strong background in technology and innovation bringing a unique blend of expertise to the operation.
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Implementation of ECTN in Somalia
The ECTN system is a digital solution designed to streamline and monitor the movement of goods across international borders. By requiring shippers and freight forwarders to obtain an ECTN before shipping goods, it enables authorities to track and verify cargo information, ensuring compliance with customs regulations and facilitating smoother trade operations. This transparent process fosters trust, reduces delays, and combats illicit activities such as smuggling and under-invoicing.
Which documents are required for Somalia ECTN Certificate?
The following documents are required to issue a ECTN certificate:
- Bill of lading
- Commercial invoice
- Freight invoice
The key beneficiaries of this implementation are the Ports of Somalia, strategically located on the Gulf of Aden, Indian Ocean coast and the capital city of Mogadishu, which are a vital path for trade and commerce in the region while offering a gateway to East Africa and serving as a vital maritime trade hub. The integration of the ECTN system will dramatically improve cargo management processes, helping the digital transformation towards a modern, efficient, and technologically advanced ports.
Ports of Somalia
- Port of Mogadishu. Mogadishu Port is located on the capital city of Somalia’s southeast coast, and close to the strategic Port of Mombasa in Kenya.
- Port of Berbera
- Port of Bosaso
- Port of Merca
- Port of Kismayo
ITR Logistics, a global ECTN provider, has been selected as the technical partner for the Somalia ECTN system. With their expertise and extensive experience in implementing similar systems worldwide, ITR Logistics brings state-of-the-art technology and reliable services to enhance the efficiency and effectiveness of the ECTN process in Somalia. Their platform ensures secure data transmission, and seamless integration with relevant authorities, resulting in a streamlined and transparent trade environment.
By implementing the ECTN system in Somalia, several benefits are anticipated. Firstly, it will significantly reduce clearance times at the Ports, leading to faster turnaround times for vessels and ultimately increasing trade volume. Additionally, the improved transparency and data accuracy provided by the ECTN system will enhance risk management capabilities, enabling authorities to detect and mitigate potential security threats effectively. This, in turn, will boost investor confidence and encourage foreign direct investment in the region.
Moreover, the implementation of the ECTN system aligns with Somalia’s commitment to international trade standards and demonstrates the country’s determination to facilitate legitimate trade while combating illegal activities. This proactive approach will elevate Somalia’s position as a reliable trade partner, attracting more business opportunities and forging stronger economic partnerships.
Types of ECTN Certificates
Depending on the country of discharge, several CTN certifications exist. These certificates are in fact the same thing but with different names. Every country has its own standards and regulations, as well as requirements for the loading certificate.
CTN: Gambia, Liberia, Nigeria, Somalia, Djibouti
ECTN: Burkina Faso, Equatorial Guinea, Guinea Conakry, Burundi, Republic of Congo, Central African Republic, South Sudan, Togo
BSC: Ivory Coast – Cote d’Ivoire, Madagascar, Niger, Senegal, Sierra Leone
BESC: Benin, Republic of Chad, Cameroon, Mali
FERI: Democratic Republic of the Congo
CEE: Guinea Bissau