Common Transit Procedure and NCTS Implementation: the Case of Ukraine

The article analyses the EU policies towards the extension of a Common Transit Procedure and the New Computerised Transit System (NCTS) over associated countries given a case of Ukraine. A reasonable amount of the EU actions and aid on implementing the NCTS are performed within frameworks of the Eastern Neighbourhood Policy. It is instrumental for approximation of customs legislation, capacity budling, and modernization of customs authorities of the EU neighboring states. However, the impact of the NCTS implementation goes far beyond mere transit arrangements. It has the potential to introduce basic principles of the EU administrative law and best practices of administration into the day-by-day performance of national customs authorities. Ukrainian customs have favorable start conditions; so far, the national customs authorities and traders have experience in utilizing customs IT solutions. However, the transition to the new transit procedure may face specific issues due to disproportionately strict authorization criteria for transit simplification set by national legislation that exceeds the relevant rules of the EU legislation. Such restrictions cause low popularity of the new procedures harmonized with the EU legislation. Besides, in some cases, the approximation to the EU customs legislation results in discontinuing the existing simplification of customs procedures, which raises the question of possible distortions in the implementation of respective obligations and failure to share basic principles of good administration promoted by the EU