Annual Report 2005-2006 - New Zealand Customs Service

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‘‘ Customs continued to play a major role in managing the risks ’’ associated with terrorism... into the use and impact of illicit drugs in New Zealand, and research on harm indexation of controlled drugs, their economic and social impact and the value of effective enforcement. In addition, Customs’ own drug enforcement strategy was revised in 2005/06, and implementation of the key action points commenced. Operationally, the volume of precursors and crystal methamphetamine seized by Customs in 2005/06 increased significantly and signals a situation that is of continuing concern in relation to the illicit drug scene in New Zealand. A rise in violent crime linked to methamphetamine abuse shows that it has been a catalyst for offending. Terrorism Terrorism continued to be a major threat to safety and security globally, as evidenced by the Number of Cases 800 600 400 200 0 165 2000/01 bombings in London in mid-2005, and continues to require a concerted international response. Customs’ contribution to the fight against global terrorism increased during the year, particularly in response to New Zealand’s increased commitment to international initiatives to fight the trade in weapons of mass destruction (WMD), and the enhancement of New Zealand’s counter-terrorism arrangements. Since becoming a signatory in 2004, New Zealand has been steadily increasing its level of engagement in the Proliferation Security Initiative (PSI), a voluntary international initiative designed to stop any international trade in WMD and dual use items. This was reflected in a significant increase in Customs’ involvement this year in international meetings and exercises relating to the initiative. Customs is a member of the Intellectual Property Rights Cases Opened 218 318 473 645 602 2001/02 2002/03 2003/04 2004/05 2005/06 Operational Experts Working Group and there is a commitment for New Zealand to host an operational experts working group meeting in 2007. It is probable that New Zealand will also host a PSI based exercise in 2008. The interagency counter-terrorism arrangements that evolved following the 11 September 2001 attacks in the United States were enhanced during 2005/06, and Customs’ internal counter-terrorism capabilities were further developed. This has resulted in improved integration, both within Customs and across government, and improved responsiveness to terrorist risk. Customs continued to play a major role in managing the risks associated with terrorism during the year. Intellectual Property Rights (IPR) Globally the trade in counterfeit goods is rapidly expanding with the result that more and more New Zealand rights holders are choosing to use the Customs Notice system to protect their legitimate business interests. As a consequence, the IPR caseload and the number of IPR interceptions from intervention has significantly increased over the last five years. A review by Customs of border management of IPR, and a parallel review by the Ministry of Economic Development (MED) on policing of IPR, are being undertaken in order to identify policy and operational responses to this increasing workload. International Engagement Customs’ international engagement increased in significance during 2005/06, reflecting the key contribution Customs is able to make to New Zealand’s trade and security relationships at bilateral, regional and multi-lateral levels. Customs continued work to strengthen its relationships with other customs administrations and overseas law enforcement agencies to support the achievement of its outcomes. From 2005/06 Customs has measured the number of IPR cases opened over a financial year, as opposed to a calendar year, to ensure consistency with other reporting. Previous year’s figures have been adjusted to reflect this. 14 New Zealand Customs Service – A N N U A L R E P O R T 2 0 0 5 – 2 0 0 6
Customs remained a key contributor to the World Customs Organisation (WCO) through membership of the Finance Committee and regional steering committee, and attendance at the Regional Heads of Customs meeting and various technical committees. New Zealand was successful with its nomination for a place on the WCO Policy Commission and will take up that role from July 2006. In June 2005, the WCO established standards for Customs administrations for secure trade ‘‘ (The Framework of Standards to Secure and Facilitate Global Trade). The standards provide guidance to Customs administrations on trade security programmes, including principles for customs-to-business programmes similar to New Zealand’s Secure-Exports-Scheme. The New Zealand example was an important one in the development of the WCO’s standards. The importance of New Zealand’s close ties and trading relationship Principles, a written commitment with Australia was reinforced in to cooperate on supply chain 2005/06 by the establishment, security, including working towards following trans-Tasman Ministerial mutual recognition of our respective talks, of a high-level steering group supply chain security schemes. to address trans-Tasman border The importance of this relationship issues. A key achievement of the was recognised by the establishment group in 2005/06 was the creation of a new Customs post in of a single immigration and customs Washington DC, in August 2005. queue for inbound Australian and The emergence of China as a New Zealand passport holders at major Australian airports. There was also major trading partner for New Zealand agreement to create a joint Automated was reflected in the establishment Passenger Processing Strategy by of a new Customs post in Beijing, mid-2007. In relation to trans-Tasman in November 2005. This post is trade, the Service is responsible supporting the development and for establishing a working group to consequent implementation of the address processing improvements for Free Trade Agreement (FTA) between cargo travelling across the Tasman. New Zealand and China, and will This work will be advanced in 2006/07. also provide a basis for improved New Zealand’s unique trade cooperation and sharing of operational security relationship with the information on enforcement issues. United States was reflected in Establishment of the Beijing and a significant increase in activity Washington posts complements supporting the bilateral relationship. Customs’ established international A series of high-level meetings with presence. The Service now has posts the United States Customs and in Sydney, Bangkok, Brussels, Beijing Border Protection Agency culminated and Washington, fulfilling a range of in the signing of a Declaration of policy, enforcement, and trade roles. Customs’ international engagement increased in ’’ significance during 2005/06... The increasing emphasis on ensuring a secure and prosperous South Pacific resulted in an increase in Customs’ activity in the Pacific region during 2005/06. Together with other countries and organisations, Customs is working to enhance border security and the facilitation of travel and trade throughout the Pacific, in order to increase security and economic sustainability in the region. Key areas of engagement in 2005/06 included ongoing support for the Oceania Customs Organisation (OCO), including seconding a staff member as Head of the OCO Secretariat, and assisting in building the capacity of the Tonga Customs Service, in conjunction with the Australian Customs Service, by seconding a New Zealand Customs officer as Deputy Head of the Tonga Customs Service for 12 months. Customs also established a Pacific Liaison Officer position for a 12-month pilot, to strengthen relationships between the New Zealand Customs Service 15
Page 1 and 2: Vision Leadership and excellence in
Page 3 and 4: B.24 (2006) Table of Contents Compt
Page 5 and 6: Section two: Strategic Goals 2006-2
Page 7 and 8: GOVERNMENT PRIORITY CONTRIBUTION Ec
Page 9 and 10: Operating Environment The increasin
Page 11 and 12: Outcomes Customs made significant p
Page 13 and 14: Revenue All customs and excise reve
Page 15: Significant Issues Trans-national O
Page 19 and 20: Capability Project Guardian was the
Page 21 and 22: support functions and all of the Op
Page 23 and 24: Management Performance Measurement
Page 25 and 26: The future focus will be on improvi
Page 27 and 28: PART B Performance Information 25
Page 29 and 30: Standards, which incorporate the Ne
Page 31 and 32: Q u a l i t y c h a r a c t e r i s
Page 33 and 34: O u t p u t C l a s s - C l e a r a
Page 35 and 36: O u t p u t C l a s s - R e v e n u
Page 37 and 38: O u t p u t C l a s s - I n v e s t
Page 39 and 40: O u t p u t C l a s s - T e c h n i
Page 41 and 42: Employee Entitlements Annual leave,
Page 43 and 44: S t a t e m e n t o f F i n a n c i
Page 45 and 46: S t a t e m e n t o f C o m m i t m
Page 47 and 48: S t a t e m e n t o f T r u s t M o
Page 49 and 50: Note 4: Depreciation 30/6/05 Actual
Page 51 and 52: Note 8: Creditors and Payables 30/6
Page 53 and 54: Note 14: Reconciliation of Net Surp
Page 55 and 56: S c h e d u l e s a n d S t a t e m
Page 57 and 58: S c h e d u l e o f N o n - d e p a
Page 59 and 60: Section two: Strategic Goals 2006-2
Page 61 and 62: S t a t e m e n t i n T e r m s o f
Page 63 and 64: Glossary Adverse Judicial Comment:
Page 65 and 66: may be used in the manufacture of s
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The Customhouse, 17-21 Whitmore Str
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Annual Report 2005-2006 - New Zealand Customs Service

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