Chief Executives Introduction
This Statement of Intent 2004 – 2006 presents the strategic direction for the New Zealand Customs Service for that period. The document reflects the challenges posed by expanding our capability; the focus on security priorities resulting from the increased global focus on terrorism; the risks from transnational criminal organisations; and the growing volumes of passengers and trade into and out of New Zealand. Recognising that we are only part way through the period covered by our Statement of Intent 2003 – 2006, this document reports on the progress made on key initiatives to improve Customs’ ability to achieve its outcomes.
Our initial Statement of Intent published last year identified border security as the most important priority for Customs. This has not changed, with recent events in Spain proving that the threat of terrorism remains very real. While New Zealand may be regarded as low risk, we cannot afford to be complacent. New Zealand must not be seen as a safe haven where terrorist acts could be planned or facilitated.
Border security, however, is just one of a widening range of complex risks that Customs has to deal with. Transnational criminal activity is becoming increasingly prevalent in New Zealand, as reflected by the growing number of interceptions at the border of illicit drugs, pirated and counterfeit goods, and false identity papers. Overseas experience and information suggest that these activities are being undertaken by organised criminal groups, terrorist groups, and the financiers of terrorism.
Customs is also facing an increasing range of commitments as a result of our role as New Zealand’s main border agency and because of our international reputation as one of the most modernised customs administrations in the world. Through international forums such as the World Customs Organisation (WCO), Customs makes a significant contribution to the development of regulatory regimes governing international trade and travel. Additionally, our expertise in a number of specialised trade-related topics, such as Rules of Origin, is increasingly being called upon to assist with bilateral trade negotiations. Domestically, Customs has long-standing and close working relationships with many other government agencies, such as the New Zealand Immigration Service (NZIS), the Ministry of Agriculture and Forestry (MAF), the Ministry of Foreign Affairs and Trade (MFAT) and the New Zealand Police. The need to maintain and develop whole-of-government approaches to improve border security has reinforced the importance of these linkages and resulted in a number of new and significant stakeholder relationships with other government agencies.
The Government allocated Customs additional resources in the 2003/04 budget. This was reflected in last year’s Statement of Intent which set out an ambitious work programme designed to improve our ability to meet international border security expectations and to combat transnational criminal activity. In 2003/04 significant progress was made towards securing the passage through Parliament of the Border Security Bill, developing and implementing a Supply Chain Security initiative to provide security assurance over exports and cargo in to and out of New Zealand, implementing Customs’ Drug Enforcement Strategy, and improving Customs’ international engagement. In 2004/05, the focus will be on the full implementation of these initiatives, and on a new initiative to improve our capability in the air and marine environments.
Source: Statistics New Zealand 2003 calendar year international visitor statistics
In the past 12 months, Customs has successfully progressed these initiatives without significantly disrupting its ongoing business. Last year Customs collected more than $7.2 billion on behalf of the Crown, while at the same time dealing with increasing volumes of goods, people and craft crossing our borders. New Zealand is an increasingly popular destination for tourists from all over the world, with 297,280 international visitors arriving in December 2003 — a 12 percent increase on December 2002, and the highest monthly figure ever recorded. In addition, our growing economy means growing trade volumes. Volume-based cost recovery is one way that we are able to manage the risk of future growth undermining levels of investment and the maintenance of a desired level of Customs activity at the border.
Customs is developing a new Vision statement which will reflect our determination to lift our sights towards outcome-based goals.
Customs has responded to the challenges posed by a significantly changed external environment. The key initiatives were designed to help us face the increased level and breadth of risk, and the progress made last year gives me confidence that we will succeed in giving effect to the strategic direction outlined in this Statement of Intent.
John Secker
Acting Chief Executive