SHANGHAI, Oct. 10 (SMM) - New custom pass mode in Shanghai Free Trade Zone was first applied to copper shipment from South Korea’s Ulsan on Wednesday, state media Xinhua News Agency reported.
The shipment of 499 tonnes of copper, valued at $3.59 million, was hauled into the zone by GKE (Shanghai) Metal Logistics Co. before customs clearance, as opposed to the regular practice of clearance before entry, according to the report.
The report quoted GKE (Shanghai)’s vice general manager Zhang Yaoting as saying that the new customs pass mode greatly quickens release of cargos, which is desired for risk management in commodity price volatility.
It is estimated that two or three days can be saved for clearance and entry with the new mode and logistics costs can be reduced by 10% on average.
Six companies in the Free Trade Zone have been approved to apply the new custom pass mode, which will be extended to more companies later on, according to the report.