Factors affecting Customs Performance at Lunga Lunga One Stop Border Post

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Date

2020

Authors

Cheruiyot, Dennis Kiprono ; Mumia Benn MINCU, CPA.K

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Journal ISSN

Volume Title

Publisher

KESRA/JKUAT - Unpublished research project

Abstract

One of the most important aspects in promoting the cross-border trade has been removal of all barriers and pushing for less restrictive borders such as One Stop Border Post (OSBP). One of these critical border points is the Lunga Lunga border post, it is among the main transit points for goods destined to Tanzania from the Kenyan port of Mombasa. As a result, this study sought to establish factors affecting customs performance at Lunga Lunga OSBP. To achieve the objective of this study, the study will be guided by the main objective to determine factors affecting customs performance at Lunga Lunga OSBP. To accomplish this, the following specific objectives were used in providing guidance for the study; To find out effects of standardized and harmonized procedures on customs performance at Lunga Lunga OSBP, to investigate the effects of infrastructure on customs performance at Lunga Lunga OSBP and to examine the effects of Inter-agency cooperation on customs performance at Lunga Lunga OSBP. The study relied on three theories to review the variables, these theories included; Resource based theory, social rule theory and Technology Acceptance Model. The study used descriptive research design, the population of the study was 105 respondents and consisted of Customs Officers and Customs Clearing agents at the Lunga Lunga OSBP. A stratified random sampling was adopted and sample of 84 respondents from the three population strata. The study relied on primary data, which was collected using a structured questionnaire which were dropped and picked after they were filled. Data analysis was conducted using the Statistical Package for the Social Sciences (SPSS25), descriptive statistics was presented using the tables where Measures of Central tendency and Measures of dispersion while inferential statistics which included correlation analysis and regression analysis and the statistical findings were presented in tables. The response rate for this study was 72.6%. The findings revealed that the independent variables explained 61.4% of the dependent variable. A strong correlation was observed between all independent variables under the study with the dependent variable with standardized procedures having r= 0.641, infrastructure having r=0667 while Inter-agency cooperation r= 0.634. The finding from regression analysis show that standardized and harmonized procedures affected customs performance by 24.8%, infrastructure affected customs performance by 26.6% by while inter-agency cooperation affected customs performance by 22.8%. The study recommends; Increase standardized procedures at the border between the two countries to reduce time and costs incurred at OSBPs, increase infrastructure at the OSBP through cooperation of the customs administrations cooperation so as to increase facilities required in handling both passengers and cargo in the OSBP. Increased coordination and integration of border agencies and other state agencies at borders to reduce role duplication hence facilitating legitimate trade at OSBPs. Further study is also recommended on other factors like human resource factors which also affect the customs performance.

Description

PROJ 353 CHE

Keywords

Customs performance, Lunga Lunga, One Stop Border Post (OSBP), Single Window, Risk management

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