Features of transportation of precious metals, ores and concentrates.

22/12/2022
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Aldabergen Maksat Abunasyruly
Ashikeev Nursultan Zhilkeldievich
Research

In this article we have considered aspects of the movement and legislative regulation of precious metals. They gave their recommendations for optimizing not only the logistics chain of this process, but also improving the information flow of the state in relation to legislative regulation.

In this article we have considered aspects of the movement and legislative regulation of precious metals. They gave their recommendations for optimizing not only the logistics chain of this process, but also improving the information flow of the state in relation to legislative regulation.

Keywords: precious stones, customs authorities, logistics, license, supply chain management, foreign economic activity, EAEU, smuggling, paperwork, precious stones, customs authorities, logistics, license, supply chain management, foreign economic activity, EAEU, smuggling, paperwork

Precious metals have always been the object of close attention of states, collectors, smugglers and many others. They are gifted with this attention because they are very rare in nature. In nature, precious metals are almost always found in a free (native) state. In this regard, control over their extraction and transportation is quite often a problematic issue in many countries, and therefore a large number cannot be processed in time or encrusted in technology of global importance.

The Kyrgyz Republic, being a state dominated by mountain chains, is rich in deposits of noble (precious), non-ferrous and rare metals. The mining industry is one of the leading sectors of the economy, and precious metals are of particular value to the state. No less important value is provided by the process of movement of precious metals from the point of view of logistics and economics.

All cargo transportation of precious metals in the country is regulated by regulatory legal acts of the Kyrgyz Republic, where an important link is played by the Order of export from the territory of the Kyrgyz Republic and import into the territory of the Kyrgyz Republic of ores, concentrates and waste containing precious metals and related recoverable metals from September 14, 2017. Regulation and movement of precious metals are the objects of the Criminal and Administrative Code.

These and other regulations regulate such logistics links in the handling of precious metals and stones as:

  • mining;
  • transportation and storage;
  • processing and recycling;
  • distribution and marketing.

The cross-border movement of precious metals is of particular importance and requires close attention both from the state, represented by customs authorities, and from the participants of foreign economic activity. The movement of precious stones across the state border is subject to special state control, since the object of movement is of special value [1].

An important role in the customs clearance of goods and customs procedures is provided by the transport on which the cargo is transported. Let's consider the process of customs clearance from the moment of filing the declaration for goods (DT) to the customs authority without reference to the place of registration and without considering certain types of goods.

The basis for the application of a permit document for precious stones will be:

  1. Decision of the EEC Board No. 30 dated 21.04.2015 "On Regulatory legal acts in the field of non-tariff regulation". Section 2.10 of the unified list (precious metals and commodities containing precious metals);
  2. Resolution of the Government of the Kyrgyz Republic No. 156 dated April 20, 2021 "On Approval of the List of Expert Organizations for Issuing Expert Opinions and Authorized Bodies for Issuing Permits for the Export and Import of Goods Included in the Unified List of Goods to Which Non-Tariff Regulation Measures are Applied in Trade with Third Countries, and Amendments to Some Decisions The Government of the Kyrgyz Republic in the field of non-tariff regulation";
  3. Laws of the Kyrgyz Republic "On State regulation of foreign Trade activity", "On Licensing and Licensing system in the Kyrgyz Republic" and "On Export Control";

The final authorization document for foreign economic activity in the field of precious metals is a license issued by the Ministry of Economy and Commerce of the Kyrgyz Republic. Another necessary document is the certificate of origin. The final stage after the submission of the DT is the verification of funds for payment of customs duties.

It is worth noting that from a logistical point of view, the process of registration and document management itself can significantly reduce the efficiency of the supply chain, if we consider the transportation of precious metals as one of its links.

It is also important that difficulties with the transportation of precious metals arise due to the specifics of the EAEU regulatory legislation, gaps in the interpretation of a number of terms and significant differences from the international classification. In recent years, the number of offenses related to the illegal export of precious metals from the Kyrgyz Republic has sharply increased, which negatively affects this area.

It is becoming increasingly important to strengthen the forms and methods of customs control of precious metals transported across the customs border of the Customs Union, the search and timely application of new technologies for the detection and identification of certain types of precious metals and precious stones in transported luggage [3].

It is important to combat the smuggling of products and other cultural values made of precious metals. This regulation could complement the technical regulations of instrument diagnostics.

Summing up the results of this article, the transportation of precious metals according to the legislation of the Kyrgyz Republic was considered, touching upon other subtleties of the bureaucratic component, as well as the proposed recommendations and the expected result of these introductions, which optimizes the logistics chain at the stage of transportation, which will significantly affect these logistics operations and the exclusion of the smuggling sphere arising in the presence of precious metals.

Based on the above, we can assume that the investigation of criminal cases of crimes related to the illegal (shadow) turnover of precious metals and stones requires special training of customs officers and the introduction of specialization in their training course.

Simplification of license registration procedures significantly reduce the total cost of customs documentation. At this stage, a complete introduction to the electronic document management system is recommended, which will have a positive impact on all hidden aspects of customs documentation.

The need for bilateral cooperation between state regulatory bodies and the business community of entrepreneurs, which will be based on the principles of openness, honesty and responsibility. Timely provision of reports on exported quantities of precious metals outside the state.

It is also important to note that within the unstable economic situation in the world, monitoring of the legislative regulation of precious metals is necessary. This contributes to a timely solution and more efficient construction of the supply chain.

List of literature

  1. Kalyabina K.I. Movement of precious stones across the customs border // In the collection: Current issues of education and science. Collection of scientific papers based on the materials of the international scientific and practical conference. - 2018. – pp. 72-74
  2. Tarasova N.A., Bezrukova O.A. Improving the mechanism and procedure for the movement of precious metals and precious stones across the customs border of the Customs Union // In the book: Regions of the EAEU countries in the conditions of modern transformations. Collection of materials of the international scientific and practical conference. Responsible editor V.I. Tarasov. – 2017. – pp. 79-85.
  3. http://mineconom.gov.kg/ru - Website of the Ministry of Economy and Commerce.
  4. https://online.zakon.kz/Document/?doc_id=32462876&pos=3;-106#pos=3;-106
  5. https://metalspace.ru/education-career/education/referat/645-blagorodnye-metally.html