Malawi, SA sign digital customs deal

Malawi and South Africa partner to deal with digital trade fraud.
Malawi and South Africa partner to deal with digital trade fraud.

The Malawi Revenue Authority (MRA) has signed a digital customs data-sharing agreement with the South African Revenue Service (SARS) to strengthen revenue collection and improve monitoring of imports worth approximately $3 billion annually between the two countries.

According to MRA, the IT Connectivity Implementation Arrangement establishes a secure electronic platform for the exchange of customs information, enabling the two revenue authorities to share real-time data to detect fraud, speed up cargo clearance and improve compliance.

The agreement also advances implementation of the Customs Mutual Administrative Assistance Agreement (CMAA), a government-to-government framework negotiated in 2019 that provides the legal basis for exchanging customs information.

Felix Tambulasi, commissioner general of the MRA said the digital interface will enhance the detection of customs offences such as undervaluation, duty evasion, and VAT fraud while strengthening risk management systems and protecting government revenue.

South Africa remains Malawi's second-largest source of imports, accounting for approximately 18% of the country's imports valued at $3 billion during the 2025/26 financial year, making seamless electronic data exchange critical to safeguarding public finances, added Tambulasi.

He stated that the initiative is aligned with the World Customs Organisation Data Model, an international standard designed to promote secure and efficient customs information sharing across borders.

The electronic connectivity will replace slower manual information exchange processes with a secure digital platform capable of supporting intelligence-led customs operations and faster verification of trade transactions, said the MRA.

Dr Ngobani Johnstone Makhubu, commissioner of SARS said data-driven customs management is essential for improving compliance, facilitating legitimate trade, and increasing revenue collection, describing the arrangement as an important milestone in strengthening cooperation between the two revenue administrations. 

The two institutions have also agreed to fast-track implementation of the electronic interface while reviewing the CMAA and the existing Memorandum of Cooperation to reinforce the legal framework for tackling customs fraud and emerging tax challenges.

According to MRA, support for the initiative was provided by TradeMark Africa, which facilitated the Malawi delegation's participation in the signing ceremony and continues to assist with the implementation of the cross-border electronic customs interface between the two revenue authorities.

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