The Customs Service will receive a state-of-the-art computer system for the new Millennium.

And it will mean a host of benefits for importers, agents, Government and the general public in that administration processes will be made more efficient.

The introduction of the approximately $3 million worth of equipment is just part of Government's "wide ranging'' initiative to modernise Customs clearance procedures for the 21st Century, improving revenue collection and drug interdiction also.

Finance Minister Eugene Cox announced the development in a press conference yesterday and called it "the most comprehensive reform project ever undertaken by the department''.

And Collector of Customs Bill LeDrew explained that the new system would "reduce the amount of paperwork'' in Customs administration to such an extent that "decisions about goods being imported will be able to be made before they've even arrived on the Island''.

"In fact it will mean that, when a container arrives at the docks, it can just be offloaded straight onto the truck and taken to where its going,'' Mr.

LeDrew said.

"It will also reduce the amount of people tied up doing paperwork and allow more officers to go out to work in stopping drug smuggling or other important areas like that.'' Mr. Cox also said there would be a comprehensive streamlining of importing processes and revisions to the Revenue and Customs Tariff Act to support the new processes.

But the basis of the reform rested around the new computer system or the Customs Automated Processing System (CAPS).

He said: "This new development, which was managed by KPMG Management Consulting UK and whose software was designed by Grosvenor International Systems UK, will mean an end to time consuming, labour intensive and expensive paper-based procedures now in effect.'' Asked why such a system had been so long in coming, Mr. LeDrew said: "To be honest this system is probably overdue. But it does mean we'll be able to make a leap from using technology from the 1980s to technology from the year 2000 so I think we'll have an advantage from that.'' Mr. Cox added that he felt bringing the system in now, when students were much more computer literate, meant the Island was "very well positioned to taking advantage of such technology''.

Assistant Collector of Customs Lynne Snee explained that the Customs Department had been reviewing its procedures and processes since last February in order to prepare for the installation of CAPS.

Mr. Cox noted benefits of automation would affect importers and agents in that they would mean a faster release of goods, a reduced amount of paperwork, reduced costs to clear goods and better, more consistent service.

He added that Government would gain through a more efficient system of revenue collection, better use of staff, improved drug interdiction and more reliable trade statistics.

"The CAPS system is a very practical application of electronic commerce,'' Mr. Cox said. "It will allow the Customs Department, the merchant community and the public of Bermuda to benefit directly from the extraordinary advances made in information technology during the past few years.'' He emphasised that Government was keen to "provide a forum for individual companies and organisations' input into the many policy and process changes''.

"In this regard, I am pleased to announce the formation of the CAPS Consultative Committee, members of which will include representatives from the Chamber of Commerce, small business, the transportation industry and various departments of Government, including the Ministry of Finance, the Accountant General and Agriculture and Fisheries,'' Mr. Cox said.

He added that he was "extremely pleased and excited'' about the initiative.