Erbil and Baghdad Reach Technical Agreement on ASYCUDA Customs System

The deal paves the way for unified customs procedures and eventual removal of internal checkpoints between the Kurdistan Region and the rest of Iraq

GOI, L, and KRG logos. (Graphic: Kurdistan24)
GOI, L, and KRG logos. (Graphic: Kurdistan24)

ERBIL (Kurdistan24) — The Kurdistan Regional Government (KRG) and the Iraqi federal government have reached an agreement on all technical aspects of implementing the ASYCUDA customs management system, marking a significant step toward unifying customs procedures and streamlining trade across Iraq.

A source familiar with the discussions told Kurdistan24 on Thursday that representatives from Erbil and Baghdad concluded meetings in the Iraqi capital with an agreement covering the full range of technical details related to the ASYCUDA system and its application at the Kurdistan Region’s border crossings.

The agreement follows a visit by a KRG delegation to Baghdad on Wednesday for talks focused on introducing the digital customs platform at border facilities in the Kurdistan Region.

The move is part of broader efforts by Erbil and Baghdad to strengthen customs coordination, improve transparency, and facilitate the movement of goods between the Kurdistan Region and the rest of Iraq.

Earlier this week, Samer Qasim, head of Iraq’s General Customs Authority, told Kurdistan24 that there was full coordination and mutual understanding between the federal government and the Kurdistan Region regarding implementation of the system.

“We have complete coordination and good understanding with the Kurdistan Region on implementing the ASYCUDA system at the Region’s border centers,” Qasim said.

He noted that four customs checkpoints currently operate between the Kurdistan Region and Iraq’s central and southern provinces. According to Qasim, those measures were introduced as temporary arrangements to ensure fairness among traders while efforts continued to harmonize customs procedures.

Officials say the full implementation of the ASYCUDA platform is expected to eliminate the need for internal customs checkpoints and lead to the closure of unofficial crossing points, facilitating trade flows and reducing administrative burdens on businesses.

The system is also expected to strengthen oversight of customs declarations and financial transactions. Iraqi customs authorities have highlighted their role in combating money laundering and terrorism financing through enhanced monitoring and closer coordination with the Central Bank of Iraq.

Qasim previously explained that customs procedures have been integrated with advance customs declarations, helping authorities prevent the transfer of hard currency abroad without corresponding imports of legitimate goods.

Once operational, the digital platform is expected to significantly improve efficiency, allowing customs transactions to be completed within 24 hours and reducing delays at border crossings.

The ASYCUDA system, developed by the United Nations Conference on Trade and Development, is used in numerous countries worldwide to modernize customs administration, automate trade procedures, and improve oversight of cross-border commerce.

The latest agreement reflects ongoing cooperation between Erbil and Baghdad on economic and financial issues, including customs administration, revenue collection, and efforts to create a more transparent and integrated trade environment across Iraq.

Officials view the implementation of ASYCUDA as a key milestone in advancing economic coordination between the two governments and facilitating commercial activity throughout the country.