Since the Trade Automation Act was enacted in 1991, the Ministry of Knowledge Economy and the KITA have conducted a project to automate export-import affairs for each process such as review of L/C conditions, customs clearance, and logistics. As a result, the customs clearance services were transformed 100% to electronic systems, thereby automating office work, reducing documentation and cutting overhead costs.
However, the automated trade network based on the VAN/EDI network, was proven limitation in terms of bringing innovation to the overall trade processes and providing seamless connectivity between various institutions. In addition, as Korea's trade achieved rapid growth with its trade volume surging to 700 billion dollars in 2007 from a mere 500 million dollars in 1964, the complexity of business process and strengthening export competitiveness have become the nation's key objectives to solve.
Accordingly, the Initiative to construct an Internet-based e-Trade service was enacted in order to revamp the current trade automation network. While the existing VAN/EDI-based trade automation services provided separate services through a one-on-one connectivity between trading companies and various related institutions, the e-Trade service linked by the Internet-based open network integrates scattered services through an N:N linkage. Further, by providing added functions including the storage, dispatch and receipt of original documents, this service has successfully upgraded every step of the trade process by preventing repetitive tasks and streamlining the overall business procedure.