and made cheaper.

A system has been devised to allow overseas exporters, Bermuda importers, the local banking community and Customs to link electronically.

This would remove the need for paperwork for handling cargo and assessing and paying Customs duty on imports.

And it would lead to faster, more accurate and cheaper cargo handling, Government said in a statement yestrerday.

Bermuda is in the forefront of countries adopting the Electronic Data Interchange (EDI) system.

The system is the result of a year-long project involving Government and the private sector.

It is hoped local companies will be able to use the system once a pilot project has been completed.

The initiative stemmed from a 1994 Chamber of Commerce seminar on EDI.

A few months later a committee was formed to pursue the idea. Those involved included Government's Computer Systems and Services Department, Online Ltd., Stevedoring Services, Bermuda Container Line, the Bank of Butterfield, ASB, Fast Forward Freight, Gorham's and Customs.

The group employed an American consultant, Sterling Software, to help design the system.

Finance Minister Grant Gibbons welcomed the venture, saying it demonstrated the benefits of Government working with the private sector.

"All those involved, from HM Customs to our customers, are hailing this as a big step forward,'' he said. "It enables faster, more accurate and cheaper cargo handling. Our new system is now being used as an example for other jurisdictions which wish to start similar ventures.'' Dr. Gibbons said Sterling Software's consultant, Hank Lavery, had cited Bermuda as an example of how to proceed in talks at major international EDI conferences in New Delhi and Mexico.

He added Mr. Lavery planned to publish an article about the Bermuda example in EDI World, a trade magazine.