AEO (Authorized Economic Operator Status)

Authorised Economic Operator, or AEO, is an internationally recognised quality certificate that indicates that your role in the supply chain is secure, efficient and customs compliant.  The introduction of Authorized Economic Operator Status (AEO) is one of the biggest changes to Customs processes in the EU, and as such, should be considered carefully by all companies involved in international trade.

What is the implementation date for the AEO programme?
January 2008.

What impact will the AEO programme have on operators?
The EU AEO programme is one part of a worldwide initiative to secure the "Global Supply Chain". As trade is vital to economic development, steps taken to secure global trade must not undermine legitimate trade flows and equal steps must be taken to facilitate legitimate trade in every way possible. The AEO Programme is targeted at compliant operators who meet certain criteria who will then benefit where applicable, from facilitations with regard to customs controls and the use of simplifications provided for under the customs rules. While the legitimate movement of goods by non-AEO's should not be slowed, this cannot be guaranteed.

What are the benefits of AEO status?
AEOs will be recognised worldwide as safe, secure and compliant business partners in international trade

• AEOs will be given a lower risk score in risk analysis systems when profiling
• Reduced levels of risk controls
• If physical controls are to be conducted AEO's will be given priority treatment
• Mutual recognition of AEO programmes under Joint Customs Co-operation Agreements could result in faster movement of AEO goods through third country borders
• Reduced data sets for entry and exit summary declarations - for AEO safety and security
• AEOs will be in a stronger position to benefit from simplified procedures.

Who can apply for AEO status?
Application for AEO status will be open to all links in the global supply chain, i.e. manufacturers, exporters, freight forwarders, warehouse-keepers, clearance agents, carriers and importers.

What are the criteria to be satisfied by applicants applying for AEO status?
There are four blocks of criteria which must be satisfied and they are as follows:

• Record of Compliance with Customs Requirements
• Customs Control Systems
• Financial Solvency
• Security and Safety Systems

How long will the AEO authorisation be valid for?
There is no expiry date on authorisations. Authorisations will be subject to review if there is a significant change in the traders business or if there is a change in EU legislation which could effect an authorisation. Please contact us at Grosvenor for further information.

 

→ Enquire about AEO (Authorized Economic Operator Status)