Printable Version Increased benefits with AEO status


Background
An economic operator is an entity such as a manufacturer, importer, exporter, customs broker, carrier, etc which is established in the EU. Any economic operator involved in activities covered by customs legislation may apply for AEO accreditation.

Increased benefits with the AEO status
The AEO program will establish a balance between increasing security requirements and facilitation for compliant traders. Once certified, entities trading with the AEO status will be able to obtain facilitations in respect of security measures and easier admission to simplifications provided under the EU customs rules such as:

  • Reduced data set for summary entry/exit declarations
  • May get prior notification if consignment is selected for control
  • Fewer physical and document-based controls;
  • Priority treatment of consignments if selected for control;
  • Choice of the place of controls;
  • Easier access to certain customs simplified procedures;
  • Good cooperation with customs;

The AEO status obtained in France, Finland and Hungary benefits from mutual recognition by the other EU Member States. As this status will demonstrate certain quality standards, we may expect that in the future, many companies will prefer to work only with AEO certified entities. FedEx has received the full certification in France, Finland and Hungary which encompass both Security and Customs certificates and is undergoing necessary customs audits for other EU member states.

Should my company apply?
If you selected FedEx to carry your goods but decide to do your own exports clearance with customs, your company may benefit in taking immediate steps and comply with AEO status as of July 2009 when new freight security measures will be implemented in the EU. In any case, we recommend that you visit the referenced website to assess if you need to take any actions. Please note that there is no legal obligation for any economic operator to qualify as an AEO nor is there any legal obligation for business partners of an AEO to obtain AEO status.

The AEO concept is in line with the World Customs Organization's SAFE “Framework of Standards to Secure and Facilitate Global Trade”.  Other regions in the world are going through similar initiatives such as the C-TPAT Customs Trade Partnership Against Terrorism in the United States or the Partners In Protection (PIP) and Free And Secure Trade (FAST) for Canada. The aim of the European Commission is to negotiate with major trading countries to obtain mutual recognition between the EU’s AEO certification and its equivalent in those countries.

Frequently Asked Questions

How does one apply for the AEO status?
The EU Commission and the Member States have approved and published an AEO application form which can be found in Annex I to Regulation 1875/2006.
The completion of this AEO application form is often not sufficient to obtain the AEO status. Therefore it is recommended that each applicant fills out the AEO self assessment questionnaire prior to applying.

Where can I apply to the AEO status?
The economic operator needs to apply:

  • in the country where the main accounts related to the customs arrangements involved are held and part of the operations are conducted; or
  • in the country where the main accounts are accessible and where the general logistical management activities take place and part of the operations are conducted.

Are there different AEO certificates?

  • AEOC (Customs AEO Certificate): the economic operator needs to comply with articles 14h, 14i and 14j of the Customs Code Implementing Regulation (as inserted by Regulation 1875/2006);
  • AEOS (Security AEO Certificate): the economic operator needs to comply with articles 14h, 14i (except 14i(c)), 14j and 14k of the Implementing Regulation (as inserted by Regulation 1875/2006);
  • AEOF (Full AEO Certificate – Customs and Security): the economic operator needs to comply with articles 14h, 14i, 14j and 14k of the Implementing Regulation (as inserted by Regulation 1875/2006).

What are the conditions and criteria to be granted an AEO certificate?

The Member States will grant AEO certificate on several criteria such as

  • Company information
  • Company Customs Compliance record
  • Company’s accounting and logistical system
  • Company financial solvency
  • Company Safety and security risk management and plans

Where can i find more information about AEO?
The EU Commission has published Customs and Security related information on their “Europa” - website under the following link: http://ec.europa.eu/taxation_customs/customs/policy_issues/customs_security/index_en.htm