After an exhaustive audit, our Barcelona office has achieved AEO (Authorized Economic Operator) Certification, which is a status that the European Union grants to those trusted community economic operators concerning customs matters. However, what are the advantages for our clients and why is it important to work with an Authorized Economic Operator? Here we tell you everything you need to know.
What is an Authorized Economic Operator?
The Union Customs Code (UCC) was introduced across the EU in 2016 and constitutes a framework for relations between customs and AEOs in foreign trade. In Article 5 of the UCC, a trusted operator is defined as an “economic operator who, in the context of his or her customs operations, is considered reliable and therefore has the right to enjoy various benefits throughout the EU.”
To achieve certification, a series of criteria must be met, such as correct compliance with customs legislation and tax regulations, a high level of control in operations, the flow of goods, accredited financial solvency and an adequate level of professional competence.
Each type of authorization provides a series of direct and indirect advantages for the operator that allows our clients’ orders to be carried out more quickly and at a lower cost.
Being the holder of an AEO certificate, Transped benefits from different advantages linked to the statute: the authorization to benefit from customs simplification (AEOC) as well as making use of facilities related to customs controls and protection and security when the goods enter the customs territory of the European Union or depart (AEOS). Authorizations, in addition to making it easier to benefit from simplified customs procedures, also translate into a series of specific rights and means that operations can be carried out by reducing costs and time:
– More favorable treatment than other operators in customs controls, which means a reduction in the number of physical and documentary controls. However, a distinction must be made between controls related to safety and security and controls related to the application of customs legislation.
– Prior notification in case of being selected for customs control and priority treatment in case of an inspection, which translates into better planning and minimizes logistical delays.
– Possibility of carrying out inspections in a specific place.
– Facilities in relation to pre-departure declarations.
There are other indirect advantages for Transped in possessing an AEO certification that, although not established in the legislation, are no less important. The certificate increases Transped’s reputation in the sector and considerably improves our relations with customs administrations and government authorities. Greater transparency in the supply chain and optimal levels of protection and security allow us to provide a better service to our customers and not to mention a considerable reduction in incidents.
The AEO statute originates from the SAFE Regulatory Framework of the World Customs Organization and is not limited to the scope of the European Union. It is an international figure recognized by all countries that have implemented this program.
As a freight forwarder, Transped carries out its import and export operations across the globe. Many of our trading partners are located outside the European Union who also have adopted AEO programs, the AEO figure is already a reality in global logistics. Many of our economic operators and partners in Asia, the United States, Canada, and Latin America have implemented the legislative specifications of the SAFE program that incorporates the AEOs.
Once AEO Certification has been obtained, economic operators must guarantee the maintenance of all audited criteria and communicate any relevant changes to the AEO Subdirectorate. At Transped, we ensure that all employees are able to interpret the general procedures of the AEO and that all security measures are applied.