Authorised Economic Operators (AEO):
The Central Board of Indirect Taxes & Customs (CBIC) has inaugurated the online filing of Authorised Economic Operators (AEO) applications.
- The web application is designed to ensure continuous real-time and digital monitoring of physically filed AEO applications for timely intervention and expedience.
- AbAEO is a programme (2007) under the aegis of the World Customs Organization (WCO) SAFE Framework of Standards to secure and facilitate global trade.
- It aims to enhance international supply chain security and facilitate the movement of goods.
- Under this, an entity engaged in international trade is approved by WCO as compliant with supply chain security standards and granted AEO status.
- An entity with an AEO status is considered a ‘secure’ trader and a reliable trading partner.
- Benefits of AEO status include expedited clearance times, fewer examinations, improved security and communication between supply chain partners.
- AEO is a voluntary programme.
Indian AEO Programme:
- The AEO Programme was introduced as a pilot project in 2011.
- The security standards detailed in WCO SAFE Framework are the basis of the Indian AEO programme.
- There is a three tier AEO Status for Exporters and Importers.
- The three tiers are AEO T1, AEO T2, AEO T3, where AEO T3 is the highest level of accreditation.