What does applying for AEO status mean
The decision to apply for Authorised Economic Operator (AEO) status should be based on whether doing so would benefit the business when compared to the costs of applying for, and maintaining, the standard.
Changes introduced in 2016 mean that a guarantee has to be lodged if a business wants to use any Customs’ facilitation schemes, unless the business can demonstrate it operates to AEO standard.
Changes imposed as part of the Union Customs Code mean that businesses holding or wishing to apply for Customs simplifications need to consider whether to seek AEO status. These circumstances include:
- Businesses looking to apply for a Customs special procedure, such as inward processing, Customs warehouse and temporary storage
- A business wishing to apply for a single authorisation across more than one member state
- Any business that wants self-assessment and centralised clearance
Having AEO standards in place means the following for businesses:
- The ability to fast track through Customs controls, meaning you will be prioritised over non-AEOs if selected for examination
- Permission to use a reduced data set when supplying entry or exit or entry summary declarations, and includes carriers and freight forwarders
- Worldwide recognition - over 70 countries are included in the AEO initiative, which would give your business the chance to expand into new territories
If you think your business may be affected by the implementation of AEO, contact The Customs People today to discuss your circumstances. Call us on 0161 82 68 926.