Authorized Economic Operator
 

What is an ‘Authorized Economic Operator’?

An ‘Authorized Economic Operator’ is a business factor which is examined by the customs authorities, which has been certified, along with its chain of commerce, as complying with the established criteria for participating in the program. As a result, the customs authorities helps facilitate international trade processes for the economic operator.

 

Tax Reductions

Businesses which are certified by the program and which will apply security measures as stipulated in the program will enjoy greater efficiency in running their supply chain, will reduce the change of theft and, according to studies conducted around the world, will also increase their profit.

Furthermore, operators certified by the program will be recognized as credible customs partners and will enjoy tax reductions such as

  • Reductions and easing of customs checks (import & export)
  • Application of early release (examining the documents before the goods physically arrive)
  • The customs process will be electronic, non-paper.
  • Priority will be given when recovering from emergencies.
  • A specific contact in customs’ administration.
  • Exemption of an import declaration.

 

Additional procedural benefits:

  • Option to provide customs checks in the importer’s facilities
  • Prioritization of certified operators.
  • Easing of certification-renewal procedures according to audit results.

 

The certified operator will be entitled to reduced-scope audits and expedited release-dates for imported and exported good, when bi-lateral recognition agreements are signed by customs authorities around the globe.

  • The following are the issues which will be reviewed during the security check:
  • Security awareness (policy and training)
  • Information security – access restriction and information availability
  • Security of shipping containers and cargo
  • Shipping security
  • Building / yard security (physical security, entrance control)
  • Employee security (employee hiring, employee credibility)
  • Trade partners security

 

 

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