Customs Starts Implementation of AEO

BY FUNMI ALUKO

The Nigeria Customs Service (NCS) Wednesday announced the implementation of Authorized Economic Operators (AEO) designed to enhance the ease of doing business, especially for compliant stakeholders.

Speaking on the development, the Comptroller General of Customs (CGC), Bashir Adewale Adeniyi explained that important initiative comes with new standards in line with global best practices, which apart from promoting trade facilitation is also expected to ameliorate existing difficulties within the supply value chain and strengthen Nigeria’s position in the global trading community.

A statement to the effect signed by the NCS PRO, Abdullahi Maiwada, the CGC was quoted as saying that the benefits would be for all time.

The statement reads: “The Nigeria Customs Service (NCS) in an attempt to intensify its effort to enhance the ease of doing business for compliant stakeholders, has commenced the implementation of Authorized Economic Operators (AEO) programme benefits for the first set of approved Importers, Exporters, SMEs, Customs Licensed Brokers and Logistics Operators; effective 2nd September 2024.

“This landmark initiative introduces new standards in line with global best practices, aiming to enhance trade facilitation, ameliorate existing difficulties within the supply chain and strengthen Nigeria’s position in the global trading community. These benefits will be administered continuously, contingent on the compliance of all selected participants with the programme’s provisions.

“It is pertinent to note that these inaugural participants were carefully chosen based on their outstanding compliance within the supply chain, following an exhaustive three-month AEO validation process designed to uphold the highest selection standards. Additionally, the AEO program is being implemented under the guidance of the World Customs Organisation (WCO), which has played a pivotal role by providing experts for capacity development, training, and supplying essential materials.”

According to the customs boss, while the programme will continue to enjoy the support of development partners, AEO designated consignments will be given preferential treatment as reward for compliance.

“Similarly, key partners such as the World Bank‘s Accelerating Revenue Mobilization Reforms (ARMOR) and various Customs administrations across the globe with emphasis on His Majesty’s Revenue and Customs (HMRC), South African Revenue Service (SARS) and Uganda Revenue Authority (URA) where benchmarking exercises were conducted, have significantly contributed to the success of this AEO initiative.

“As part of the programme, consignments belonging to the selected Authorized Economic Operators will receive preferential treatment, including Automatic PAAR Registration, Direct Green Lane Routing, Dedicated Relationship Manager, and AEO Branding.

“Upon the successful completion of the pilot phase and verification of ongoing compliance with all established provisions, participants will be awarded certificates formally recognising their status as Authorized Economic Operators. “Furthermore, this pilot phase will be operational across all ports, where valuable insights and learning will be gathered to enhance service delivery.”

While emphasizing the need for robust support from all stakeholders, including other government agencies (OGAs) and development partners to promote the success of this pilot test, the CGC said, “Collaboration is not just vital; it is essential for unlocking the full potential of the AEO programme, which promises to significantly streamline trade processes and elevate Nigeria’s standing in the global trade arena.

“The NCS remains unwavering in its commitment to promoting transparency, efficiency, and ease of doing business. The Service readily anticipates full-scale implementation of the AEO programme, further solidifying its dedication to fostering a seamless and secure trading environment for all Nigerians”, adding:

“The successful implementation of this pilot phase represents a key milestone in the Service’s pursuit of aligning with best practices towards efficient service delivery.”