Authorized Economic Operator
Authorised Economic Operator (AEO) Programme is one the unique international instrument been placed in the modern supply chain security standards between Customs and Business by the World Customs Organisation (WCO) Since 2005.
Benefits :
Bank Guarantee Exemption
Deferred Duty of payments
Self-declaration of SION under Para 4.07A of FTP 2015-20 for AEO Exporters in cases where SION is not notified.
Inclusion of Direct Port Entry for factory stuffed containers meant for export by AEOs for AEO T1, T2 AND T3.
Provision of Deferred Payment of duties – delinking duty payment and Customs clearance for AEO T2 and AEO T3
Benefits of Mutual Recognition Agreements with other Customs Administrations for AEO T2 and AEO T3.
Fast tracking of adjudications and refunds including IGST refunds and disbursal of drawback
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Who can Apply
Who Can Apply
Any business entity that is part of the international supply chain, involved in the cross- border movement of goods and required to fulfill obligations under the Customs law in India, only can apply for AEO status.
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Comparison Between types of AEO
Advantages in various AEO certifications
Benefits | AEO-T1 | AE0-T2 | AEO-T3 |
---|---|---|---|
Shorter cargo release time | Yes | Yes | Yes |
Direct Port Delivery (DPD) / or Direct Port Entry (DPE) | Yes | Yes | Yes |
ID to authorized personnel | Yes | Yes | Yes |
Separate space allocated in Custodian’s premises. | Yes | Yes | Yes |
Bank Guarantee requirement (BG) | 50% | 25% | NIL |
Investigations | 6 to 9 months | 6 months | 6 months |
E-mail regarding arrival/ departure of the vessel | Yes | Yes | Yes |
24/7 clearances on request at all sea ports and airports | Yes | Yes | Yes |
Waiver of seal verification/scrutiny of documents | No | Yes | Yes |
Out of charge/let export order without any scrutiny by the officers | No | Yes | Yes |
Front line of treatment for container scanning | No | Yes | No selection for scanning |
Facility of deferred payment of duty | No | Yes | Yes |
Disbursal of drawback amount | Regular | Within 72 hours of EGM submission |
Faster |
Assessment and/or Examination on priority | Yes | Yes | Yes |
Completion of Special Valuation Branch (‘SVB’) proceedings | Regular | Faster | Faster |
Facility to paste MRP stickers in their premises | No | Yes | Yes |
Post clearance audit | Regular | Onsite PCA will be conducted once in three years only, no regular PCA |
On Intelligence information |
Access to their consolidated import/export data through ICEGATE | No | Yes | Yes |
Facility of submitting paperless declarations with no supporting documents in physical form | No | Yes | Yes |
Client Relationship Manager”(CRM) at AC/DC level at all port | No | Yes | Yes |
Timeline/ Physical verification/ Validity
Benefits | AEO-T1 | AE0-T2 | AEO-T3 |
---|---|---|---|
Time required for issuance of the certificate | 1 month | 3 months | 3 months |
Physical verification | No | Yes | Yes |
Validity | 3 Years | 3 Years | 5 Years |