Benefits of AEO Authorisations
There are two kinds of AEO authorisations, of which the company can choose the most suitable. Different authorisations have their own requirements and benefits. An AEO can also have a combined authorisation.
- AEOC (Customs simplifications, simplified procedures)
- AEOS (Security and Safety)
- AEOF (Full, combined authorisation, i.e. AEOC+AEOS)
AEOC authorisation – simplified procedures
The AEOC authorisation is intended for companies that wish to obtain simplifications for their customs procedures. AEOC is a prerequisite for certain simplification authorisations, such as the authorisations for centralised clearance and self-assessment, as well as for the authorisation to lodge a customs declaration with an entry in the declarant’s records (exemption from presentation).
The AEOC operator receives for example the following benefits:
- swifter processing of authorisation applications, e.g. concerning authorisations for simplified declaration procedure and transit procedure
- fewer physical and document-based checks on imports and exports
- a reduced comprehensive guarantee or a comprehensive guarantee waiver
AEOS authorisation – security and safety
The AEOS authorisation is intended for companies wishing to contribute to the security of supply chains and to facilitate their customs controls when goods enter or exit the customs territory of the Union (entry and exit declarations).
The AEOS authorisation suits, for example, transport companies and representatives of maritime shipping companies.
The AEOS operator receives for example the following benefits:
- fewer details in their security and safety declarations
- benefits when trading with countries outside the EU that mutually have recognised the AEO status (MRA partner countries)
Example: When the AEOS authorised company lodges an entry declaration into the Union, Customs may, prior to the entry of the goods into the customs territory of the EU, notify that the consignment has been selected for a physical check on the basis of a risk analysis. This will allow the company to better anticipate the consignment and prepare for the inspection.
Combined authorisation AEOF
The holder of a combined authorisation is entitled to the benefits of both the AEOC and the AEOS authorisations.
The AEO authorisation brings companies great benefits even with non-EU countries via the so-called MRAs. This means that the MRA country outside the EU recognises the status of the AEO and grants benefits to the company. The AEO receives e.g. a lower risk assessment in the contracting country, smoother transports for their goods and less goods examinations. To receive such benefits, the company must have an AEOS authorisation.
When applying for AEOS status, the company must accept that certain information can be exchanged between the EU and the other contracting country. With the exchange of information, customs authorities from different countries are able to ensure that the company has AEOS authorisation.
The following information about the company can be disclosed to the MRA parties:
- name and address of the company
- validity and date of entry into force of the authorisation
- suspensions and revocations of the authorisation
- The EORI number and identification number of the AEO authorisation
To receive MRA benefits, the AEOS must provide their AEO identification number in the import declaration to the country of destination. The identification number may look different in different countries. Customs in the country of destination checks the validity of the identification number in the EU’s database.
The WCO and the EU are constantly looking for additional benefits for AEOs in the international environment. The reciprocity (MRA) is recognised for the following countries: Moldova, USA, China, Japan, the United Kingdom, Norway and Switzerland.