Our MOL Logistics office based in London, UK has taken the next step in servicing their customers. The office achieved the official AEO certificate! The so called Customs Simplification authorization (AEOC) is effective from July 25th 2018. MOL Logistics UK is now responsible for maintaining the applicable AEO standards and for informing HMRC (HM Revenue and Customs) on any changes.
What is an AEO certification?
The AEO status is an internationally recognized quality mark regarding customs. It indicates that your role in the international supply chain is secure. It also implies that your customs controls and procedures are efficient and compliant. It’s not mandatory, but it gives quicker access to certain simplified customs procedures. In some cases it gives the right to ‘fast-track’ your shipments through some customs and safety and security procedures.
What types of AEO are there?
You can apply for AEO status for customs simplification (AEOC), AEO status for security and safety (AEOS) or both.
What kind of benefits are there for companies?
If you hold an AEOC status like MOL Logistics UK, you could benefit from a faster application process for customs simplifications and authorizations. Also reductions or waivers of comprehensive guarantees can benefit you.
AEO in the EU
The AEO status is for businesses that are established in the EU. They should be actively involved in customs operations and international trade. To get the status, the business should have an Economic Operator Registration and Identification (EORI) number. The EU has concluded and implemented Mutual Recognition of AEO programmes with Norway, Switzerland, Japan, Andorra, the US and China. Further negotiations are currently taking place or will be launched in the near future with the other most important trading partners. In addition, the EU is providing technical assistance to a number of countries to prepare them to set up AEO programmes.
How many businesses are AEO certified?
In the European Union, there is a central AEO database. This allows anyone to check who holds an AEO status, what type it is, and the date and country of issue. You can find below the number of AEO certifications for the countries in which MOL Logistics holds an office (August 2018).
Growth in safety and traffic
In addition to the development in the field of safety, goods traffic also continues to grow. In order to prevent the goods flow from crashing, Customs must respond to this. Safety and volume growth force us to adopt a different approach. There is a desire from the business community to give a competitive edge with new concepts. The focus is on fewer administrative burdens and a reliable, efficient and fast customs clearance. The AEO concept helps to realize this.