A E O EU Mutual Recognition
The European Commission have issued their first draft of the negotiation document. You can read it here. This is the EU draft of how they see the future new partnership with the UK and is subject to negotiation. Our update here focuses on AEO. There are 1071 AEO operators in the UK keen to know if their status will be recognised in the EU beyond 2020. For more information about AEO and our tips see our article here.
This EU draft makes direct reference to Authorised Economic Operator status in the Customs section.The draft was sent to the UK for consideration however the UK draft has not been published yet.
Negotiations between the EU and UK continue.When questioned UK Prime Minister Johnson made clear on 18 March that “Brexit is done” and made no indication that an extension to the transition period will be required resulting from the pandemic. MIchel Barnier EU Brexit Negotiator has been diagnosed COVID-19 positive and David Frost, UK equivalent is self-isolating after showing mild symptoms.
Authorised Economic Operators – Proposed Criteria
The Customs Article of the draft document calls for the establishment of an AEO program and sets out the proposed criteria in familiar terms in line with the Union Customs Code. The EU call for each side to establish or maintain an AEO program.
The criteria for AEO in 2021 are listed as;
- absence of serious infringements of Customs legislation.
- demonstrating a high level of control of operations.
- financial solvency.
- professional competency.
- appropriate levels of safety and security.
These criteria are the same as the current EU AEO program.
Authorised Economic Operators – Benefits
AEO benefits are set out for post 2020 in line with the current EU AEO program, including:
- Fewer physical and documentary controls
- Prior notification of customs controls
- Priority treatment if selected for controls
We wrote about our AEO Top Tips here.
AEO – Next Steps
As negotiations continue we will continue to monitor the status of AEO and provide further updates. For businesses concerned about their AEO Status Clearlight Customs provide a full range of AEO services and will be pleased to advise. Contact us here for further information.