As part of a coordinated approach to secure international trade the European Union (EU) is introducing rigorous new procedures aimed at improving supply chain security. The changes will affect almost every aspect of any business that buys, sells or moves goods into or out of the EU. The Authorised Economic Operator (AEO) regime will introduce an EU-wide accreditation scheme. Businesses that want to meet the AEO requirements need to start preparing now for the necessary changes to systems, supply chains, buyer and seller relationships and customs procedures.

What is AEO?
AEO status is an accreditation regime to prove supply chain compliance. The AEO regulation encourages companies to increase security, in exchange for incentives which will improve the efficiency of the supply chain and ultimately reduce costs. The incentives include, for instance, fewer physical border controls, easier reporting, a reduced customs risk rating and priority treatment for goods selected for examination. Obviously, no such incentives will apply to non-AEO businesses.

In adopting the AEO regime, the EU is aligning with similar measures introduced by other countries which apply rigorous border controls for non-partner consignments, including the US. Bilateral discussions have also been announced with countries including the US,  Japan, China and EFTA countries.

AEO will impact on many aspects of your business, such as logistics, finance, IT systems and legal.

Download our publication, Authorised Economic Operator: New moves ahead for UK manufacturers (PDF, 112 KB)