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36

Box 2.2. Mexico’s AEO Program

History:

2002: Certified Company Program (

Compañía Certificada

- CC). Limited trade facilitation

and no security requirements .

2009: Design of the NEEC (AEO of Mexico)

2011: Announcing the general rules for the NEEC

2012: Formal launch of the NEEC

Usually firms under CC Program became NEEC certified

Criteria:

Tax and Customs requirements: Proof of a record of trade activities for the past three

years and a good tax compliance track record. Usage of a digital invoicing system.

Security requirements: Safety of trucks and containers, personnel and process. Physical,

commercial partners, information and document security. Training and awareness on

safety and security, and incident management and investigation.

Certification:

Application: Complete application form and pay US$1,650 fee.

Verification: Desk review followed by on-site visit.

Authorization: Decision on the NEEC certification.

The certification process takes between six months to one year and valid for one year.

Benefits:

reduced physical inspections

expedited Customs clearance

green lane

administrative simplifications

customer relations management

Current situation:

# NEEC firms in 2014:

400 firms

1.4 percent of the total number of exporters,

40 percent of total exports,

43 percent of the total number of products,

81 percent of the total number of destinations

Impact on Trade:

Martincus (2016) suggests the following benefits of NEEC certification based on empirical

study for Mexico based on firm level data covering the period 2009-2014.

73.1 percent higher export growth implying that exports NEEC firms would have a

growth rate 2.8 percentage points higher than others.

NEEC firms reach new export markets.

If NEEC firms are also under IMMEX and C-TPAT, the trade impact is higher.

NEEC certification brings additional increase in exports.

Source: Volpe Martincus (2016)