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Authorized Economic Operators

In the Islamic Countries:

Enhancing Customs-Traders Partnership

112

Issuance of a new certificate or

Compliance Improvement Plan (CIP)

4.3.4.2. Suspension, Revocation and Cancellation of the AEO Status

The following are the conditions that call upon revocation, administrative notice or suspension

of the AEO status:

Revocation of the Certificate

AEO is no longer compliant.

Risks identified during PAA are intolerable risks.

State grounds of revocation

Administrative Notice

Tolerable risks discovered during the PAA

The administrative note is issued for corrective action.

Areas of improvement & timelines stated in the administrative note

Suspension

Failure to implement the agreed-upon corrective actions in the administrative note

Grave non-compliance issues identified during PAA

Verifiable intelligence information indicating that the AEO is involved in grave non-

compliance acts

In case of de-authorization, the AEO has a right to appeal in 30 days. In other words, the AEO

submits an appeal and evidence to the Commissioner Customs. Upon this submission

The Commissioner Customs constitutes an independent committee.

The committee reviews the grounds of appeal and evidence submitted by the AEO and

prepares a report.

The committee can request for more information from the AEO if what was provided is

not sufficient.

The committee submits the report to the Commissioner Customs.

The Commissioner Customs informs the appellant regarding the outcomes of the

appeal. The decision made by the Commissioner Customs is considered as final.

4.3.5. Overview of the AEO Program

4.3.5.1. Challenges

One Customs official manages many traders and bonded warehouses, which reduces

the required speed of operations.

The AEO companies are not identified by the Customs officers on the border, which

prevents the companies to ensure preferential treatment.

Bond guarantee waiver is not available at the moment.

Uganda is a transit hub for the EAC region. There are very few Ugandan Customs

officials in port cities in Kenya or Tanzania. The resulting congestion is a barrier to

fully recognize the AEO benefits.