Authorized Economic Operator Programs
In the Islamic Countries:
Enhancing Customs-Traders Partnership
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Box 2.1. EAC Regional AEO Program
Countries: Burundi, Kenya, Rwanda, Tanzania, South Sudan and Uganda.
Initiative: WCO-EAC CREATe Project, in two phases. Phase 1 (2008-2013) : decision of regional
AEO was taken; national diagnostics were carried out; Focus-Compliance Program was initiated and
pilot phase with 13 companies was started. Phase 2 (2014-2018): regional program was updated,
formalized and aligned with SAFE; capacity building work was carried out; IT connectivity was
enhanced.
Benefits:
 Declarations pass automatically.
 Except random or risk-based controls, goods are not examined physically.
 Payment of refund claims is expedited.
 Security at the Customs is reduced.
 Companies are given priority in Customs initiatives.
 Customs license renewal is guaranteed.
 Cargo is cleared with priority.
 Movement bond requirements are waived.
 Bonded warehouses are self-managed.
Achievements:
 In the region, manuals developed and adopted.
 Regional AEO Working Group and National AEO Consultative Group became operational.
 Sensitization of 600 officers at ports regarding regional AEO.
 Logo and website of Regional AEO Program was designed.
 National plans to upgrade AEO started to be implemented.
 Material on Regional AEO Validation training was prepared.
 Regional Risk Management Strategy was established.
Challenges:
 Security audit
 Revenue seeking officials at the border
 Uniformity regarding benefits at the region
 IT connectivity at the regional level
 Uniformity at the level of readiness of the member states
Lessons Learned:
The initiatives that make regional AEO to work successfully are
 Common legislation
 Regional steering group
 Pilot Phase
 National AEO diagnostics
 Building AEO Validation skills
 Robust governance
Source: Chopra and Ojok (2018)