Authorized Economic Operator Programs

In the Islamic Countries:

Enhancing Customs-Traders Partnership

framework would help with a more efficient monitoring and follow-up of all areas of

compliance, while reducing the risk of losses and errors. Application to the PIP has also been

simplified with the launch of the Trusted Traders Online Portal in Canada and the possibility to

upload all documents on an e-profile.

5. Paving the way for Mutual Recognition:

In the case of Canada, the PIP program was a tool to achieve mutual recognition with the

United States in 2008. In Canada, as well as the EU and Japan, a successful implementation of

the AEO program has paved the way to negotiate and sign several MRAs with important trade

partners across the world. The potential to benefit from mutual recognition under the AEO

program is a major advantage to operators wishing to expand their activities at the

international level.

6. Raising awareness of AEO benefits and including SMEs:

Including SMEs is one of the several challenges facing a successful implementation of AEO

programs. For SMEs to join AEO programs, benefits need to be tangible, costs need to be

reasonable, and information needs to be available. Two main challenges face SMEs while

opting for an AEO status: adapting to legislative changes, and complying with security

measures. Addressing SMEs needs is therefore of particular importance to help them comply

and increase their exports. This is the case of Japan where SMEs are granted the quasi-full

procedural benefits of AEO status through Customs broker’s regime. Canada’s PIP program

activities were found to be useful for SMEs, and increased their engagement in the

international supply chain through PIP membership. In France, a sponsorship project was

developed by the Customs administration and the association representing transport and

logistics companies, with the objective of providing assistance to SMEs opting for authorization

(WCO, 2014). Under this project, larger certified companies provide free support to SMEs to

learn about AEO requirements.