Region’s AEO initiative a game-changer

Agreements signed

Akol said at the end of the conference that attracted more than 1,000 delegates across the globe under the theme, ‘Promoting mutual recognition of AEOs to strengthen and secure global trade,’ that two mutual agreements were  signed between Peru and Uruguay with the Uganda Revenue Authority in line with the AEO program and customs related work.

Akol also said that they signed mutual recognition agreements between East African Community Customs and South Korea Customs. She said that these agreements mean that the AEO companies are slated to enjoy customs benefits beyond East Africa.

For those companies that are not yet on the programme, these benefits, she said, would create the desire for them to improve their compliance before joining the programme

“We would like to have as many people that we can accredit as AEOs so that it improves also the ability of us to bring revenue here much faster,” Akol said.

Dicksons Kateshumbwa, the commissioner for customs at the URA told The Independent that beyond the signed agreements, customs authorities agreed to continue discussing and seeing how best they can boost trade within customs of member countries.

He also revealed that the conference shared best practices in terms of risk management, coordinated border management and implementing single window programs.

This was in addition to the formation of the Private Sector Consultative Group (PSCG) consisting of members that are under the Eastern and Southern Africa – WCO region.

The group would meet regularly and find ways of advising customs on emerging customs matters to make business easy for the likes of Kiguli and Peter Gapira, the operations manager for a logistics company, Golira Logistics Limited – which has operations across the region.

“It (AEO) is a VIP treatment that we are getting now,” Gapira told The Independent. “We are now saving up to 60% of our time in doing our business,” he added.

Benefits of the AEO programme

• Priority treatment of AEOs which has led to reduced time and costs of doing business
• Choice of place for inspection of cargo selected for inspection
• Automatic renewal of customs licenses
• Self-management of bonded warehouses for bonded warehouse operators
• Withholding tax exemption by the domestic tax department hence allowing players more cash flow to do business.