AUTHORIZED ECONOMIC OPERATOR SCHEME

CENTRAL AGENCY:  World Customs Organization (WCO)

REGULATORY FRAME WORK: Secure access for everyone (SAFE) frame work

AIM: To secure and facilitate legitimate global trade

OBJECTIVES:

  • To provide business entities an international recognized certification

  • To incentivize business entities

  • Secure supply chain from point of export to import

  • Enhanced border clearance privileges in MRA partner countries

PRINCIPLES: Voluntary compliance, partnership and Mutual recognition among customs administrations and the principle stakeholders of international supply chain.

AEO ACCREDITATION: AEO T3 ˃ AEO T2 ˃ AEO T1 for Exporters and Importers and AEO-LO for all other entities other than importers and exporters, accredited by custom zones spread across the country.

VALIDITY: 3years for AEO-T1 and AEO-T2 and 5years for AEO-T3 and AEO-LO

ELIGIBILITY:

  • An entity should be established in India
  • Buisness should involve customs related activities
  • Should have dealt with minimum 25 customs documents in the preceding financial year.
  • Should be active in business for past three financial years.

DOCUMENTS FOR ONLINE APPLICATION:

  • Information / Declaration forms
  • Site plan of Registered office and branch addresses mentioned in the IEC certificate issued by DGFT.
  • Net worth and Net current asset from the audited balance sheet of last three years        

BENEFITS:

AEO T1 AEO T2 AEO T3 AEO-LO
High facilitation Higher facilitation Highest facilitation Waiver of bank guarantee in case of trans shipment…
Direct port delivery (DPD) and Direct port entry (DPE) Direct port delivery (DPD) and Direct port entry (DPE) Direct port delivery (DPD) and Direct port entry (DPE)
No Deferred duty payment Deferred duty payment Deferred duty payment Waiver of bank guarantee under handling of cargo…
Bank guarantee 50% Bank guarantee 25% No Bank Guarantee Waiver of bank guarantee under regulation 8 of CBLR…
Expedited investigation-dispute resolution Waiver of seal verification Reliance on self-certified copies Faster approval for new warehouses…
On request 24×7 at all seaports and airports Priority in scanning / assessment Scanning only on intelligence
On site post clearance audit (OSPCA) once a year OSPCA in 2 years OSPCA in 3 years
Space in warehouse Mutual recognition Agreements (MRA) Risk based intervention by other departments
Email on arrival / departure Refund in 45 days Refund / rebate in 30 days

AEO entities as on 30/04/2024:

AEO-T1 3656
AEO-T2 1115
AEO-T3 151
AEO-LO 858
TOTAL 5780

Frequently Asked Questions on...​ AEO

AEO means Authorised Economic Operator, a certification granted by Indian Customs to businesses that follow secure and compliant trade practices.

The programme aims to enhance international supply chain security and simplify customs procedures for trusted traders.

Importers, exporters, logistics providers, customs brokers, custodians, and warehouse operators engaged in international trade can apply.

It offers faster customs clearance, reduced inspections, deferred duty payments, and global recognition under trade agreements.

Yes, there are categories such as AEO-T1, AEO-T2, AEO-T3 (for importers/exporters) and AEO-LO (for logistics operators), each offering progressive benefits.

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