Customs Official Stresses Importance Of Authorised Economic Operator

Visakhapatnam: Chief Commissioner of Customs & Central Tax (Visakhapatnam Zone) Sanjay Rath on Thursday highlighted the growing importance of the authorised economic operator (AEO) programme in strengthening India’s trade ecosystem. He shared that the number of AEO-certified entities in the Visakhapatnam Zone has increased to 118, up from 46 earlier, reflecting growing industry awareness and trust in the scheme while speaking at a seminar on AEO organised by Confederation of Indian Industry (CII) here in collaboration with Central Board of Indirect Taxes and Customs (CBIC) .

Principal Commissioner, Directorate of International Customs (Delhi) Akil Kumar Khatri, highlighted that the AEO programme, launched 14 years ago, is a voluntary initiative by Customs to identify and support trusted businesses involved in international trade. It helps reduce delays, speeds up clearances, and offers global recognition through mutual agreements with other countries, making trade safer, faster, and more efficient for compliant importers, exporters, and logistics providers. ith 9 countries, extending AEO benefits globally. In the Visakhapatnam Zone, 115 entities have been certified, with Tier 1 clearances completed for 56 entities and overall processing completed faster in 174 days than national timelines. He stated that the zone is well-positioned for deeper global trade integration. Former zonal chairman of CII Rajesh Grandhi emphasised the need for continuous policy improvement and shared key industry suggestions, including extending the deferred duty payment window to 30 days, simplifying renewal processes for Tier 2 and Tier 3 AEO members, and easing participation criteria for MSMEs. He also proposed enhanced benefits for Logistics Service Providers (LSPs), faster signing of MRAs with global trade partners, and the introduction of a dedicated grievance redressal platform. He concluded by urging for user-friendly communication materials to increase AEO awareness and adoption, especially among MSMEs. Visakhapatnam Stevedores Association president G Sambasiva Rao, spoke on the growing role of Andhra Pradesh in global trade. He noted that the State has contributed nearly $20 billion in merchandise exports in FY 2024–25, led by key sectors such as marine products, pharmaceuticals, agriculture, engineering goods, and minerals. As the state continues to expand its footprint in global supply chains, the AEO scheme has become a vital tool in improving trade efficiency, enhancing security, and simplifying processes for exporters, importers, and logistics providers. N Sridhar, Principal Commissioner, Custom House, Visakhapatnam; Dr Pradeep Kumar, Joint Commissioner, Directorate of International Customs, Delhi; G. Krishna Mohan, Vice Chairman, CII Visakhapatnam and other senior officials from the Visakhapatnam Customs House shared their views, among others.