Centre looks to widen trusted-trader programme beyond customs facilitation
CBIC has outlined five priorities for the AEO programme’s next decade, with a focus on technology, MSME access and closer coordination across agencies.
India is planning to broaden its trusted-trader programme, known as the Authorised Economic Operator (AEO) framework, beyond its current focus on customs facilitation. This expansion is part of the programme's next phase, which aims to leverage technology, provide greater access to Micro, Small, and Medium Enterprises (MSMEs), and enhance coordination among various regulators.
Central Board of Indirect Taxes and Customs (CBIC) chairman Vivek Chaturvedi outlined five priorities for the programme's future: using technology to facilitate processes, increasing MSME participation, ensuring seamless inter-agency coordination, expanding Mutual Recognition Arrangements with global partners, and improving synergy across indirect tax sectors.
The AEO programme, now in its 10th year, has certified 5,967 businesses for simplified customs procedures and risk-based facilitation, all while preserving supply-chain security. Currently, the programme includes three certification levels (T1, T2, T3) and an Additional Level (AEO-LO) for logistics operators. Experts believe the next phase could transform AEO from a customs-facilitation scheme into a broader framework for trusted economic operators by incorporating technology, AI for continuous risk assessment, and stronger integration with other regulatory agencies.
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