On 15 February 2024, the South African Revenue Service (SARS) published its “Find a Guide: Accreditation of Clients:
1. Purpose
This guide provides an overview of the key legislative requirements under the Customs and Excise Act 91 of 1964 (the Act) applicable to accreditation of clients.
2. Introduction
Rule 64E.04(1) provides for two levels of accredited status, namely:
• Level 1 – Authorised Economic Operator (Compliance) (AEOC); and
• Level 2 – Authorised Economic Operator (Security) (AEOS).
“To the extent that Customs can rely on its partners in the trade community to evaluate and address threats to their own supply chain, the risk confronting Customs is reduced. Therefore, companies that demonstrate a verifiable willingness to enhance supply chain security will benefit. Minimising risk in this way helps Customs in performing their security functions, and in facilitating legitimate trade.”
The Authorised Economic Operator (AEO) is a model programme promoted by the World Customs Organization (WCO). The standards for launching and maintaining an AEO Programme are contained in Pillar 2 of the WCO SAFE Framework of Standards (WCO SAFE FoS). The objective of the Programme is to secure and facilitate global trade whilst providing incentives that benefit both customs and traders that have decided to work in partnership
The SAFE AEO Programme offers an opportunity for customs to share its security responsibilities with private sector operators, while at the same time rewarding them with a number of facilitation benefits that include quicker movement of low-risk cargo through customs, improved security levels, optimised supply chain costs through security efficiencies, enhanced reputation, increased business opportunities, improved understanding of customs requirements, and better communication between the AEO and the customs administration.
The current rules under Section 64E of the Customs and Excise Act, 1964 align more closely to the standards of Pillar 2 of the WCO SAFE FoS than the previous rules under Section 64E of the Act, 1964.
The Guide is accessible at:
www.sars.gov.za/wp-content/uploads/Ops/Guides/Legal-Pub-Guide-CE13-Accreditation-of-Clients.pdf