Sars to roll out AEO concept next year

THE NUTS and bolts of the SA application of the authorised economic operator (AEO) concept devised by the World Customs Organisation (WCO) are likely to be rolled-out by SA Revenue Service (Sars) customs early next year. This time last year, Sars commissioner Pravin Gordhan set a two year deadline for the SA implementation of what, in essence, is to be a global system designed to afford accredited operators the benefits of fewer customs stops based on a set of internationallyrecognised compliance criteria. Although it bears some resemblance to Sars’ own accreditation system introduced some years ago – which accorded certain customers ‘green lane’ status for the clearance of their goods based on a set of compliance criteria – it’s only a superficial likeness, according to Charles Speed- Andrews of Safcor Panalpina, who handles customs matters for the SA Association of Freight Forwarders (Saaff). The AEO concept, he told FTW, sets much more stringent conditions, and aspirant agents will have to face a much more formal audit procedure. At the moment, he added: “Everyone is aware of the principles of the concept, but not of the rules and regulations.” It appears that’s what Sars has been mulling over for the past year, while at the same time having discussions about what they are trying to achieve with the industry body. While no specific timing has been given, Speed-Andrews said he “hoped to see something in the first quarter of 2008”. And, if you are looking for a model of what can be expected, he suggested that you should look at the UK. “They have defined and rolled out the AEO concept,” he told FTW, and added that he had heard nothing contrary from the UK freight industry about the proposed application. Objectives: ● To provide proper security controls to ensure the protection of the internal markets in close co-operation with major trading partners around the world. ● To provide facilitation to those traders (AEOs) who demonstrate compliant efforts to secure their part of the international supply chain. Benefits: ● Fast tracked consignments and priority clearance ● Simplified pre-arrival/departure summary declarations