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Advantages and disadvantages of AEO status

how does it actually work in Ukraine and for whom is it relevant?

 

Businesses are often unaware of the mechanisms for simplifying customs procedures through AEO.

Since 2019, in Ukrainian legislation, and in fact in practice since 2021, the Advantages and disadvantages functioning of the institution of an authorized economic operator (AEO) has been attracting increasing attention. Thus, if in 2021 only one company received the relevant status, today their number has increased to several dozen and is approaching a hundred.

The main goal of obtaining AEO status is to make your business easier

Of course, this does not mean complete distancing from customs instagram data control procedures, but depending on the simplifications obtained, the company will be able to save time, economic, technical and other resources in the international supply chain of goods.

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The Customs Code (MCC) provides for two types of authorizations: AEO-B and AEO-C . The difference between them is that both types provide enterprises with advantages, such as: priority fulfillment of customs formalities, reduction of forms of control within the ASUR, use of the national AEO logo. However, only AEO-B allows receiving notifications from the customs authority about the selection of goods and vehicles designated for customs inspection.

At first glance, it may seem that a business would be why branding is an essential better off choosing the AEO-B type due to the greater number of advantages, in particular for work planning. However, the reality is that not all of the simplifications guaranteed by law actually work in practice. For example, special lanes at border crossing points are often missing.

It is important to note that the legislation provides a choice

to obtain AEO status or to apply for authorization to apply aub directory simplification, end-use procedure or transit simplification.

Given financial stability and other parameters, most often enterprises apply for authorization to apply such simplifications as: a general guarantee with a reduction in the size of the base amount of security by 50% or 70%, self-application of special type seals, as well as passing the issuance procedure at the location.

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