The Central Board of Indirect Taxes and Customs (CBIC), in collaboration with the Confederation of Indian Industry (CII), hosted a landmark National Conference on Authorized Economic Operators (AEO) at the iconic Hotel Taj Palace, New Delhi.
The event brought together top government officials, global trade consultants, and a wide spectrum of industry stakeholders to deliberate on reforms, challenges, and the roadmap for strengthening India’s AEO Programme.
The conference began with inaugural remarks by Mr. Vinod Sharma, Chairman, CII National Committee on Electronics Manufacturing and MD, Deki Electronics Ltd, followed by a special address from Mr. Anupam Prakash, Joint Secretary (Customs), CBIC, Ministry of Finance.
Key Highlights from the Sessions
Session 1: Reform Initiatives on AEO Programme
This session provided a deep dive into:
- The evolution and objectives of the AEO Programme
- Benefits like expedited clearances and reduced transaction costs
- The HELP Framework for MSMEs
- Mutual Recognition Arrangements (MRAs) with international trading partners
- A vision for a unified Government AEO Programme
Mr. Amit Kumar Gupta and Dr. Pradeep Kumar, Joint Commissioners, DIC, CBIC, led an insightful presentation on ongoing reforms. It was noted that India now has over 5,765 AEO-certified entities, with 3,453 under T1, 1,178 under T2, and 206 under T3, the highest facilitation tier.
Session 2: Strengthening India’s AEO Programme
Moderated by Mr. Joshua Ebenezer, Principal Consultant at NuCov Facili-Trade, the session featured industry voices including:
- Mr. Sanjeev Agarwal, Head of Tax, Customs & Export Control at BMW India
- Mr. JD Giri, Director at Shahi Exports Pvt Ltd
Topics included:
- Ease of compliance and certification challenges
- The growing global benefits of MRAs—currently 9 signed MRAs, with a target of 20 in the coming years
- Support needed for MSMEs and legal/financial compliance clarity
- Recommendations from the trade for simplifying processes and timely application disposal
Industry Interventions and Ground-Level Insights
The open forum allowed several AEO consultants and industry representatives, including this writer, to raise pressing issues:
- Legal compliance inconsistencies were highlighted, with reference to large enterprises like JSW, whose AEO applications are hindered by minor pending legal disputes despite massive turnovers.
- Requests were made for a balanced compliance evaluation and uniform treatment in financial solvency assessments.
- Several participants proposed extending the 14-day duty deferment period to 30 days for T2 and T3 AEOs.
- The need for timely AEO application disposal was echoed by multiple trade representatives.
Government’s Commitment to Progress
In his closing remarks, Mr. Naveen Kumar Jain, Chief Commissioner, DIC, CBIC, acknowledged the valuable feedback and assured that all concerns would be examined in the spirit of the WCO SAFE Framework. He reiterated CBIC’s commitment to enhancing trade facilitation and operational efficiency through continuous stakeholder engagement.
Conclusion
The CBIC-CII AEO National Conference served as a robust platform for public-private collaboration. With a renewed focus on reform, simplification, and inclusion, India’s AEO Programme is poised to play a central role in advancing trade competitiveness and security in the global arena.
Kudos to CBIC, DIC, and CII for organizing an engaging and solution-oriented session that promises real impact for India’s international trade ecosystem.
