Supply Chain Companies Urged to Seek AEO Status to Thrive in Post-Brexit World
20th June 2017
The UK’s Chartered Institute of Logistics and Transport (CILT) is encouraging all companies involved in the supply chain to become an Authorised Economic Operator (AEO), in order to ensure the United Kingdom operates frictionless borders post-Brexit.
Following the EU Referendum last summer, CILT has been working to present issues, solutions and advice regarding the practical implementation of a frictionless border for goods to the EU and the rest of the world.
CILT has noted a rise in the question ‘Do you hold AEO status?’ being on the list for preferred supplier listing and tenders. The Institute is now urging Government and the profession to wake up to the advantage of being an AEO.
Kevin Richardson FCILT, Chief Executive, CILT, says: “It is an absolute necessity that companies throughout our supply chain start to adapt to become Authorised Economic Operators. AEO status is crucial to achieving the smooth transition of borders to market when we leave the European Union. The more Authorised Economic Operators we have operating in the United Kingdom, will help ensure a successful Brexit and beyond.”
AEO status is an internationally recognised quality mark indicating that your role in the international supply chain is secure, and that your customs controls and procedures are efficient and compliant. Alarmingly, in May 2017 only 568 companies in the UK currently hold AEO status and CILT is championing AEO certification to aid its members to gain competitive advantage, recognition for professional competence and trouble free border crossings.
The route to becoming an AEO certified operator is an extensive and detailed process, with approximately 95% of AEO applications failing. CILT will offer support, training and guidance to help operators understand AEO and assist them through the rigorous AEO application. Susan Morley FCILT, Director, Morley Consulting Training Limited, and Chair, Customs and International Trade Compliance Forum, CILT, says: “The application process takes months not weeks and companies need to prepare prior to submitting their applications. Now is the time to get started.”