Business News | CBIC Plans Uniform, Time-bound AEO Processing to Ease Compliance for Traders

New Delhi [India], September 16 (ANI): The Central Board of Indirect Taxes and Customs (CBIC) is considering measures to simplify and speed up processing under India's Authorised Economic Operator (AEO) Programme, including a uniform procedure across customs zones, time-bound processing and a single-deficiency approach for applicants, the Finance Ministry said on Wednesday.

The proposed changes include a unified Standard Operating Procedure for processing across zones, a clear checklist for applicants and Zonal AEO Programme Managers, copying deficiency communications to applicants, clarification on financial solvency requirements and strengthening dedicated Client Relationship Managers and trained validators.

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The proposals have emerged from discussions at the annual Customs Consultative Group meeting in Kolkata and representations received from trade, according to CBIC Member (Customs).

The Member said Customs administration has shifted from a transaction-centric approach to a risk-based and trust-oriented model since the current AEO framework was introduced through Circular No. 33/2016-Customs.

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CBIC Chairman Vivek Chaturvedi also outlined five focus areas for the next decade of the programme - technology-driven facilitation, greater inclusion of MSMEs, seamless inter-agency coordination, expanded Mutual Recognition Arrangements and greater synergy across indirect tax verticals.

He also announced the launch of a structured feedback response form on the AEO portal to allow AEO entities and other stakeholders to provide continuous inputs.

The ministry said the AEO Programme has become an important part of India's trade facilitation system by promoting voluntary compliance, strengthening supply-chain security and enabling faster and more predictable movement of goods across borders.

CBIC also highlighted the Eligible Manufacturer Importer (EMI) Scheme as a pathway for compliant businesses to move towards higher AEO tiers.

In a separate compliance-easing step, documentation requirements under the EMI Scheme have been reduced from 10 documents to three through Circular No. 39/2026-Customs dated September 3. The revised requirement came into effect from September 15.

As of date, 5,967 entities, including importers, exporters, manufacturers, customs brokers, logistics operators and warehouse operators, have been certified under the AEO Programme across T1, T2, T3 and LO categories.

CBIC marked 10 years of the AEO Programme at an event in New Delhi, where it also launched a commemorative publication and announced a stakeholder feedback survey to guide future reforms.

The programme has expanded its coverage across the logistics chain, digitised application processes, set up dedicated AEO Cells and introduced special facilitation measures for MSMEs. (ANI)

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