FORWARDER AND CUSTOMS SPECIALIST CO-OPERATE TO OFFER AEO CONSULTANCY SERVICES
The AEO initiative is one of a series of measures being co-ordinated by the World Customs Organisation (WCO) as part of a multi-layered approach to facilitating trade whilst making supply chains more secure and controlled. In adopting the AEO regime, the EU is aligning with similar measures introduced by other countries, including the USA and China.
Davies Turner Air Cargo (daviesturner.co .uk) recently became one of Europe’s first AEOs and is now co-operating with customs consultants Bell Davies to provide a full package of advisory services which will help other companies achieve AEO accreditation.
Denham Baxter, Davies Turner Air Cargo’s Managing Director said: “We are very proud to be one of the first off the starting block with AEO accreditation. The lessons learnt during the approval process represent a valuable resource that we aim to share with others who want to set out on this journey but who may be discouraged by not having a proven road map to accreditation. Government figures suggest that there are around 140,000 other companies in the UK alone who should seriously consider applying for AEO status.
“Through this new cooperation with Bell Davies, we will utilise the knowledge that we gained and the lessons learnt during the eight months that it took to obtain the accreditation, to provide a tailored package of consultancy services that would assist other companies to follow us in achieving AEO accreditation. I am very pleased that we are cooperating with Bell Davies, one of the industry’s leading customs consultants, to offer this package to UK shippers.”
Bell Davies is acknowledged to be the market leader in a number of specialist areas and can advise directly, or indirectly, on most aspects of customs and international trade.
Alun Davies, Bell Davies’s Managing Director said: “We applaud the efforts made by Denham Baxter and staff at all levels of Davies Turner Air Cargo in achieving early AEO accreditation. We look forward to bringing our own experience, customs contacts and duty knowledge to a wider audience in order to help exporters and importers to achieve the full benefits and recognition involved in becoming an AEO.
The AEO scheme provides businesses with a recognisable quality mark which demonstrates that their internal controls, staff training and procedures are effective and compliant. Achieving AEO status on the twin fronts of security in the supply chain and customs compliance/facilitation signifies independent recognition of a company’s efforts to fulfil the extensive and rigorous requirements set by the European Commission and implemented by all the Member States in the EU. It is increasingly endorsed by the U.S.A, Canada and other major trading partners, not least in the Far-East.
Companies that seek AEO accreditation will gain the opportunity to critically review internal procedures and the functionality of their supply chains, enabling weak areas to be identified and addressed, as well as allowing good practices to be reinforced. The advisory services being offered will help aspiring applicants to implement this review programme.
Adds Mr Baxter: “Some of the benefits of AEO accreditation include fewer physical and documentary examinations of cargo; priority use of non-intrusive inspection techniques when examination is required; and priority processing by Customs whenever security is heightened and ‘Preferred Trader’ eligibility applies.
“The full benefits of AEO are yet to be realised and whilst the approval is non mandatory some businesses are adopting a “wait and see approach” which is quite understandable. However Customs authorities all over the world are implementing AEO in one form or another; security and compliance are areas that will continue to grow in significance and cannot be ignored. AEO is here to stay. Through our new consultancy service, we will be encouraging interested parties to understand that there’s a direct relationship between maximising customs compliance and minimising duties payable and that the AEO scheme provides a legitimate route to achieving that.”
Being in pole position in new regulatory environments is not an unusual situation for Davies Turner Air Cargo. Mr Baxter reflects: “Three years ago, we were accredited under the Metropolitan Police initiative AIMSS (Airfreight Industry Minimum Security Standards Scheme), which works to raise security standards at London Heathrow. Just three years before that, we became the only dedicated airfreight forwarder listed in the then HM Customs and Excise Tariff for the HMCE-authorised Designated Export Place (DEP).”
The Davies Turner Ocean division has also now started the process of accreditation.
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Notes to editors:
In the UK, HM Revenue & Customs is responsible for the AEO approval process and has been accepting applications since July 2007.
One of the purposes behind the creation of the AEO scheme is to create linkage with the Customs-Trade Partnership Against Terrorism (C-TPAT) measures in the USA. Mutual recognition, due in summer 2009, would allow companies registered under either scheme to enjoy fast-track Customs clearance into the USA.
Davies Turner Air Cargo originally applied for AEO accreditation in August 2007. This was accepted by HMRC, which undertook assessments of the company’s IT systems and air cargo operations at Glasgow, Edinburgh, Manchester, Dartford and London Heathrow in December.
This was followed by a highly detailed and rigorous assessment report. As the European Commission has developed the AEO accreditation process, a key feature is that after the relevant Member State’s Customs organisation has approved AEO status, then each of the other 26 Customs bodies in the EU has a veto on the issuance of the AEO status. Only after completing this process, can full AEO status be granted.
Davies Turner Air Cargo was established in 1990 and, as part of the multimodal Davies Turner Group, is proud to continue with the company’s long tradition of being pioneers in service since 1870.
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Ian Matheson
Davies Turner is one of the UK’s leading independent freight forwarding and logistics organisations. In business since 1870, it is their mission to satisfy the shipping needs of clients taking pride in providing a professional and award-winning portfolio of services that are reliable, time-sensitive, cost-conscious and tailored to the unique requirements of each individual customer.