Some pilot members of the Authorised Economic Operator (AEO) scheme say its introduction by Customs will boost exporters’ profits and enhance cargo turnaround time.
The exporters said this in separate interviews with the News Agency of Nigeria (NAN) in Lagos on Sunday.
NAN recalls that the AEO, as defined by the World Customs Organisation (WCO), is a status given to businesses that meet security and compliance standards set by Customs.
The AEO programme is a way for Customs to encourage businesses to follow the rules and improve supply chain efficiency.
NAN also recalls that the first exporter to be issued a pilot project certificate was Mrs Chinwe Ezenwa, Chief Executive Officer (CEO) of Lelook Nigeria Ltd., who described the Authorised Economic Operator (AEO) as an innovative concept.
The pilot members told NAN that with the introduction of the AEO stamp, their operation was now a money-spinner because their goods would receive immediate attention during clearance across the world.
Ezenwa, whose export includes processed bags for souvenirs and local fabrics, told NAN that the AEO stamp would enable Customs to extend operations beyond revenue generation to include Small, Medium, and Large Enterprises.
“The process is instructive; Customs scrutinised us to know how transparent we are, and after finding us qualified to become an authorised economic operator, they granted us that status, which is based on trust.
“Customs are not saying you won’t pay duty, but they won’t delay any of your goods at the ports. With the AEO stamp, the operation is a money-spinner because your goods will receive immediate attention during clearance across the world.
“The only risk in AEO operations is lack of compliance. If you are bringing raw materials and they open the container and see that your declaration is genuine, the cargo will be given priority as AEO members.
“If you comply today and then decide not to comply again, Customs can even jail you; you better check yourself. If Customs have many people they can trust, trade facilitation will be achieved in Nigeria,” Ezenwa said.
She said that Customs scrutinised exporters and shortlisted six of them as pilot projects due to their consistently honest declarations.
Another AEO beneficiary, Dr Badamasi Burji, the Chief Executive Officer of First Class Nigeria Ltd., said the operation came at the right time, as he was planning to expand his spices business to Botswana.
Burji said he was also planning to establish a supermarket and restaurant in Saudi Arabia, adding that he would go with over 300 Small and Medium Enterprise products as a result of his AEO status.
He explained that more than 200 members of Small and Medium Enterprises would benefit from the AEO, promising to export their products alongside his kuli-kuli, dambu-nama, and kilishi, among others.
Burji said although his products had been delivered in over 42 countries, the integration into the AEO would expand his business across the world.
He said there was no risk attached to the operation, except perhaps outside the country.
Burji urged exporters to engage in genuine declarations to enable them to attain AEO status.
NAN recalls that on Feb. 14, the Nigeria Customs Service (NCS) launched the Authorised Economic Operator (AEO) programme to enhance trade facilitation across the globe.
The Comptroller-General of Customs (CGC), Bashir Adeniyi, said the evolution in Customs-business relationships reflected the dynamic nature of international trade and the growing need for secure and efficient supply chains.
The Customs boss acknowledged that AEO certification validated a company’s commitment to security, compliance, and operational excellence in international trade.
He said that through the AEO programme, certified operators would gain access to streamlined Customs procedures and reduced physical inspections.
“The success of our pilot phase, which commenced on April 15, 2024, has been remarkable.
“Our six pilot AEO companies have demonstrated exceptional growth, with their collective trade value increasing significantly from N185.8 billion in 2023 to N563.8 billion in 2024.
“This growth is mirrored in the Customs revenue generated from these companies, which rose from N18.4 billion in 2023 to N51.1 billion in 2024.
“This contributed meaningfully to our overall revenue, which grew from N3.2 trillion in 2023 to N6.1 trillion in 2024,” he said.
He said that the pilot phase had yielded transformative improvements in operational efficiency.
