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Brother Industries (Phils.), Inc. has become the fifth company granted Level 1 accreditation under the Bureau of Customs’ Authorized Economic Operator Program
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The Level 1 accreditation was granted to BIPH on December 20, 2024
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BOC offices have been directed to afford BIPH’s import entries and other related customs transactions the benefits of being accredited under Level 1 of the AEO program
Brother Industries (Phils.), Inc. (BIPH) has become the fifth company granted Level 1 accreditation under the Bureau of Customs’ (BOC) Authorized Economic Operator (AEO) Program.
The Level 1 accreditation was granted to BIPH on December 20, 2024, according to BOC Assessment and Operations Coordinating Group (AOCG) Memo No. 22-2025.
BIPH is a subsidiary of Japanese multinational company Brother Industries, Ltd., a leading manufacturer of printers, labeling systems, sewing machines and other office equipment.
AOCG deputy commissioner Atty. Vener Baquiran and Enforcement Group deputy commissioner Teddy Sandy Raval through the memo directed concerned BOC offices to afford BIPH’s import entries and other related customs transactions the benefits of being accredited under Level 1 of the AEO program.
BIPH joins Toyota Motors Philippines Corp., Panasonic Manufacturing Corp., and Coca-Cola Europacific Aboitiz Philippines, Inc. (formerly Coca-Cola Beverages Philippines, Inc.)—all already upgraded to Level 2 accreditation—and Sony Philippines, Inc., which is currently under Level 1, in the program.
BOC in December 2019 launched its AEO Program in compliance with the country’s commitment to the World Customs Organization’s SAFE Framework of Standards to Secure and Facilitate Global Trade.
The AEO Program represents a customs-to-business partnership that seeks to enhance international supply chain security and facilitate movement of legitimate goods. Implementation of the AEO program in the Philippines became possible in 2016 with the passage of Republic Act No. 10863, otherwise known as the Customs Modernization and Tariff Act.
Once granted, accreditation under the AEO Program will last until suspended, revoked, or cancelled through voluntary withdrawal.
As an AEO Level 1 member, BIPH will be exempted from renewal of accreditation under any customs accreditation system. In lieu of the annual renewal of accreditation, AEO members are only required to periodically update its information and corresponding documentary requirements pursuant to membership responsibilities of an AEO under Customs Memorandum Order (CMO) No. 09-2020 (guidelines for the pilot implementation of the AEO program for importers and exporters).
AEO members with a satisfactory system for managing their trade documents may be allowed by BOC to use their trade documents to self-assess their duty and tax liability, where appropriate, to ensure compliance with other customs requirements. For this purpose, information declared by an AEO member in its goods declaration based on its self-assessment will be accepted by BOC.
A dedicated help desk will also be provided to assist BIPH on any customs-related concerns. AEO members will also be accorded recognition by BOC as trusted trade partners.
The AEO Office may motu proprio consider upgrading a Level 1 member to Level 2 or 3, depending on the AEO’s degree of compliance with the requirements of accreditation. For Level 2 members, benefits include those for Level 1 plus a dedicated processing lane, advance clearance process, periodic lodgment, one-time exemption certificate, and expedited customs clearance for exports.
A Level 3 member will have extended additional benefits that the customs commissioner, in consultation with the AEO Office, will identify.
AEO members are, however, still subject to post-clearance audits to ensure compliance.
BOC said 18 other companies have expressed interest in joining the AEO program.
Currently, BOC’s AEO Program covers importers and exporters. Other stakeholders will also be eligible to apply for an AEO accreditation. BOC will issue a separate order to implement this. – Roumina Pablo
