PH fully implements ASEAN AEO mutual recognition agreement
Photo from the Bureau of Customs

The Philippines, through the Bureau of Customs (BOC), officially commenced the full implementation of the Association of Southeast Asian Nations (ASEAN) Authorized Economic Operator (AEO) mutual recognition arrangement (AAMRA) recently.

This marks a significant milestone in the country’s efforts to enhance trade facilitation, bolster regional cooperation, and align with international standards in the global supply chain, BOC said in a statement.

The implementation follows the signing of the AAMRA in September 2023 by Customs administrations of all 10 ASEAN member states.

The AAMRA came into effect on August 1, 2024, initially involving Brunei Darussalam, Malaysia, and  Singapore. It was later extended to Thailand on August 19, 2024, and Indonesia on October 1, 2024.

READ: ASEAN customs administrations sign MRA on AEO

An MRA refers to a formal document between two or more customs administrations outlining the circumstances and conditions for recognizing and accepting the AEO programs of the signing parties. The AEO Program, meanwhile, represents a customs-to-business partnership that seeks to enhance international supply chain security and facilitate movement of legitimate goods, and is in compliance with the country’s commitment to the World Customs Organization’s SAFE Framework of Standards to Secure and Facilitate Global Trade.

Under the AAMRA, BOC said Philippine companies certified under Level 2 of the AEO Program will now benefit from expedited clearance procedures for their exports to participating ASEAN countries.

Similarly, businesses accredited under the AEO Programs of Brunei Darussalam, Indonesia, Malaysia, Singapore, and Thailand will enjoy the same benefits for their goods exported to the Philippines.

Economic operators participating in the program are provided with unique AEO codes, which must be declared in the export or import declaration submitted to the respective countries’ Customs administration. Notably, the business partners in these countries do not need to be AEO accredited to avail of the benefits.

As of February, there are five companies accredited under BOC’s AEO Program. 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. and Brother Industries (Phils.), Inc. are currently under Level 1.

While the AAMRA is already fully operational in six ASEAN countries, the remaining four—Cambodia, Lao PDR, Myanmar, and Viet Nam—are expected to implement the arrangement at a later date.

BOC said the Philippines’ commitment to facilitating smooth trade relations is a key aspect of its 2025 Five-Point Priority Program, which aims to streamline customs procedures and enhance secure trade through the implementation of the AEO Program.

To maximize the benefits of the AMMRA, BOC said it regularly holds consultations and awareness programs aimed at increasing company participation in the AEO Program.

Moreover, the full implementation of the AAMRA underscores the Philippines’ dedication to strengthening regional trade relationships and improving the ease of doing business in the country, BOC added.

With this, Customs Commissioner Bienvenido Rubio said, “The BOC will continue to focus on modernizing and improving the efficiency of the country’s customs operations, ensuring the Philippines remains competitive in the global marketplace.”

READ: BOC eyes expanded benefits under AEO program

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