China and Uganda have signed a customs agreement on mutual Authorized Economic Operator (AEO) status, a move that will facilitate trade between the two countries, China’s top customs authority said on Thursday.
This is the first arrangement on AEO mutual recognition signed between China and Africa countries, said the General Administration of Customs (GAC).
Under the agreement, companies that obtain the AEO status in the two countries will enjoy simplified customs procedures, such as reduced examination or prioritized clearance, when they export products to the other country.
Uganda exports to China was US$39.61 Million during 2020, according to the United Nations COMTRADE database on international trade.
The move will help Uganda to increase her exports to China given the increased level of production in Uganda especially in the agricultural sector.
The AEO system, initiated by the World Customs Organization, aims at facilitating customs clearance for enterprises through the authentication by customs agencies of enterprises with a high level of legal compliance, credit status and safety.
China has signed mutual AEO agreements with 46 countries and regions, ranking first in the world in terms of the number of agreements, according to the GAC.
Comments are closed.