COLOMBIA AND THE UNITED STATES SIGNED A MUTUAL RECOGNITION AGREEMENT IN THE FOREIGN TRADE FIELD
On April 17th, Colombia and the United States signed a Mutual Recognition Agreement (MRA) between the Authorized Economic Operator (AEO) and CustomsTrade Partnership Against Terrorism (CTPAT) programs.
it is worth mentioning that the AEO was developed by the World Customs Organization (WCO) “to promote the implementation of security measures in the logistics chains of member countries, based on the risk assessment of each organization, so that they can address the global risks that affect them.” [4]
At its turn, “the CTPAT program was the first in the world for international supply chain security.” [5]
Currently, 673 customs users qualified as AEO in Colombia would benefit from the MRA through preferential treatment, which would include, among others, the following points:
- Reduction in inspections, which would result in reduced times and costs for AEOs.
- Preferential attention in customs.
- Better logistics security practices.
- Promotion of actions to ensure international supply chains.
- Improvements in predicting movements of goods from one territory to another, impacting security and competitiveness.
For the Colombian customs authority, the ARM with the US customs represents “the highest recognition that one country can grant another in terms of logistics security, recognizing the compatibility and strength of its program.” [6]
It is expected that the ARM will bring greater competitiveness to Colombian products and contribute to strengthening the commercial relationship between both countries, as well as ensuring the international supply chain and logistics.
[4] Press release N°027 issued on April 17th by the Tax and Customs Authority.
[5] Ibid.
[6] Ibid.
Author: Diana Ramírez I dramirez@lloredacamacho.com I Foreign Trade, Logistics & Customs