By Jacquiline Emodek and Irene Kabakama
Uganda Revenue Authority is set to launch a system that will facilitate the automation of processes and quality assurance of the profiles of companies under the Authorized Economic Operator (AEO) program.
The Authorized Economic Operator-Enterprise Risk Management System (AEO-ERMS), which is currently being piloted with selected accredited companies, will facilitate the automation of risk assessment, post-clearance audit, compliance, and business analysis, with the system providing a 360-degree view of risk management to make the supply chain more secure.
According to Abel Kagumire, URA’s Commissioner for Customs, URA envisages revenues from AEOs to grow from 30% to 60% with the rollout of the system.
“We have been operating the AEO Program manually, and the 160 accredited AEOs contribute 33%; therefore, with the automation of the system, we plan to authorize an additional 50 and grow their revenue collection to 60%,” he said.
Kagumire added that the system would increase voluntary compliance through the system interface, which will facilitate monitoring of AEOs across the different systems in the organization as well as ministries, departments, and other agencies (MDAs).
This will go a long way in improving their unique identification so that they can enjoy their benefits along the supply chain.
“Currently, the AEOs only have the logo on their declarations as a unique identifier; however, with the AEO-ERMS, they will easily be identified in the different URA systems and MDAs for smooth exchange of information to facilitate international trade and promote voluntary compliance,” he noted.
Kagumire, who was speaking at the piloting of the AEO-ERMS at the URA headquarters in Nakawa, highlighted that the pilot seeks to test the functionality of the system in regards to online expression of interest by the AEO applicants, online creation of an audit case, filing of the online Self-Assessment Form (SAF), and online audit meeting scheduling, among others.
Established in 2010 with the World Customs Organization SAFE framework of standards, the AEO program has grown tremendously over the years, with Uganda currently boasting of 121 national and 39 regional AEOs and two Mutual Recognition Agreements (MRAs) with South Africa and China.
