AEO (Authorized Economic Operator) certification is more than a badge; it is a seal of trust and customs efficiency. However, behind every advance there is a crucial detail that is often overlooked: renewal. Failure to do so not only represents a risk for companies, but can also mean the loss of a status that guarantees smooth operations and customs privileges.
Undoubtedly, certification as an Authorized Economic Operator in Mexico has become synonymous with compliance with the international standards established by the WCO SAFE framework, principles that have been adopted by Mexico since 2012 by the Tax Administration Service (SAT), initially through the so-called New Scheme for Certified Companies (NEEC) and, in 2016, through the figure of the Authorized Economic Operator (AEO) in a successful manner.
It should be noted that, according to information provided by the SAT, by May 2024, the number of active companies registered in the Business Certification Scheme, under the AEO modality, under the Importer/Exporter category, was 5,741.
Another relevant aspect is that the aforementioned certification is subject to a specific time period. In the particular case of Mexico, this certification is valid for two years from the time it is authorized by the SAT, which may be subsequently renewed for an equal period, provided that the requirements under which the certification was obtained continue to be met.
The main purpose of the renewal process is for companies to renew their commitment to the AEO program and thus maintain their level of security within the supply chain.
Notwithstanding the above, it has been detected that a significant number of companies have failed to submit the corresponding renewal, resulting in the loss or expiration of their registration.
In view of the above, we monitored the companies that, being active in the Importer/Exporter category, failed to submit the corresponding Renewal Notice, and as a result have lost the benefits of the program for the period from January 2020 to May 2024.
It is important to point out that, during the aforementioned period, a total of 67 companies failed to file the aforementioned renewal, which represents 12% of the total number of certified companies, as shown below:
From the above, it can be seen that, despite the fact that from 2021 to 2022, there was a considerable decrease in the number of cancellations due to expiration in the Register of Certified Companies in the Importer/Exporter category, there was a significant increase in 2023 with a total of 24 cancellations, being so far the highest figure in the last 5 years.
It is important to point out that the loss of AEO certification for the Importer/Exporter category results in the total elimination of the benefits it grants, which are established in rule 7.3.3 of the General Foreign Trade Rules (RGCE), among which we highlight the following:
Goods temporarily imported under the IMMEX Program may remain in Mexican territory for up to thirty-six months.
Carrying out the customs clearance for the import without indicating the serial numbers of the goods on the customs declaration, invoice, consolidated notice, value acknowledgment, shipping document or transportation document.
Rectification of pedimentos without certification constitutes an important authorization, within the first three months (rule 6.1.1).
Have a period of 10 days from the day following the notification of the detection of excess or undeclared goods by the Mexican National Customs Agency (ANAM), to process the final import or export customs declaration that covers the detected goods.
Carry out the customs clearance of goods for import, using the exclusive "Express" lanes established by ANAM.
Carry out the customs clearance of goods for export, using the exclusive "FAST" lanes.
To consolidate the cargo of goods for import or export, from the same importer or exporter or, if applicable, different goods contained in the same vehicle, covered by several customs declarations, processed by up to three customs agents.
Consequences include:
Logistics operation times of companies.
Infringement to the company's Foreign Trade Compliance; this, by virtue of the reduction of the temporary stay of goods, when going from 36 to 18 months, implies that the goods that are outside the 18 months term contemplated in article 8 of the Customs Law, must be changed of regime or returned abroad within 60 calendar days, counted from the expiration of the certification, the above in accordance with rule 7.2.8. of the RGCE.
In view of the above, it is of vital importance that certified companies take into consideration the necessary requirements to properly file the Renewal Notice referred to in rule 7.2.3. of the RGCE, as specified below:
Requirements for the presentation of the Renewal Notice:
In order to file the Renewal Notice, the following requirements must be complied with:
To file it within thirty days prior to the expiration of the term of the last registration authorized by the SAT.
Proof of payment of duties, according to article 40, paragraph m) of the Federal Law of Duties.
To declare under oath that the circumstances under which the authorization was granted have not changed and that they continue to comply with the requirements inherent to such authorization, in addition to not being subject to the cancellation procedure.
It should be noted that the only way to file the Renewal Notice is through the Mexican Foreign Trade Single Window (Ventanilla Única de Comercio Exterior Mexicano, VUCEM).
In summary, we can conclude that the Renewal Notice is the only instrument established in the current regulations to provide continuity to the registration in the Integrated Certification Scheme of those companies that have obtained their AEO certification, both in the Importer/Exporter and Certified Trading Partner categories.
Currently, this program represents a way for organizations to guarantee the correct execution of foreign trade activities, thus avoiding both logistical and financial losses. For these reasons it is evident that today more than ever it is essential for companies and logistics operators that have a current certification, to have the support of expert consultants in the field, to assist organizations to monitor the proper fulfillment of ongoing obligations, such as the timely and correct submission of the notices provided for in the applicable regulations.
To avoid losing your AEO certification, contact CMB Asociados. Our foreign trade experts will help you maintain your certification and ensure continued compliance.
Information obtained from the SAT website: http://omawww.sat.gob.mx/cifras_sat/Paginas/datos/EmpCer.html
The payment for registration and/or renewal in the Registry of Certified Companies for fiscal year 2024 corresponds to the amount of $37,112 (thirty seven thousand one hundred and twelve pesos 00/100 Mexican pesos).
This article was published in Revista Estrategia Aduanera.
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