Workshop on Authorized Economic Operators II
Recommendations of the
Workshop on Authorized Economic Operators II
Kyiv, Ukraine
November 10–11, 2016
The Workshop participants,
being aware of the commitments of Ukraine within the framework of the World Trade Organization Trade Facilitation Agreement (WTO TFA) and with due regard to Ukraine's notification of its Category A commitments in anticipation of the coming into force of the WTO TFA, as well as being aware of the EU-Ukraine Association Agreement; and
wishing to contribute to the creation of the Institution of the Authorized Economic Operator (AEO) in Ukraine, including the finalization of the Draft Law of Ukraine No. 4777 - which introduces changes to the Customs Code of Ukraine; and
wishing to improve Ukraine's rank on the World Bank Ease of Doing Business Index, with respect to international trade and other relevant rankings have approved the following recommendations:
- The Supreme Rada Committee on Tax and Customs Policy, jointly with representatives from the business community, public officials and international experts, should, using as the basis for its work the draft law No. 4777 “On the Amendment of the Customs Code of Ukraine with Regard to the Authorized Economic Operator and Simplification of the Customs Formalities” establish a Working Group to further elaborate on the draft law No. 4777 - with a view to further bringing it into compliance with the international standards and best practices, such as the revised Kyoto Convention and the SAFE Framework of Standards to Secure and Facilitate Global Trade (SAFE Framework) of the World Customs Organization (WCO); the Ukraine-EU Association Agreement; the recommendations of the International Chamber of Commerce (May 2016) for successful AEO programs; and the priority tasks of the Government of Ukraine including:
- The reform of the system of document flow
- Deregulation
- Abolition of overly burdensome procedures, and
- Reduction of the opportunities for arbitrary interpretation
- Within the framework of Draft Law No. 4777, special attention should be paid to the language of Part 1 of Article 17 and Part 3 of Article 33 of the Customs Code of Ukraine.
- CLDP should work together with the European Union Border Assistance Mission to Moldova and Ukraine (EUBAM), the Ministry of Finance of Ukraine and the State Fiscal Service of Ukraine on drafting subordinate legislation required to implement the AEO system in Ukraine. Such subordinate legislation should be reviewed in the next AEO workshop.
- The US Government should provide assistance in the building of the institutional capacity of the State Fiscal Service of Ukraine and of other state authorities, in order to continue the structural reform of the State Fiscal Service of Ukraine - including the strengthening of the potential of its structural divisions that are responsible for the efforts to implement and ensure the functioning of the AEO institute, streamlining of the SFS structure, clarification of the responsibilities of the dedicated SFS AEO officers, the professional development of employees both at central and local levels, in particular, on the assessment and monitoring of AEO applicants, as well as on the related topics of customs post-clearance audit and risk management. Such building of institutional capacity should lead to practical implementation of the AEO scheme by the State Fiscal Service of Ukraine. An AEO pilot project should be prepared and implemented, which is an important step to ensure such implementation. Public relations and education efforts by the Ukrainian government to promote and explain the advantages of the AEO scheme for the business community should be intensified.
- The US Government should provide assistance to the Ukrainian Government to enable it to take full advantage of the World Customs Organization (WCO) Mercator Program as regards the implementation in Ukraine of WTO Trade Facilitation Agreement, including the use of training materials and manuals.
- In order to enhance interdepartmental and private sector coordination on the issues of the introduction and functioning of the AEO institute, the US Government should provide assistance in organizing a series of joint regional events for the representatives of state authorities and businesses (including the SMEs) on AEO issues such as the facilitation of business environment and the encouragement of export, using the results of the earlier workshops of the UNECE and CLDP.
- To include the discussion and evaluation of the progress in implementing the recommendations of the previous workshops in the agenda of the next workshop.
Annex. Internet links to some of the important documents
1. The World Customs Organization SAFE Framework of Standards to Secure and Facilitate Global Trade (in English):
http://www.wcoomd.org/en/topics/facilitation/instrument-and-tools.aspx
2. Ukraine-EU Association Agreement (in Ukrainian):
http://zakon4.rada.gov.ua/laws/show/984_011/print1473750660347594
3. ICC Recommendations on Authorized Economic Operators (May 2016, in English):
http://www.iccwbo.org/Advocacy-Codes-and-Rules/Document-centre/2016/ICC-Recommendations-on-Authorized-Economic-Operators/
4. WTO Agreement on Trade Facilitation:
https://www.wto.org/english/tratop_e/tradfa_e/tradfa_e.htm (in English)
http://zakon0.rada.gov.ua/laws/show/981_053/print1480091609092662 (in Ukrainian)
5. Notification of Category A Commitments Under the Agreement on Trade Facilitation (Communication from Ukraine, in English):
https://docs.wto.org/dol2fe/Pages/FE_Search/FE_S_S009-DP.aspx?language=E&CatalogueIdList=126564&CurrentCatalogueIdIndex=0&FullTextHash=
6. Law of Ukraine “On the Ratification of the Protocol on the Amendment of the Marrakesh Agreement Establishing the World Trade Organization” (in Ukrainian):
http://zakon0.rada.gov.ua/laws/show/745-viii
