The Customs Administration of Saudi Arabia, known as ZATCA (Zakat, Tax and Customs Authority), recently benefited from a mission aimed at enhancing its capabilities in implementing the SAFE Framework of Standards. The mission, which took place from April 30 to May 4, 2023 in Riyadh, brought together experts from the World Customs Organization (WCO) and ZATCA officials for a comprehensive agenda focused on the Authorized Economic Operator (AEO) programme. Over 25 ZATCA employees, representing several offices within the agency, including its Office of International Affairs, actively participated in the training sessions.
The mission kicked off with the WCO experts providing an overview of the SAFE Framework of Standards, setting the stage for the discussions to follow. Key elements of the AEO programme were explored, including risk management in the AEO context.
An extensive portion of the agenda was dedicated to the implementation of the AEO programme within Saudi Arabia. ZATCA officials provided an update on the progress and current state of AEO implementation. Following this, an open conversation transpired, enabling WCO experts and ZATCA officials to exchange valuable insights and experiences.
The mission focused on addressing the challenges specific to AEO implementation in Saudi Arabia. Collaborating with participants, WCO experts worked towards identifying potential solutions and developing comprehensive action plans. Additionally, the AEO audit process and procedures were meticulously examined, shedding light on the conduct and post-audit implications.
The agenda also delved into AEO Mutual Recognition Agreements (MRAs), showcasing the benefits of these agreements and offering guidance on their negotiation and implementation. The importance of evaluating the performance of the AEO programme was emphasized, with WCO experts providing valuable guidance on evaluation methods.
Risk management and the establishment of internal controls were vital topics addressed throughout the mission. Participants gained valuable insights into identifying and mitigating risks, while ensuring the utmost data security during the AEO implementation process. Moreover, training and capacity building requirements for successful AEO programme implementation were thoroughly discussed, focusing on equipping staff with the essential skills and knowledge.
Participants had the opportunity to explore the interconnectedness of the SAFE AEO Program with the Revised Kyoto Convention Transitional Standard 3.32 and Article 7.7 of the World Trade Organization's Trade Facilitation Agreement. This exploration provided a comprehensive understanding of the linkages between these frameworks.
The mission also featured sessions dedicated to developing Customs-Business Partnership mechanisms, including a case study from the United States Customs and Border Protection (CBP).
Stakeholder engagement strategies, particularly involving traders and other relevant actors, were thoroughly discussed. The aim was to foster collaboration and cooperation among all stakeholders. Additionally, a simulation exercise on AEO application and audit processes allowed participants to gain hands-on experience, applying their knowledge within a practical setting.
The mission in Saudi Arabia concluded with a promising achievement, culminating in the participants' improved understanding of the AEO programme's various facets. This workshop brought to light the significance of effective AEO implementation and provided valuable insights for further progress.