AEO Tier-I Program Relaunch and Certificate Awarding Ceremony

Hon. Ranjith Siyambalapitiya, State Minister, Ministry of Finance, Economic Stabilization, and National Policies, Ms.Samantha Akins, Chief of party US AID, Ms. Morin Hsia, Acting Mission Director USAID, Ms. Alikie Perera, Deputy Secretary General, Chief Operating Officer of Ceylon Chamber of Commerce, Distinguished guests, Esteemed colleagues, Ladies and Gentlemen; 

Good morning,

It is with great pleasure and a deep sense of pride, that I stand before you today, to mark a significant milestone in our journey, towards enhancing trade facilitation and securing our position in the global trade arena. We gather here to officially re-launch the Authorized Economic Operator (AEO) program of Sri Lanka Customs, a pivotal initiative that embodies our commitment to both, national and international trade best practices. The AEO program is not merely a certification; it is a vital trade facilitation tool, that aligns with the standards and recommendations, set forth by the World Customs Organization (WCO), the Trade Facilitation Agreement (TFA), and the Revised Kyoto Convention (RKC). These international frameworks emphasize the importance of secure, efficient, and streamlined Customs procedures to bolster global trade. Sri Lanka Customs recognizes that, trade facilitation for compliant trade is not just a strategic goal, but an imperative. This objective is enshrined in our strategic plan for the next five years, reflecting our dedication to fostering a conducive environment for trade while ensuring the highest standards of compliance and security. Over the past decades, we have introduced various trade facilitation initiatives, such as the Fast Track and Green Channel facilities. While these measures have served us well, they have not fully met the evolving expectations of global trade. We have seen that 80% of our total revenue comes from just 4% of our trade partners. It is therefore essential that, we prioritize the facilitation of these critical traders as key partners in our customs operations. In today’s world, customs administration must evolve beyond its traditional role as a gatekeeper. We are now partners in trade, committed to providing facilitation to compliant traders. Adopting a risk based approach, allows us to focus our resources where they are most needed, and to offer greater support to those who adhere to our regulations and standards. Digitalization plays a crucial role in this transformation. While we recognize its importance, it is essential to understand that implementing digitalization is complex and requires rigorous standards and secure processes. During the COVID-19 pandemic, we made temporary adjustments, such as accepting some supporting documents via mobile phone photos, to ensure continuity of service. However, this cannot be considered a full implementation of digitalization. During that period, there were significant risks to our objectives, including revenue collection, but our priority had to be the prevailing health risks in the country as well as globally. Interpreting this special situation as a model of perfect digitalization, oversimplifies the challenges involved. True digitalization demands a robust framework, and we have been diligently working towards that goal. Digital signatures are an integral part of this process and are progressing alongside our ongoing Risk Management and Customs modernization measures. We have implemented several digital components including ASYHUB for pre-arrival processing, an Automated Examination Appointing System, an Online Trader Registration Facility, Online Tender Procedures, and Automated Risk Management Systems. These tools are not just technological upgrades; they are integral to our commitment to modernizing customs procedures and aligning with international standards. As we move forward, the re-launch of the AEO program signifies our commitment to offering enhanced facilitation to our compliant trade partners. The AEO status initially awarded to importers and exporters will expand to encompass all stakeholders involved in global supply chain security. This program is designed to incentivize and recognize those who maintain high standards of compliance, thus encouraging broader participation in the AEO scheme. I would be remiss if I did not acknowledge the tremendous efforts of our staff, particularly present Senior Director of customs Risk Management, previous Risk Management directors and specially the Risk Management operational team, who have worked tirelessly to bring this vision to fruition despite the challenges posed by staff shortages. Their dedication has been instrumental in making this initiative a reality. I also extend my heartfelt gratitude to the US Embassy in Colombo, USAID, and all our partners who have supported us throughout this endeavor. I really appreciate the one of our former Customs Additional Director General Mr. Ravindra Kumar contribution for the success of this project. Finally, congratulations to the Authorized Operators who have achieved AEO Tier 1 status and the officers who are recognized as AEO Validators. Your achievement represents a significant step towards enhancing trade facilitation and security, and we look forward to extending our support to you and future AEO partners. Thank you for your commitment, your partnership, and for joining us in this momentous occasion. Together, we are not just re-launching a program; we are setting a new standard for trade facilitation and customs administration in Sri Lanka. 

Thank you!