“Contributing to a secure business environment for economic development”

AEO: Customs-to-Business cooperation for supply chain security

2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY

HOSTED BY: THE STATE CUSTOMS COMMITTEE OF THE REPUBLIC OF AZERBAIJAN

2-4 May 2018, BAKU, AT HILTON BAKU

Safar-Mehditev

Safar Mehdiyev

Chairman, State Customs Committee of the Republic of Azerbaijan

“The AEO concept is based on the Customs-to-Business partnership introduced by the World Customs Organisation (WCO). Traders who voluntarily meet AEO criteria work in cooperation with customs authorities to build the common objective of supply chain security. Customs grant AEO certification to companies with a track record of compliance with customs legislation and taxation rules and absence of criminal offences related to the economic activity; appropriate security and safety measures; appropriate record keeping and financial solvency. AEO are entitled to enjoy benefits in customs procedures. The AEO programme, which aims to enhance international supply chain security and to facilitate legitimate trade, is open to all supply chain actors. Azerbaijan is a strategic transport and logistics hub for international trade. The developments in international trade mean new demands on Customs. The AEO International Conference in Baku is addressed to companies interested in Customs-Business cooperation in practice.”

“The AEO Baku Conference adds a particular value to participants and this is the opportunity to understand the new intermodal transport and logistics map that link Asia and Europe: the “New Silk Road”. We will gather the perspective from officials and companies operating in the regional corridors that pass through Azerbaijan. This is a unique opportunity for the customs and logistics international community to meet new actors, learn about these capacities for trade and discuss what they mean for other regions, including Latin America. A renaissance of Marco Polo’s trade route today means, for example, that all main European industrial clusters of Germany, Benelux, Italy, Poland and Spain are connected to destinations in Azerbaijan, Iran, Turkmenistan and Kazakhstan via the new intermodal hub in Baku. The AEO figure is key for secure trade facilitation in such an emerging context, and this will be discussed too in Baku.”

Antonio-Llober

Antonio Llobet

President of the International Association AEO Customs and Logistics

PROGRAMME

 Tuesday, 1st May 2018

15.00 – 19.30

Registration – Hilton Baku Hotel

19.30 – 22.00

Welcome Reception – Hosted by The State Customs Committee of the Republic of Azerbaijan and the International Association of Authorised Economic Operators Customs and Logistics – Hilton Baku Hotel

Wednesday, 2nd May 2018

7.00 – 09. 00

Registration – Hilton Baku Hotel

09:00-10.00.

Wreath-laying Ceremony at the Memorial of National Leader Heydar Aliyev in the Alley of Honorary Burial and visit to the Martyrs Alley

10.00-11.00.

Welcome Remarks
Mr. Safar Mehdiyev, Chairman, State Customs Committee of the Republic of Azerbaijan
Mr. Antonio Llobet de Pablo, President, International Association AEO Customs and Logistics
Mrs. Pilar Jurado, Director General Customs of Spain
Mr. Kestutis Jankauskas, Ambassador Head of EU Delegation in Azerbaijan
Mr. Enrique Canón, Chairman, World Customs Organization (WCO)

11.00-11.30.

Keynote Speech
Silk Road: A corporate perspective
Mr. Pavel Ivanov, Global Head of Customs Compliance and Legal at DHL Global Forwarding

11.30-13.00.

AEO Session 1 Panel Discussion
Core Elements of a Secure Business Environment
Moderator: Mr. Antonio Vidales, Vice-President, International Association AEO
Mr. Ricardo Treviño, Deputy Secretary General, World Customs Organisation (WCO) (*)
Mr. Safar Mehdiyev, Chairman, State Customs Committee of the Republic of Azerbaijan
Mrs. Pilar Jurado, Director General, Customs and Excise, Spain
Mr. José Angel Astillero, Head of Ports and Airports Security, Guardia Civil
Mr. Gay de Montellá, Vice-President, Confederation of Employers of Spain (CEOE)
Mr. Pedro Castro, President, International Association of Professional Customs Agents (ASAPRA)

13.00-14.00.

Networking Lunch

14.00-17.00.

Assembly Meeting of the International Association AEO Customs and Logistics
(Public meeting, open to observers)

17.30-19.30.

Opening ceremony of the exhibition “Honorable historical path” at the Azerbaijan
Carpet Museum and familiarization with the exhibits

19.30-22.00

Dinner at the “Yacht Club” Restaurant

Thursday, 3rd May 2018

09.00-11.00.

AEO Session 2 Panel Presentations
Building a secure supply chain: Perspective of AEO private sector operators
Moderator: Mr. Pedro Castro, President, International Association of Professional Customs Agents (ASAPRA)
Mr. John Mein, Executive Coordinator, Allianca PROCOMEX / Federation of Brazil Industry (CNI)
Mrs. Lubov Babeshko, Director for Alliance Customs & Trade Russia and CIS, Renault- Nissan.
Mrs. Natalia Calenic, Vice-President Chamber of Commerce of Moldova
Mr. Luis Ernesto Castedo, Vice-President, National Chamber of Customs Brokers of Bolivia
Mr. Joe Henry Thompson, International Association AEO Representative for SICA Countries

11.00-11.30.

Keynote Speech
Silk Road: A Border Security perspective
Mr. Lars Karlsson, President and CEO, KGH Border Services

11.30-13.00.

AEO Session 3 Panel Presentations
Building a secure supply chain: Perspective of AEO public sector programmes
Moderator: Mr. Alfonso Rojas del Castillo, Permanent representative of ASAPRA at WCO PSCG
Mr. Enrique Canón, Director General, Customs of Uruguay
Ms. Jale Arslan, Head of Department, Ministry of Customs and Trade of Republic of Turkey
Ms. Maka Khvelidze, Deputy Head of International Relations Department, Revenue Service of the Ministry of Finance of Georgia Revenue Service of Georgia
Mr. Toshihiko Osawa, Policy Advisor to Director General, Customs and Tariff Bureau, Ministry of Finance Japan

13.00-14.00.

Networking Lunch

14.00-17.00.

Technical Visit: New Port of Baku and Free Trade Zone

18.00-22.00.

Performance of the musical comedy by Uzeyir Hajibeyov “O olmasın bu olsun” at the State Musical Theater followed by dinner

Friday, 4th May 2018

09.00-11.00.

AEO Session 4 Panel Discussion
Customs-Business Cooperation: Contributing to Economic Development
Moderator: Mr. Enrique Canón, Director General, Customs of Uruguay
Mr. Alfonso Rojas Del Castillo, Permanent representative at WCO PSCG, ASAPRA
Mr. Antonio Vidales, Vice-President, International Association AEO
Ms. Cristina Juan Carrión, Center for Economic and Social Development of Azerbaijan

11.00-11.30.

Keynote Speech
Silk Road: An intermodal transport and logistics perspective
Mr.Eugene Seah, Head of Operation Service, Baku International Sea Trade Port
Mr. Elchin Ahmadov, Deputy Director ADY Express

11.30-12.30.

Workshop: BlockChain
Moderator: Mr. Igbal Babayev, Chief of Performance Measurement and Development Programs Head Department, State Customs Committee
Mr. Azar Bayramov, Deputy Executive Director, State Fund for Development of Information and Communications Technology, Baku
Mr. Nicholas Buhmann, Commercial Manager of Maersk and IBM’s joint Global Trade Digitization project
Mr. Alvaro Llovet, Blockchain & crypto specialist

12.30-13.00.

Closure Ceremony
Signature of Action Plan on AEO, between the State Customs Committee of the Republic of Azerbaijan and the International Association AEO Customs and Logistics
Conclusions and Closing Remarks
Mr. Safar Mehdiyev,  Chairman, State Customs Committee of the Republic of Azerbaijan
Mr. Antonio Llobet de Pablo, President, International Association AEO Customs and Logistics

13.00-14.00.

Networking Lunch

14.00-16.30.

Baku Sightseeing tour and visit to the “Heydar Aliyev Centrer”

16.30-19.30.

Visit to the Old Town (Maiden tower, Shirvanshahlar palace, etc.)

19.30-22.00.

Official Closure Dinner at the “Art Garden” Restaurant

SPEAKERS

(*) To be confirmed

Safar-Mehditev

Mr. Safar Mehdiyev

Chairman, State Customs Committee of the Republic of Azerbaijan

Enrique-Canon

Mr. Enrique Canón

Chairman, World Customs Organization (WCO) Council and Director General, Customs of Uruguay

ricardo-trevino

Mr. Ricardo Treviño

Deputy Secretary General of World Customs Organisation (WCO)

Pilar-Jurado

Mrs. Pilar Jurado

Director General, Customs and Excise, Spain

Antonio-Llober

Mr. Antonio Llobet de Pablo

President, International Association AEO Customs and Logistics

igbal-babayev

Mr. Igbal Babayev

Mr. Igbal Babayev, Chief of Performance Measurement and development Programs Head Department, State Customs Committee of the Republic of Azerbaijan

elchin-ahmadov

Mr. Elchin Ahmadov

Deputy Director, ADY Express

azar-bayramov

Mr. Azar Bayramov

Deputy Executive Director, State Fund for Development of. Information and Communications Technology, Baku

Pavel-Ivanov

Mr. Pavel Ivanov

Global Head of Customs Compliance and Legal at DHL Global Forwarding

Joaquim-Gay-de-Montella

Mr. Gay de Montellá

Vice-President, Confederation of Employers of Spain (CEOE)

jale-arslan

Mrs. Jale Arslan

Head of Department, Ministry of Trade and Customs, Republic of Turkey

Maka-KHVEDELIDZE

Ms. Maka Khvelidze

Deputy Head of International Relations Department, Revenue Service of the Ministry of Finance of Georgia Revenue Service of Georgia

toshihiko-osawa

Mr. Toshihiko Osawa

Policy Advisor to Director General, Customs and Tariff Bureau, Ministry Of Finance Japan

Mrs.-Lubov-Babeshko

Mrs. Lubov Babeshko

Director for Alliance Customs & Trade Russia and CIS, Renault- Nissan.

natalia-calenic

Mrs. Natalia Calenic

Vice-President Chamber of Commerce of Moldova

Lars Karlson

Mr. Lars Karlsson

President and CEO, KGH Border Services

kestukis-jankauskas

Mr. Kestutis Jankauskas

Ambassador, Head of EU Delegation in Azerbaijan

Pedro-Garino-Castro

Mr. Pedro Castro

President, International Association of Professional Customs Agents (ASAPRA)

alfonso-rojas

Mr. Alfonso Rojas del Castillo

Permanent representative of ASAPRA at WCO PSCG

antonio_vidales-caaarem

Mr. Antonio Vidales

Vice-President, International Association AEO

jose-angel-astillero


Mr. José Angel Astillero

Mr. José Angel Astillero, Head of Ports and Airports Security, Guardia Civil

Joe-Henry-Thompson

Mr. Joe Henry Thompson

International Association AEO Representative in SICA Countries

Luis-Ernesto-Castedo

Mr. Luis Ernesto Castedo

Vice-President, National Chamber of Customs Brokers of Bolivia

John-Mein

Mr. John Mein

Executive Coordinator, Allianca PROCOMEX / Federation of Brazil Industry (CNI)

Seah

Mr. Eugene Seah

Head of Operation Service, Baku International Sea Trade Port

nicolas-buhmann

Mr. Nicolas Buhmann

Commercial Manager of Maersk and IBM’s joint Global Trade Digitization project

Alvaro-Llobet

Mr. Alvaro Llobet

Blockchain & crypto specialist

cristina-juan-carrion

Ms. Cristina Juan Carrión

Tallin University of Technology

anar-suleymanov

Mr. Anar Suleymanov

First Deputy Chief, Head Department of Performance Measurement and Development Programs at State Customs Committee of the Republic of Azerbaijan

Lars Karlson

Lars Karlsson

President and CEO, KGH Border Services

Don’t miss AEO in Baku

Posted: 8 April, 2018 by Lars Karlsson

If you are interested in the Autorised Economic Operator instrument and how AEO/TTP will be used in the context of new trusted trade lanes – like e.g. The new Silk route, then you should gonto Baku on 2-4 May for this conference.

The International Association of Authorized Economic Operators (AEO) Customs and Logistics together with the States Customs Committee of Azerbaijan organizes this event. I will be there – will you?

PLATINUM SPONSORS

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El Consorci de la Zona Franca (CZFB), the first consortium established in Spain (1916), is a public economic revitalisation organisation which operates mainly in the metropolitan area of Barcelona.

 

Its main mission is to manage the Zona Franca Industrial Estate and its Zona Franca Customs Authority. It also manages its assets and promotes the international projection of Barcelona, Catalonia and Spain in the exhibition, logistics and real estate sectors. The Estate has more than 12,000,000 m2 of industrial and urban land in various stages of development.

 

Its corporate mission is to promote social progress and job creation by fostering industrial and logistics growth, boosting business development and providing platforms for economic activity and technology transfer. Over the years it has contributed to economic and social growth in each successive cycle, thanks to pioneering initiatives.

 

The governing bodies of the organisation include representatives from the main financial organisations in Barcelona, the Barcelona City Council and the Spanish Government. Its plenary decisions are thus a reflection of a spirit of public-private cooperation.

Azersun Holding Group of Companies has started its activities in Azerbaijan back in 1991. Starting from the first years of its activities, this Holding has turned out into a leading company in the field of food production, its retail trade and agriculture.

The Group of Companies has played a crucial role in making Azerbaijan as a food producing and exporting country. Plants which are functioning within Azersun Holding have strong industrial potential. These plants have also a broad export network. The Holding and the companies it owns serve the need of people at the basis of such principles as management, customer satisfaction, quality insurance, social responsibility projects and environment protection.

Making investments into production sphere of the country, since its creation, this Holding is producing the following products of food sector in line with international standards: tea, butter, canned goods, hazelnuts, packed products, napkins, tin or paper made packaging. Plants and facilities functioning within Azersun Holding Group of Companies are equipped with latest hi tech equipment.

Azersun Holding generates all its products in its factories using natural fruits and vegetables. The Group of Companies is paying also a special attention to environment protection.

Azersun Holding Group of Companies has earned trust and respect of the society due its work during 27 years long activities in Azerbaijan. Gaining a special place in economic development of the country, Azersun Holding is also bringing its contribution to the social development.

GOLD SPONSORS

SILVER SPONSORS

MEDIA PARTNERS

CONCLUSIONS

2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY

“Contributing to a secure business environment for economic development”

  1. Leveraging the Customs-Private Sector partnership to improve international trade

All stakeholders from the private sector involved in international trade are also a responsible party for the security of the supply chain. Public-private cooperation in the form of Authorised Economic Operators (AEO) programs that certify “trusted” traders help both Customs and business to operate with robust management systems that guarantee the security of supply chains. Customs policies, strategy and modernization initiatives may not be efficient unless taking into account the trading community perspective.

2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY, in this respect, is the first ever partnership initiative of a private sector international organization and Customs of Azerbaijan, truly addressing the trading community needs and expectations.

  1. AEO institutionalization calls for interagency coordination

Business need legal security and reliable information in order to develop trade. AEO programs worldwide need to provide clear and standard legal provisions and practical implementation frameworks. Successful AEO implementation requires all border services to be engaged in building secure and agile supply chains, thus extending provisions for AEO status to these areas. Some AEO programs are already engaging all border services, lead by clear political will for interagency coordination and enabled by tools such as the single window.

2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY can in this sense be regarded as a big leap towards AEO institutionalization in Azerbaijan. Provisions on AEO have been already well engraved to customs legislation in Azerbaijan, including Customs Code and the decisions of the Cabinet of Ministers. Nevertheless, Customs Service of Azerbaijan still needs to take practical steps to develop a better understanding and raise awareness about AEO. Besides the trading community, the participation of other government agencies in the event creates a totally new landscape to build a common compliance strategy and think about a Single Government AEO status.

  1. AEO focus on “risk management and compliance” practices

With AEO programs, Customs is in a unique position to provide increased security to the global supply chain. Customs services worldwide continue to maintain effective controls to combat cross-border crime and terrorism, which have grown and become sophisticated as a result of the new possibilities offered by technology developments and complex world markets. Nevertheless, to achieve best results, it needs a clear strategy to secure the movement of global trade in a way that it does not impede but, on the contrary, facilitates the movement of legitimate trade by compliant operators and actively go against those who operate illegally. From this perspective, 2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY cultivating a risk management and compliance culture amongst the trading community is of utmost importance. Providing clear benefits to AEOs and ensuring proper monitoring and assurance mechanisms will help to find the right balance between trade facilitation and security agendas of Government.

The significant growth in international trade expected for this year – a 3.2% increase according to the World Trade Organization (WTO) – implies an increased number of goods exchanged in the international supply chains, which makes it necessary to speed up controls. Thus, AEO programs make a significant contribution to participating in competitive supply chains in international trade.

  1. Mutual Recognition of AEOs gives competitive access to global markets. More MRAs are needed.

AEO benefit “trusted traders” and international trade. The mutual recognition of AEO status between Customs authorities of different governments scale up AEO benefits internationally. Already a good number of Customs administrations are working on bilateral and regional mutual recognition agreements (MRAs). A longer term goal is a global system of mutual recognition. MRAs are a key tool to ensure supply chain security from beginning to end. So far 61 WCO member countries have signed MRAs and 35 more are currently being negotiated.

In this sense, 2018 AEO INTERNATIONAL CONFERENCE AND ASSEMBLY promoted the idea that developing an AEO system in Azerbaijan will facilitate international competitiveness of “Made in Azerbaijan” products traded by AEO operators, as they should enjoy facilitation to access global markets.

  1. Building trust among stakeholders

Trust between the public and private sectors and also between operators certified as AEO is key. The relationship between Customs and AEO traders is based on the principles of legitimacy, responsibility and transparency. Efficient risk management for secure trade facilitation by Customs, and time savings and other monetized savings for traders – it all depends on collaboration based on mutual trust. AEO is a certification open to all supply chain actors but nobody is obliged to be an AEO. Certification as an AEO must be born from the company itself, because acting as an authorized economic operator must be part of the company’s philosophy and practice. A relationship of trust between companies, facilitates the necessary fluidity between suppliers and customers.

Information is available but not easy to share. Administrative costs can be higher than transportation and logistics costs. The AEO institution, with its rules and practices for compliance, security and transparency, builds trust among actors and contributes to reduce the costs of transactions in trade.

  1. Role of emerging technologies is decisive

AEO and other Customs tools need to integrate emerging technology solutions, such as blockchain, to manage international supply chains in a more cost effective, transparent, fast and secure way. Customs and other border agencies today are faced with multiple challenges requiring a great deal of adaptability and resilience. Technologies, like Blockchain, IoT and Big Data may help to re-design our thinking about supply chain and its management.

Success in implementing AEO programs and smart border security models depend on the level of penetration and efficient use of ICT. In a world that is globally connected, International trade operations require ITC connectivity to secure the entire supply chain.

  1. Support to Small and Medium Enterprises

Small and Medium Enterprise (SME) represent a vital part of global value chains, in some cases the vast majority of a supply chain may be composed of SME economic operators. The international customs community, led by WCO, is aware that there is a need to promote the SAFE Framework and AEO certification widely among SMEs. Unquestionably the proportionate impact of the investment required to become and maintain AEO status is greater for SMEs than for larger companies. AEO programs should involve clear strategies to support SMEs, providing them with benefits that far surpass expenses.

Business, regardless of its size, need to innovate, produce quality and differentiation to be competitive in international markets. The great challenge of both SMEs and big business is to differentiate itself in International markets. Business need to know that Customs exist and function well to facilitate trade and protect legitimate traders, and ultimately society. Business and Customs need to build a mutually supportive relationship, in order to generate wealth and create employment, these are the ultimate goals of business of all sizes.

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