The Bangladesh Investment Development Authority (BIDA) on Sunday awarded Authorized Economic Operator (AEO) status to 10 business entities, aiming to facilitate trade by streamlining customs procedures.
Similar to the "Green Channel" system at airports, the AEO status allows companies to bypass certain customs checks, expediting the clearance of goods at ports. This is expected to reduce production and export lead times while easing congestion at ports.
BIDA Chairman Ashiq Chowdhury stated that the AEO license is not intended to impose new restrictions on businesses but rather to encourage good practices. "Only companies with a strong track record in consumer rights, tax compliance, and governance will be eligible for this status," he said.
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The AEO concept is widely used in developed countries. Although Bangladesh officially introduced the system in 2013, businesses have not been able to fully utilize its benefits until now.
"BIDA's responsibility is to improve the ease of doing business in Bangladesh. The real challenge here was to implement 'ease of doing business' within the government itself," Ashiq Chowdhury wrote in a Facebook post.
The 10 companies granted AEO status are Unilever Bangladesh, Berger Paints Bangladesh Ltd, GPH Ispat, BSRM, Square Pharmaceuticals PLC, Popular Pharmaceuticals Ltd, Incepta Pharmaceuticals Ltd, Fair Electronics, ACI Godrej Agrovet Pvt Ltd (Feed Division), and TOA Personal Protective Device Bangladesh Ltd.