Authorized Economic Operator scheme grants certified trade operators enhanced customs facilitation and supply chain security recognition. The AEO scheme is a voluntary WCO SAFE aligned programme granting tiered accreditation (three tiers for importers/exporters; AEO LO for other supply chain actors) that delivers lowered RMS risk ratings, simplified customs procedures and expedited clearance. Customs must provide dedicated facilitation facilities, centrally maintain AEO records and monitor compliance with powers to require improvement or deregister persistent non compliers. The scheme supports Mutual Recognition Arrangements to extend benefits internationally and is governed by CBIC circulars setting operational details.