Brazilian and US investors hope Brazil’s coming administration conclude the mutual recognition agreement between the Brazilian and US programs for the Authoritzed Economic Operator (AEO). The topic was discussed at the plenary session of the Brazil–US Business Council on Tuesday (Dec. 4) in São Paulo.
Brazil’s National Confederation of Industry (CNI) released a study showing that adopting the program could bring an extra $50.2 billion to Brazil’s GDP by 2030.
The AEO program was created in 2014 and stipulates that importers, exporters, transporters, and freight agents are certified in both countries for priority and swiftness in customs operations. Commercial agents are expected to fulfill a number of requirements.
Delays arising from customs bureaucracy are reported to increase export costs by some 13 percent and import costs in Brazil approximately 14 percent.