NEW DELHI : India and Israel have taken a significant step towards strengthening bilateral trade facilitation and secure cross-border commerce by signing a Joint Action Plan for the phased negotiation of an Authorised Economic Operator Mutual Recognition Arrangement (AEO-MRA).
The Joint Action Plan was signed on July 8, 2026, by Sh. Yogendra Garg, Special Secretary to the Government of India and Member (Customs), Central Board of Indirect Taxes and Customs (CBIC), and Mr. Kfir Hen, Director General of Customs, Israel.
The agreement establishes a structured roadmap for negotiating an AEO Mutual Recognition Arrangement between the customs administrations of the two countries. Once concluded, the arrangement will enable reciprocal recognition of each country’s Authorised Economic Operator (AEO) programmes, allowing certified businesses to benefit from simplified customs procedures and enhanced trade facilitation.
The proposed AEO-MRA is expected to strengthen supply chain security, reduce non-tariff barriers, improve customs cooperation, and facilitate faster and more predictable movement of goods between India and Israel. It will also enhance trust between customs administrations by recognising equivalent supply chain security standards and compliance practices.
Under the proposed arrangement, eligible AEO-certified exporters, importers and logistics operators are expected to benefit from reduced customs inspections, faster cargo clearance, lower compliance costs, priority treatment at ports and border checkpoints, and improved predictability in international trade operations.
The initiative is expected to particularly benefit sectors with growing bilateral trade, including engineering goods, electronics, chemicals, pharmaceuticals, gems and jewellery, agriculture, defence manufacturing and high-technology industries.
The Joint Action Plan also provides a framework for continued technical engagement between the customs authorities of both countries through information exchange, consultations, capacity building and alignment of operational procedures, paving the way for the formal conclusion of the Mutual Recognition Arrangement.
The development reflects the shared commitment of India and Israel to strengthening resilient and secure global supply chains while enhancing ease of doing business and promoting trusted trade. It also complements the broader economic and strategic partnership between the two countries by facilitating greater efficiency in customs administration and international logistics.
India’s Authorised Economic Operator programme, administered by the Central Board of Indirect Taxes and Customs (CBIC), is aligned with the World Customs Organization’s SAFE Framework of Standards and is designed to promote secure and compliant international trade through risk-based customs facilitation.
Once operational, the India–Israel AEO Mutual Recognition Arrangement is expected to boost bilateral trade, improve logistics efficiency, enhance competitiveness for trusted businesses, and further deepen customs cooperation between the two countries.
