A mutual recognition agreement of authorized economic operator (AEO) status signed between China and Uganda went into effect on Thursday, according to the General Administration of Customs (GAC).

Under the framework, companies that obtain AEO status in the two countries will enjoy simplified customs procedures, such as reduced examination and prioritized clearance, which will significantly shorten customs clearance time and reduce storage and logistics costs.

The agreement, the first of its kind to take effect between China and an African country, will create a more favorable environment for the high-quality development of bilateral economic and trade cooperation between China and Uganda, the GAC said.

Chinese companies will be able to export goods including mechanical and electrical products as well as clothing and footwear to Uganda more conveniently and efficiently, while Chinese consumers will enjoy more high-quality sesame, cotton, leather, coffee and other goods from Uganda.

So far, China has signed AEO agreements with 52 countries and regions. In the next step, the country will fully promote the AEO mutual recognition cooperation process with more African countries, the GAC said.