diff --git a/apperr/apperr.go b/apperr/apperr.go
new file mode 100644
index 0000000..69d86ea
--- /dev/null
+++ b/apperr/apperr.go
@@ -0,0 +1,57 @@
+package apperr
+
+import (
+	"fmt"
+	"runtime"
+)
+
+// Component defines where the error occurred
+type Component string
+
+const (
+	DataLayer Component = "DataLayer"
+	LogicLayer Component = "LogicLayer"
+	APILayer Component = "APILayer"
+)
+
+// AppError is our custom error type
+type AppError struct {
+	Component     Component // Where it failed
+	PublicMessage string    // Safe to show to the end-user
+	OriginalErr   error     // The actual error that triggered this
+	File          string    // Traceback: File name
+	Line          int       // Traceback: Line number
+}
+
+// New creates a new AppError and captures the caller's traceback automatically
+func New(comp Component, publicMsg string, err error) *AppError {
+	_, file, line, ok := runtime.Caller(1)
+	if !ok {
+		file = "unknown"
+		line = 0
+	}
+
+	return &AppError{
+		Component:     comp,
+		PublicMessage: publicMsg,
+		OriginalErr:   err,
+		File:          file,
+		Line:          line,
+	}
+}
+
+func (e *AppError) Error() string {
+	if e.OriginalErr != nil {
+		return fmt.Sprintf("[%s] %s:%d - %s: %v", e.Component, e.File, e.Line, e.PublicMessage, e.OriginalErr)
+	}
+	return fmt.Sprintf("[%s] %s:%d - %s", e.Component, e.File, e.Line, e.PublicMessage)
+}
+
+func (e *AppError) Unwrap() error {
+	return e.OriginalErr
+}
+
+// ClientError provides the safe message for the API/CLI response.
+func (e *AppError) ClientError() string {
+	return e.PublicMessage
+}
\ No newline at end of file
diff --git a/testing/dockertestx/minio_migrate.go b/testing/dockertestx/minio_migrate.go
index 7cb35b2..8625e19 100644
--- a/testing/dockertestx/minio_migrate.go
+++ b/testing/dockertestx/minio_migrate.go
@@ -8,6 +8,7 @@ import (
 
 	"github.com/ory/dockertest/v3"
 	"github.com/ory/dockertest/v3/docker"
+	"github.com/raystack/salt/apperr"
 )
 
 const waitContainerTimeout = 60 * time.Second
@@ -56,7 +57,11 @@ func MigrateMinio(minioHost string, bucketName string, opts ...dockerMigrateMini
 	if dm.pool == nil {
 		dm.pool, err = dockertest.NewPool("")
 		if err != nil {
-			return fmt.Errorf("could not create dockertest pool: %w", err)
+			return apperr.New(
+				apperr.DataLayer, 
+				"Could not create dockertest pool", //for user
+				err, //for logger
+			)
 		}
 	}