The US has allowed American companies to sell high-tech dual-use products with
potential military applications to pre-screened customers in India without an
US commerce department has announced a new `Validated End-User'' (VEU) programme
to facilitate increased bilateral trade in high technology trade with India while
keeping US export control regime in tact.
VEU programme will make import of dual-use items, which have both commercial and
military use, easy for Indian entities that meet US security requirements.
the programme will meet US requirements of an inter-agency review process while
at the same time helping American exporters remain competitive in the market.
US exports to
India have increased 66 per cent since 2004, aided by a fall in the percentage
of total items requiring a commerce department licence to less than one per cent
from 24 per cent in 1999.
growth has created new opportunities for US businesses and workers and the VEU
programme could boost US high-tech exports to India in such areas as electronics,
avionics, aerospace, and life sciences, commerce secretary Carlos M.Gutierrez
exporters benefit from access to India''s market, and the VEU builds upon the enormous
progress made over the last six years in facilitating secure high-technology trade
and investment while strengthening our cooperation on export controls," said
common sense approach will make it easier for US companies to sell their products
to pre-screened customers in India, while maintaining vigilance over US technologies,"
will eliminate individual licence requirements for US companies on export of controlled
items to certain customers in India with a track record of responsible use of
by President George Bush in March 2006, the VEU programme was announced last week
at the US-India CEO forum.
US has gradually been relaxing controls on exports to India over the past several
years, the current programme is expected to go further by enabling licence-free
exports to authorised companies in India.