STRATEGIC STEPS IN INDO-US RELATIONSHIP
Recent Developments in Indo-US Relations
Nov 2001 : President Bush and Indian PM AB Vajpayee meet in Washington, DC, and agree to take steps to qualitatively transform Indo-US relations.
Nov 2002 : India-US High Technology Co-operation Group (HTCG) established.
Feb 2003 : US Under Secy of Commerce and Indian Foreign Secy sign the Statement of Principles on US-India High Technology Cooperation.
Jul/Nov 2003 : HTCG convenes in Washington, DC, to discuss issues relevant to creating conditions for more robust bilateral high-technology commerce.
Jan 2004 : The US and India agree to expand cooperation in civilian nuclear activities, civilian space programmes, and high-technology trade.
Sep 2004 : The US and India conclude Phase 1 of the ‘Next Steps in Strategic Partnership ( NSSP).
Sep 2004 - Jun 2005 : Visit by various officials to India, Pakistan and the sub-continent to assess the situation first-hand.
29 Jun 2005 : A 10 Year defence alliance between US and India inked. The 'New Framework for the US-India Relationship' was signed by the US Defence Secretary Donal Rumsfeld and the Indian Defence Minister Pranab Mukherjee.
In Sep 2004, the US published a regulation implementing the Phase 1 export licensing commitments. The regulatory changes include:
1. Removing the Indian Space Research Organisation (ISRO) Headquarters from the Entity List.
2. Removing licensing requirement for low-level dual-use items exported to ISRO’s subordinate entities listed on the Entity List.
3. Expanding the ‘presumption of approval’ policy for all dual-use items not controlled by Nuclear Suppliers Group (NSG), if intended for export to the ‘balance of plant’ portion of an Indian nuclear facility subject to international safeguards.
Most trade with India does not require a license. Approximately 1% of all US trade with India requires an export license.
The US approves a vast majority of exports that require license. In fiscal 2004, the US approved approx 90% of the applications that required an export license.
License application processing is timely and efficient; say in 40-45 days.
Fewer licensing applications are denied for India each year. In FY 2003, only 10% were denied –down from 15% in FY 2002.
Many applications submitted for approval do not require a license.
This is a result of 'disinformation'.
The US and India are committed to working towards enhancing a qualitatively transformed relationship and continuing efforts to stimulate bilateral high-technology defence & commerce.
A 10 Year defence alliance docu signed on 29 Jun 2005 consolidates the move.