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BIS Approves First Indian Company as Validated End-User

General Electric India has been approved by the Bureau of Industry and Security as the first Indian company to qualify as a validated end-user (VEU) in India, allowing the company to enter a pre-approved, export express lane as a trusted end user.

(In June 2007, BIS issued a final rule which established a new authorization for VEUs located in eligible destinations to which commodities, software and technology (except those controlled for missile technology (MT) or crime control (CC) reasons) may be exported, reexported or transferred without a license. In October 2007, BIS issued a final rule making India eligible for authorization VEU.)

VEU Designation Will Allow GE India to Receive Certain Controlled Items

After an extensive background review, the VEU designation will allow GE India to receive certain controlled items from the U.S., including civilian aircraft technology and explosive detection equipment without an individual license.

GE India Will Become Eligible as VEU Later in June

GE India will become eligible as a validated end-user later in June 2009 after the regulation is published in the Federal Register. Additional Indian firms have been encouraged to take advantage of the VEU program.

(Companies in India participating in VEU must pass a rigorous national security review and agree to strict follow-on compliance obligations prior to qualification.)

(See ITT's Online Archives or 10/17/07 and 10/03/07 news, 07101730 and 07100330, for BP summaries of BIS' final rule making India eligible for VEU. See ITT's Online Archives or 01/04/08 news, 08010425, for BP summary of BIS amending the VEU reporting requirements, etc.

See ITT's Online Archives or 06/28/07 news, 07062815, for final part of BP summary of BIS' final rule creating the VEU program, etc., with links to previous parts.)

Commerce Dept press release on GE India (dated 06/17/09) available at http://www.commerce.gov/NewsRoom/PressReleases_FactSheets/PROD01_008103