US President Barack Obama on Saturday announced that the US would ease regulations governing exports to India making it easier for American firms to export products to India that can be used both for civilian and military purposes.
The President's announcement, in the course of a speech to US and Indian business leaders that included Jeff Immelt, Mukesh Ambani Ratan Tata and Anand Mahindra , fulfils a major demand of Indian business. The speech had no details, and actual implementation of the new liberalised regime would depend on the deliberations of an expert group.
"Even as we strengthen our national security, we make sure that unnecessary barriers don't stand in the way of high-tech trade between our countries. We will work with India to fundamentally reform our control on exports, which will allow greater co-operation in a range of high-tech sectors to strengthen our relation," Mr Obama said.
The easing of the so-called export control regime could result in some organisations associated with India's space and defence sectors, such as the Indian Space Research Organisation or ISRO being taken off the so-called entities list, making it easier for US firms to export to them. But all this is not certain and the President only referred to "reform" of the export-control regime.
The concession on the export-control rules apart, the President's speech was firmly focused on the potential of the Indian market and the jobs that exports to India could create.
Mr Obama's Democratic Party suffered major reverses in mid-term elections last week. The Democrats lost their majority in the House of Representatives, making it difficult for the President to push through any legislation.
On Saturday, the President referred to twenty deals between Indian and American firms worth $10 billion or around Rs 44,000 crore which would create 50,000 jobs back in the US.
"I make no apologies to do whatever I can for job creation and business invest in America," the President told assembled CEOs at the Trident. He said he has "marshalled the full resources of the US government to increase exports to India."
The deals announced on Saturday included a sale of jets by Boeing to Spicejet , an airline, and a $750 million contract for supply of gas turbines by GE to power plant being built by the Anil Ambani group. "This is my longest trip outside the US as President," Mr Obama said.
The President said he "fervently" welcomed India's rise. "We want to invest in it," the President said. US companies were ready to help improve India's infrastructure and to meet her defence needs, a reference to several defence deals that are in the works. "For America this is a job strategy," the President said.
A leading Indian business leader said nothing incongruous about Mr Obama's emphasis on how the US could benefit from its ties with India. "India's brand image has long been as one extending her hand and asking for something. Let us embrace this opportunity of being treated as an equal," Mr Mahindra said at a round-table organised shortly before the US President's speech.
The President's announcement, in the course of a speech to US and Indian business leaders that included Jeff Immelt, Mukesh Ambani Ratan Tata and Anand Mahindra , fulfils a major demand of Indian business. The speech had no details, and actual implementation of the new liberalised regime would depend on the deliberations of an expert group.
"Even as we strengthen our national security, we make sure that unnecessary barriers don't stand in the way of high-tech trade between our countries. We will work with India to fundamentally reform our control on exports, which will allow greater co-operation in a range of high-tech sectors to strengthen our relation," Mr Obama said.
The easing of the so-called export control regime could result in some organisations associated with India's space and defence sectors, such as the Indian Space Research Organisation or ISRO being taken off the so-called entities list, making it easier for US firms to export to them. But all this is not certain and the President only referred to "reform" of the export-control regime.
The concession on the export-control rules apart, the President's speech was firmly focused on the potential of the Indian market and the jobs that exports to India could create.
Mr Obama's Democratic Party suffered major reverses in mid-term elections last week. The Democrats lost their majority in the House of Representatives, making it difficult for the President to push through any legislation.
On Saturday, the President referred to twenty deals between Indian and American firms worth $10 billion or around Rs 44,000 crore which would create 50,000 jobs back in the US.
"I make no apologies to do whatever I can for job creation and business invest in America," the President told assembled CEOs at the Trident. He said he has "marshalled the full resources of the US government to increase exports to India."
The deals announced on Saturday included a sale of jets by Boeing to Spicejet , an airline, and a $750 million contract for supply of gas turbines by GE to power plant being built by the Anil Ambani group. "This is my longest trip outside the US as President," Mr Obama said.
The President said he "fervently" welcomed India's rise. "We want to invest in it," the President said. US companies were ready to help improve India's infrastructure and to meet her defence needs, a reference to several defence deals that are in the works. "For America this is a job strategy," the President said.
A leading Indian business leader said nothing incongruous about Mr Obama's emphasis on how the US could benefit from its ties with India. "India's brand image has long been as one extending her hand and asking for something. Let us embrace this opportunity of being treated as an equal," Mr Mahindra said at a round-table organised shortly before the US President's speech.
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