Representatives from the United States travel industry have complained before the House Committee on Government Reform that the newly-introduced procedures in procuring visas to the country will cost hundreds of millions of dollars by discouraging business and vacation travel from abroad.

According to the travel industry, it will suffer more if, as reported, the US decides to give priority to student visas in some cases because of admission deadlines in American colleges under the new visa procedures announced on Thursday.

They said restrictions on entering the US are being implemented too quickly and pointed out that visits to the US by foreigners have fallen almost 20 per cent since the terrorist attacks of September 11, 2001, costing the US economy about $15 billion.

National Foreign Trade Council, an association of 33 business groups, wrote a letter to President George W Bush on Thursday, describing the problems they will face as a result of the new visa regime.

"Both large and small companies have grown weary of complaints from overseas customers that doing business with US companies is hardly worth the trouble, due to overwhelming delays and frustrations in acquiring proper visas," the Council said.

"Our member companies cannot sustain business with overseas customers under these circumstances. That's bad for American business," it added.

John A Marks, National Chairman of the Travel Industry Association of America, called on Secretary of State Colin Powell and urged him to use his authority to postpone the requirement for 18 months.

Marks also requested Powell to delay implementing the face-to-face interviews until additional resources have been received from Congress.

Randel K Johnson, vice president of labour, immigration and employee benefits for the US Chamber of Commerce, said the business community fears that the government is not listening to its anxiety about the policies' impact.

"There is room for public debate as to whether a two-or three-minute interview will uncover a possible terrorist," he said.

He questioned whether the changes "will actually enhance security or just make our friends around the world continue to see the United States as 'just too much trouble to visit or do business with.'"