The European Union and the United States have announced an agreement to recognise each other’s air cargo security controls in a bid to cut costs for the lucrative freight business.

The mutual recognition and cooperation deal will allow cargo flights to go through a single screening procedure instead of the current situation, in which parcels and mail undergo checks on both sides of the Atlantic.

“We are getting rid of duplication of security controls, while preserving high levels of security,” European Transport Commissioner Siim Kallas said in a statement.

“Cutting out the duplication of security procedures will mean huge savings for cargo operators in terms of time and money,” he said of the deal signed between the European Commission and the US Transport Security Administration.

The Commission estimates that the agreement will save tens of millions of euros per year in the 27-nation EU. Switzerland, which is outside the EU, was included in the deal.

One million tonnes of cargo is transported between the US and the EU every year. The goods carried by air are worth more than €107 billion.

Security measures account for up to four per cent of turnover for some carriers, the EU’s executive arm said. And going through screenings twice can account for one-fifth of security costs.

“This agreement with the EU and Switzerland will ease the burden on industry and allow for the free movement of goods and commerce between our nations,” said TSA Administrator John Pistole.

“It will also strengthen security by ensuring that we share information and work together towards our common interests.”

The deal was applauded by the Association of European Airlines (AEA), which represents 34 carriers that ferry 376 million passengers and six million tonnes of cargo each year.

“This will eliminate duplication, cut equipment costs and reduce the administrative burden for our member airlines,” AEA security and cargo manager Margreet Lommerts.

The United States had signed bilateral deals with five EU nations, including Britain, France, Finland, Ireland and the Netherlands.

Concerns over air cargo security intensified after the discovery in October 2010 of a plot by militants in Yemen to ship explosives concealed in cargo.