The density matrix evolution for a three-level cascade atom is general
ised to high vapour densities by the inclusion of the local field effe
ct, and thereby, nonlinear cross-coupling terms arise. Numerical resul
ts show that these terms do not affect electromagnetically induced tra
nsparency significantly at moderate densities. Opportunities for exper
imental observation of the correction in this, and a resonantly-enhanc
ed sum frequency mixing system, at very high densities, are indicated.