Economics India

Saturday, February 25, 2006

Who Needs Nuclear Pact More: India or USA?

Perhaps, both -- but more so, India if the country must generate sufficient electric power to sustain its economic growth, continue progress on poverty reduction, and improve quality of life for the millions.

It was indeed creditable for Prime Minister, Mr. Manmohan Singh -- BJP Prime Minister, Mr. Bajpai had started the process earlier -- to secure an exception from President Bush that it should be enough for India to separate its civil nuclear program from military nuclear program and bring only the former under IAEA supervision -- this exception is important especially in the context that India has consistently declined to sign NPT while the US law prohibits sale of nuclear technology to nations that are not part of NPT or have tested a nuclear bomb -- thus India does not qualify to receive US nuclear technology on both these grounds. President Bush says India deserves an exception as it is the largest democracy and can be trusted for good governance!

While some political parties in India are against the proposed pact on the ground that it compromizes the pious principle of "non-alignment", at home, President Bush and his party in Congress would need to make a special effort to push the related legislative process that is so critical to make India eligible to receive US nuclear technology.

While there remains much uncertainty surrounding the proposed pact, there is hope that the India-US nuclear pact will eventually materialize, especially because the prevailing world political situation seems to be in India's favor. Yet, India on its part may have to work hard with President Bush as well as the democratic party caucuses to get this deal through the Congress and the Senate, especially if one takes note of Senator Kerry's diplomatic double talk that he did after his recent visit to Pakistan that immediately followed the one to India.

India on its part has to do a lot of lobbying in Washington. Looks like India's Ambassador, Mr. Ranendra Sen is doing an excellent job in his chacteristic sober style of mobilizing support from both Republican and Democratic parties.

Readers, please do publish your comments on this sensitive issue in this blog.


  • What Indian Nuclear Scientists have to say? Do they believe that India can develop civilian nuclear capability on its own, consistent with international safety standards?

    By Anonymous Anonymous, at 9:41 PM  

  • US has hitherto pursued a policy of treating India and Pakistan on par ....the proposed nuclear deal with India will be the first case where the US will likely deviate from this parity --- or will Pakistan demand such a deal which US cannot easily refuse to a country that has so well cooperated n war against Talibans in Afghanistan and terrorism worldwide?

    By Anonymous Anonymous, at 9:50 PM  

  • Mr. Deshpande,

    Let us get serious. There is a Railway budget and you have not commented on it. There are all the reports that Planning Commision has prepared - which I presume has the talent to prioritize all development issues. All this buzz about Bush visiting India is of no use. Look at the past history - it did not result in anything meaningful.

    India has to seize its development by itself.

    And if this blog is to have impact it should have seriosu commentary - like Paul Krugman / Paul Samuleson or Larry Kudlow on CNBC.
    Otherwise it is just shooting the breeze.

    It should be provocative, insightful, unique, analytical and not superficial.

    What do you think ?

    By Anonymous Anonymous, at 10:22 AM  

  • Howcome you'r putting nuclear issues under Economics? It does not make sense.

    By Anonymous Anonymous, at 2:10 PM  

  • India should act in its intrest while keep its nuke weapons and have all avenues open to improve them in future.
    India next to China needs nukes more than say France or UK

    UK plans 'mini-nuke' strike force

    By Anonymous Anonymous, at 5:48 PM  

  • Both India and USA need the pact. Indians for bigger chances of getting bigger money for their personal benefit so is the case for USA.In India nobody talks of project below Rs.1000 millions.It is not for progress of the country but for getting larger share in absolute terms though percentage wise it may be low.In India nothing happens with this consideration.

    By Anonymous Anonymous, at 10:56 PM  

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