Agreement is touchstone of transformed India-US ties: Narayanan

New Delhi
27 July 2007

The purpose of the proposed India-United States civilian nuclear
cooperation agreement was to enable full civil nuclear energy cooperation between the
two countries covering nuclear reactors and aspects of the associated nuclear fuel cycle,
National Security Adviser MK Narayanan said.

"The agreement is between two States possessing advanced nuclear technologies, both
parties having the same benefits and advantages. We are confident that the agreement
fulfils the terms outlined by the Prime Minister to Parliament on 17 August 2006," he told
a news conference on Friday.

"The significance of the agreement, which has become a touchstone of the transformed
bilateral relationship between India and the United States, is that when brought into
effect, it will open the way to bilateral cooperation between India and the United States in
the area of civil nuclear energy," he observed.

Mr Narayanan said that India regarded international civil nuclear cooperation as
"potentially most important for energy security and for an environmentally sustainable
pattern of development." India, he added, was ready to work with like-minded countries
to fashion a new consensus on non-proliferation and realise the goal of a nuclear
weapon-free world through universal nuclear disarmament.

The Joint Statement released simultaneously in New Delhi and Washington said that the
123 Agreement would open the door for American and Indian firms to participate in each
other's civil nuclear energy sector.

"Civil nuclear cooperation between the United States and India will offer enormous
strategic and economic benefits to both countries, including enhanced energy security, a
more environmentally-friendly energy source, greater economic opportunities, and more
robust nonproliferation efforts," it read.

The joint statement added, "This achievement reinforces the growing bilateral
relationship between two vibrant democracies. We are committed to the strategic
partnership outlined by Prime Minister Manmohan Singh and President Bush, and look
forward to working together to implement this historic initiative."

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