Pranab to US: N-deal has run into "political problems"; Rice asks China to start dialogue with the Dalai Lama

New Delhi
24 March 2008

The UPA Government is engaged in the process of resolving the
"political problems" in implementation of the proposed India-United States civil nuclear
cooperation agreement, Minister of External Affairs Pranab Mukherjee said in
Washington.

"We are interested in implementing the landmark agreement reached by Prime Minister
Manmohan Singh and President George W Bush. Now we have some political problems
and are currently engaged in resolving them with the parties supporting our
government," Mr Mukherjee said said at a joint news conference with US Secretary of
State Condoleezza Rice.

Mr Mukherjee met with Ms Rice for talks on the status of the nuclear deal and for a
review of all aspects of the India-US bilateral relationship. Ms Rice, in turn, said the
George Bush Administration "will continue to work" for bringing the nuclear deal to
fruition. The landmark agreement is good for both countries and for non-proliferation, she
added.

On the occasion Ms Rice urged China to initiate a dialogue with the Dalai Lama to settle
the unrest in Tibet. "[We] believe that the Dalai Lama can play a very favourable role
given his belief in non-violence, given his stated position that he does not seek political
independence for Tibet, and given his unassailable authoritative moral stature, not just
with the people of Tibet but with people from around the world. And we are going to
continue to encourage that dialogue because ultimately that is going to be the only
policy that is sustainable in Tibet," she said.

"We believe that the answer for Tibet is to have a more sustainable policy for the
Chinese government concerning Tibet," Ms Rice said. "I have spoken with my
counterpart about the current situation in which there needs to be restraint in which
violence is not acceptable [but] there also needs to be a day after the current events and
that really requires a sustained process of dealing with the problems of Tibet and the
grievances of Tibet," she added.

Mr Mukherjee, in turn, said the exiled Tibetans can carry on their religious activities in
India but India will not allow political activities to disturb its relations with other
countries.

"We have expressed our concern [about] the latest developments. We do hope it will be
possible to resolve the issue through peaceful dialogue between the parties concerned,"
Mr Mukherjee added.
Mr Mukherjee is visiting Washington for two days. This is Mr Mukherjee's first visit to
Washington as the minister of external affairs in the UPA Government.

Mr Mukherjee was scheduled to call on US President George W Bush and meet with US
National Security Adviser Stephen Hadley. He and Ms Rice were scheduled to again
meet over dinner.

Mr Mukherjee's talks in Washington come a few days ahead of Australian Prime Minister
Kevin Rudd's visit to the US. It will be Mr Rudd's first official visit to the US as Prime
Minister. He is scheduled to meet with Mr Bush on March 28.
According to a report published on Monday by The Sydney Morning Herald newspaper of
Australia, Australia's attitude to the proposed India-US civil nuclear cooperation
agreement "will be one thorny issue" on their agenda.

The Rudd Government has already made it clear that it will reverse the previous
government's decision to sell uranium to India because it regards the proposed
agreement's safeguards as inferior to those that other countries subscribe to under the
Non- Proliferation Treaty (NPT), which India refuses to sign.

The report suggested that the Bush Administration is expected to seek a promise from
Australia that it will not vote against the proposed nuclear deal in the Nuclear Suppliers
Group (NSG), in which it is one of 45 member states.

As per the July 18, 2005 India-US Joint Statement, New Delhi needs to sign a safeguards
agreement with the IAEA before Washington can approach the NSG to change its
guidelines for integrating India in the global nuclear commerce.

Mr Mukherjee iterated the government's position in an interview to CNN-IBN television
news channel before he left New Delhi for Washington. "The deal will be operationalised
only after the IAEA, the NSG and the US Congress give their approval and the Indian
Government then signs the agreement," he said.

He told the channel the text of an India-specific safeguards agreement has been
finalised but it can only be "initialled" after a nod from the Left parties, who support the
UPA Government. "Some text has been reached, which only needs to be initialled, and
that waits for the political process," he said.

"We would like the deal to materialise. I am in the process of the dialogue (with the Left)
and I don’t know what will be the outcome," he said when asked whether the government
will go ahead with the nuclear deal in the face of the opposition of the Left.

Meanwhile, Prime Minister Manmohan Singh on Monday said his government is
"committed" to develop nuclear energy as a clean source of electricity. "Our energy
needs are bound to grow. We will be failing in the duty to our nation and to posterity, if
we do not look ahead and take steps for not just today and tomorrow but for future
generations," he said after laying foundation stone of the 1500 MW Pragati Phase Three
gas power project at Bawana on the outskirts of Delhi.

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