Nuclear Deals: India and the Nuclear Suppliers Group

Confident in the large market it offers to the world’s nuclear suppliers, India has decided to shrug off new restrictions by a 46-nation cartel on the transfer of uranium enrichment and reprocessing technologies that potentially have military applications.

India, which has refused to sign the Nuclear Non-proliferation Treaty (NPT) on the grounds that it is discriminatory, pulled off a diplomatic coup in 2008 by securing a special waiver from the 46-nation Nuclear Suppliers Group (NSG).  Following a plenary in Noordwijk, the Netherlands, the NSG announced on Jun. 24 that it would “strengthen its guidelines on the transfer of sensitive enrichment and reprocessing (ENR) technologies,” diluting the clean waiver granted to India and exempting it from full-scope international safeguards.  Nuclear energy experts in India told IPS that the NSG’s move may be prompted by commercial concerns and an attempt to squeeze India into buying nuclear equipment in a market rapidly narrowing down in the wake of the Fukushima disaster.

“Given the present climate for nuclear energy, countries like France, Russia and the United States, which have already signed major nuclear commerce deals with India, are unlikely to back off”….India has ambitious plans to raise its nuclear power generation from the current 4.7 gigawatts to over 20 Gw by 2020. Besides Areva, Russia’s Rosatom and General Electric from the U.S. are among corporations negotiating for deals worth more than 100 billion dollars.

In an apparent warning to the NSG, India’s foreign secretary Nirupama Rao told television interviewers on Sunday that there are “leverages” that could be applies to countries unwilling to enter into nuclear commerce with India.  Rao said the U.S., Russia and France had, since the NSG announced its new policy, made known that they would stand by their commitments to India.  French ambassador to India Jerome Bonnafont confirmed in a Jul. 1 press statement that “this NSG decision in no way undermines the parameters of our bilateral cooperation,” and that France remained “committed to the full implementation of our cooperation agreement on the development of peaceful uses of nuclear energy signed on Sep. 30, 2008.”Coming after the decision of exemption from the full-scope safeguards clause, adopted in favour of India in September 2008, it (NSG decision) does not undermine the principles of this exemption,” the statement said.

Excerpt, Ranjit Devraj, INDIA: Unfazed by Nuclear Suppliers’ New Rules, Inter Press Service, July 6, 2011

 

 

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