Nuke deal may not be inked during Rice’s India visit

Washington: Indicating that the nuclear deal may not be inked during her India visit, US Secretary of State Condoleezza Rice has said there are still a number of administrative details to be worked out, even as she insisted that the US will abide by the Hyde Act on the testing issue.

".... there are a lot of administrative details that have to be worked out. This (the deal) was only passed in our Congress two days ago. The President is looking forward to signing the bill, sometime, I hope, very soon, because we'll want to use it as an opportunity to thank all of the people who have been involved in this.”

"That means the Indian American community, the US-India business community, the diplomats and others who have been involved," Rice told reporters on her way to India, according to a transcript released by the State Department here.

Rice said the Bush administration is working through administrative details but the more important thing now is to look beyond the historic agreement to what else could be done in the broad bilateral relationship.

"... I'm going to draw a line under this one way or another, because it's time to put the historic agreement, say that it's done, and move on to what else we can do, because we've got a very broad relationship. It's got to be worked out at the last minute, because there are so many administrative issues that we have to deal with," Rice said.

Elaborating, she said "... for instance, we have to enroll the bill when it comes over from the Congress. So look, the important thing about this trip is to talk about the next steps in the US-India relationship, not the last step...."

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"The President does not have to sign before I sign (the deal). But we're working through the details of this. I'll let you know. But the whole purpose of this trip is to move forward, not to look at where we are," Rice said.

The Secretary of State made it known that the views of the United States on the issue of nuclear testing by India are very clear; and that Washington will remain true to the commitments of the Hyde Act as also to those made by President George W Bush to Prime Minister Manmohan Singh.

She stressed that the Bush administration is satisfied with the commitments made by India on the participation of American firms, especially on the issue of liability of damage in the event of an accident.

"I think we've been very clear about US views on this issue (testing). The Indians have a lot at stake here. And they have made it very clear that what they want to do is move on to civil nuclear cooperation. And I think they understand the grounds on which we've done this.”

"The United States is going to remain true to its commitments under the Hyde Act and true to the commitments that President Bush has made to Prime Minister Singh. And I know that the Indians will do the same," Rice said.

The Secretary of State was asked about liability, limiting damage if there is an accident before US businesses can really benefit from this and when a convention on this would be settled with India.

"We have a letter of intent from the Indians that we believe is a very firm set of commitments and a framework for making sure that our businesses can do business in India. So I'm satisfied about the details of all this. This really is about administrative matters, not about the substance of it," Rice replied.

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Rice maintained that the purpose of her trip to India was not to push the 'Buy American' angle. "You know, it's not. I'm confident that the United States will - American companies will compete with - we're free traders. And we believe that American companies will compete.”

"Now, what we have done, I think, is to demonstrate that the United States was willing to take a strategic step that has made it possible for India to enter a new realm in terms of its ability to cooperate and to be integrated into what is a global industry that is bigger than just nuclear reactors."

The State Department, meanwhile, clarified some procedural steps that would have to be taken before civil nuclear trade can commence with India. One of these being that after the President signs the legislation into law he would have to make a certification that it is the US policy to work with the Nuclear Suppliers Group to further restrict transfers of equipment and technology related to uranium enrichment and reprocessing of spent nuclear fuel.

"Before civil nuclear trade can commence with India, some procedural actions must occur," the Department said.

The two countries "must sign the US-India Agreement for Cooperation Concerning Peaceful Uses of Nuclear Energy (123 Agreement). This text has been finalised and initialled since July 2007" and the President “must sign into law the legislation recently passed by Congress approving the 123 Agreement," it said in a statement.

"After it becomes law, the President will make two certifications required under the law: (1) that conclusion and implementation of the agreement by its terms is consistent with US obligations under the Nuclear Non-Proliferation Treaty; and (2) that it is the policy of the United States to work with members of the Nuclear Suppliers Group to further restrict transfers of equipment and technology related to uranium enrichment and reprocessing of spent nuclear fuel."

Following the certifications, it said, India and US will exchange diplomatic notes pursuant to Article 16(1) of the 123 Agreement, thereby bringing the pact into force.