| The Bush administration is visibly working | | | | companies for setting up nuclear plants in India. |
| overtime to finalize the nuclear deal with India. | | | | Just look at the following list: |
| There are many indications that president George | | | | (a) In civil construction: Larsen & Toubro |
| Bush is personally pursuing the deal to get it pass | | | | (L&T), Hindustan Construction Company |
| in the September session of the US Congress. | | | | (HCC) and Gammon India; |
| However, there are different voices within the US | | | | (b) In boilers: L&T in reactors; Bharat Heavy |
| administration about how much America will | | | | Engineering Ltd (BHEL); |
| benefit from it. There is also the non-proliferation | | | | (c) In boiler feed pumps: KSB, Kirloskar Brothers, |
| lobby constantly campaigning against the deal. The | | | | Mather & Platt, Jyoti Ltd. and Bharat Pumps; |
| Bush administration is arguing that the deal will be | | | | (d) In heat exchangers: Alpha Laval, GEI Hammon |
| a foundation of closed strategic relationship with a | | | | Pipes, Maharashtra Seamless and Ratnamani |
| democratic and 'economically vibrant' friendly | | | | Metals; |
| country that significantly shares its border with | | | | (e) In panels: Honeywell Automation; |
| China. | | | | (f) In consulting and engineering services: Rolta |
| Non-proliferation groups are saying that the deal | | | | India. |
| would ruin global efforts to stop the spread of | | | | Source: India Knowledge Wharton |
| atomic weapons and boost India's nuclear arsenal. | | | | American hegemony and the nuclear deal |
| Democratic Representative of Massachusetts Ed | | | | By building a close strategic tie-up with India, |
| Markey, a leading critic of the deal, said that the | | | | Washington will firmly position itself into the heart |
| Bush administration is pressuring the International | | | | of the Asian subcontinent. All neighboring countries |
| Atomic Energy Agency (IAEA) and Nuclear | | | | will soon start sensing the American hegemony |
| Suppliers Group (NSG) for quick approval of the | | | | from close. Then there are the significant |
| deal, which will compromise the integrity of the | | | | advantages in a perpetuated future conflict by |
| review process of the deal's non-proliferation | | | | geographically positioning closer to China. India will |
| implications. | | | | be more valuable as a friendly nuclear state in this |
| 'The Economist' in its 23 August 2007 issue raised | | | | scenario. Washington is continually trying to |
| alarm on the Bush administration's readiness, | | | | influence New Delhi to tune its foreign policy with |
| "Among other dangerous loopholes, some of | | | | US global strategies; the nuclear deal will work as |
| which have widened since Congress gave its | | | | a wonderful catalyst in this respect. The added |
| conditional go-ahead to the deal in December, | | | | advantage will be that in near future the US could |
| India is pointedly not taking on the obligations and | | | | greatly increase their influence on economic |
| practices of the official five. Unlike them, it has | | | | policies of the Indian government as well. US |
| refused to sign the test-ban treaty. Unlike them, it | | | | military's immediate goal is to start a constructive |
| declines to end the production of fissile | | | | military cooperation program hosted from Indian |
| material-uranium and plutonium-for bombs." It also | | | | soil, jointly with its allies, involving India. |
| says, "China, unhappy at America's coddling of | | | | The Chinese newspaper 'People's Daily' |
| India, is exploring more nuclear cooperation with | | | | commented that, "In fact the purpose of the US |
| Pakistan-which in turn threatens to match India, | | | | to sign civilian nuclear energy cooperation with |
| should it step up weapons production or test | | | | India is to enclose India into its global partners' |
| again." | | | | camp, so as to balance the forces of Asia." In |
| The critics say that contrary to the claims of its | | | | September 2005, the Indian Government had |
| advocates, the deal fails to bring India further into | | | | displayed its loyalty by voting twice against Iran in |
| conformity with the nonproliferation behavior | | | | the IAEA after the US asked them to do so. |
| expected of the member states of the nuclear | | | | Senator Luger of the Senate Foreign Relations |
| Non-Proliferation Treaty (NPT). Unlike 178 other | | | | Committee praised India's initiative by stating, "We |
| countries, India has not signed the Comprehensive | | | | have already seen strategic benefits from our |
| Test Ban Treaty (CTBT). | | | | improving relations with India. India's votes at the |
| Then why is the US so eagerly interested? There | | | | IAEA on the Iran issue last September and this |
| are two primary reasons. | | | | past February demonstrate that New Delhi is able |
| The business economics of the nuclear deal | | | | and willing to adjust its traditional foreign policies |
| American economy in general is looking for | | | | and play a constructive role on international |
| greater business opportunities in the 'liberalized' | | | | issues." |
| Indian economy of today. International Monetary | | | | India and the US had already signed a ten year |
| Fund (IMF) has projected a slow economic growth | | | | agreement 'New Framework for India-US Defense |
| rate for the US economy which is expected to | | | | Relationship' earlier on June 2005 where various |
| register a growth rate of only 0.5% in 2008, | | | | military issues like joint military exercises, joint |
| compared to a strong growth rate in India, | | | | planning, joint operations in other countries, and |
| forecasted to be above 8%. India is one of the | | | | defense procurement between the two countries |
| fastest growing economies of the world. As the | | | | have been included. It seems likely that the civilian |
| American economy is moving slowly, countries like | | | | nuclear cooperation pact comes in exchange with |
| China and India provides fertile territory for US, | | | | this defense agreement. The agreement started |
| the largest economy in the world to invest for | | | | rolling with the joint military exercises between |
| high returns. The free market economy is | | | | the two countries in the Kalaikunda air base in |
| therefore demanding more liberalized procedures | | | | West Bengal. Another agreement called "The |
| in India and any obstacle in this regard is | | | | Logistics and Service Agreement" will allow |
| considered negative to the free market notion. | | | | refueling and complete access facilities to all US |
| Creating a favorable political atmosphere is | | | | ships and aircraft in Indian waterfront. |
| therefore a necessity in this context. It is | | | | Strategic partnership between the two countries |
| understandable why Dr. Manmohan Singh, the | | | | would be favorable to counteract China's strategic |
| 'chief architect' of 'liberalized' India, a former IMF | | | | capabilities and 'Chinese hegemony' in the South |
| man, is so dear to Mr. Bush. | | | | Asia region. Ms. Condoleezza Rice had earlier made |
| The strategic relationship between Delhi and | | | | it clear when she affirmed the strategic |
| Washington after the Indo-US nuclear deal will | | | | partnership as, "a platform of partnerships that will |
| result big business for US nuclear suppliers, which | | | | enable America to advance its interests and its |
| would be around $150 billion worth of contracts | | | | values in this dynamic region for years to come." |
| according to estimates from the U.S.-India | | | | There is another important aspect - the |
| Business Council (USIBC). US nuclear companies | | | | India-Pakistan relations. As M.K. Bhadrakumar in a |
| will be able to sell both reactors as well as nuclear | | | | recent article has noted, |
| technology to India. The nuclear industry in the US | | | | "From Washington's perspective, harmonizing |
| presently is going through a stagnant phase as no | | | | India-Pakistan relations makes the U.S. the |
| new commercial nuclear reactor had come up in | | | | predominant power in South Asia. It has serious |
| the past ten years. For one of the largest nuclear | | | | implications for Asian security as well as for the |
| industries in the world, this situation is definitely | | | | Persian Gulf and Central Asia. The fallout on |
| grave. Therefore, if the Indo-US nuclear deal gets | | | | Afghanistan can only be helpful. The U.S. diplomacy |
| through it will have a stimulating effect on the US | | | | will become optimal. It makes a fine legacy." |
| nuclear industry, which is expected to gain | | | | Here also, money matters has influenced heavily. |
| substantially from the emerging Indian nuclear | | | | An estimate shows that India will spend $70 billion |
| market. Sensing this money-spinning option, the | | | | in defense procurements in the next five years. |
| US nuclear business lobby is applying all their | | | | India's long-term purchase plans are highly |
| influences and contacts to get a smooth passage | | | | attractive to the US defense industries. It is not |
| for the deal. In 2006, two US business delegations | | | | without cause that companies like Boeing were |
| visited India looking to sell Westinghouse nuclear | | | | found lobbying the US Congress to smoothen the |
| reactors and uranium from South Dakota. In the | | | | nuclear deal path. If the deal rolls, Government of |
| next year when the largest ever US business | | | | India could be influenced further for US defense |
| delegation visited India, 50 out of 250 delegates | | | | contracts to push back Russia, who is India's |
| among them were nuclear manufacturers. As | | | | biggest defense supplier today. In future, India |
| stated by a Bloomberg News report, "Areva, the | | | | may also start launching satellites carrying U.S. |
| world's largest maker of nuclear power stations, | | | | components. India has already entered in the |
| and General Electric, are among four companies | | | | business of space launches and satellite fabrication. |
| poised to share $14 billion of orders from India." | | | | The availability of high-skilled talent at a lower cost |
| There are interests extended by big Indian | | | | may reduce 30 percent costs of the US space |
| companies also. According to the Tata Group | | | | launch programs. |
| chairman Ratan Tata, Tata Power is certainly | | | | Conclusion |
| interested in operating a nuclear power plant. | | | | The civilian nuclear cooperation agreement will |
| Other interested parties are the Anil | | | | have a huge overall effect on the economic, |
| Ambani-controlled Reliance Energy (Anil Ambani is | | | | political and social life of the country and its people |
| very close to Samajwadi Party's Amar Singh who | | | | and therefore ought to be studied and analyzed |
| has made a volte-face to announce support for | | | | from all possible angles. It is a perilous agreement |
| the Manmohan Singh government after the Left | | | | with hidden dangers which the Left parties tried |
| withdrew support), the Essar Group and the GMR | | | | to explore and explain to the entire nation - not |
| Group. Anil Kakodkar, the Atomic Energy | | | | as anti-Americans but as true patriots. The nation |
| Commission chairman has already made the Indian | | | | is more interested to follow the scrumptious daily |
| government's plan clear when in 2007 he said that | | | | developments of political vulgarism and sadly, |
| the Atomic Energy Act would be amended very | | | | dedicated to defend the great Prime Minister for |
| soon to allow private-sector participation. There | | | | holding the nation's status to an 'all time high' |
| are also contender companies eagerly interested | | | | without knowing the full truth. |
| to provide local support as contractors to US | | | | |