For Japan, the only nation to have suffered the wrath of an atom bomb, supporting India at the Nuclear Suppliers Group in Vienna early last month was not an easy decision. But then, it did, underscoring the strategic view Tokyo has of New Delhi. It is in this background that Prime Minister Manmohan Singh’s three-day bilateral visit to Tokyo beginning on Tuesday assumes importance with expectations of making significant headway in a civilian nuclear cooperation agreement.
According to sources in the Indian Government, Japan, unlike Russia and the United States, does not have a domestic law that bars nuclear energy cooperation with countries that are non-signatories to the Nuclear Non-Proliferation Treaty. “In fact, Japanese export controls, even in high-technology areas, are based more on administrative controls and convention, rather than any domestic legislation,” said a source who is part of the PM’s official delegation. Singh will discuss these issues with his Japanese counterpart Taro Aso over the next two days.
In the last couple of years, Japan has been busy expanding the list of entities for other countries to facilitate higher imports of sensitive technology. “Our list too has come down by seven,” said the source. So, even if no concrete agreement materialises between the two countries, expectations are running high. Nevertheless, a separate agreement between the two countries will help Japanese businesses sell reactors and dual-use technologies for nuclear power plants in India.
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It is from a position of strength — having successfully concluded a civilian nuclear deal with the US and emerging largely unscathed from the financial turmoil still unfolding in the US and Europe — that India’s high-powered business delegation led by Mukesh Ambani of Reliance Industries Ltd, hopes to push for greater market access to Indian products in Japan. Besides Ambani, ICICI Bank CEO and Confederation of Indian Industry President K V Kamath are also part of the business delegation.
India Inc and the Government will also highlight the $30 billion business opportunity in the civil nuclear energy space to Japanese companies such as Toshiba and Japan Atomic Power Co. Besides the state-owned Nuclear Power Corporation of India Ltd, several other giants such as Larsen & Toubro and Reliance itself intend to foray into nuclear energy through joint ventures with global majors.
However, India is not likely to push Japan too hard to firm up such decisions, since it understands the “emotional issues” that grip Japan in letting any country access sensitive technology.
“Given Japan’s unique situation (it has seen five prime ministers in a relatively short time and there is a group that opposes even Japan’s own fast-breeder programme), we will let them take their own time. Nevertheless, if Japan wants, it will find a way to be more forthcoming,” the source said.
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