Saturday, December 03, 2011
Ambassador warmly welcomed on Capitol Hill
From The Hindu
The Senate India Caucus, headed by John Cornyn,
Republican of Texas and Mark Warner, Democrat of Virginia, welcomed
Nirupama Rao, Indian Ambassador to the United States, to Washington and
called for an even closer bilateral relationship in economic areas.
Speaking
at a ceremony at the Senate Dirksen Building on Capitol Hill, the two
Senators praised Ms. Rao’s credentials as a seasoned diplomat even as
they noted that they would be writing a letter to President Barack Obama
pressing for greater momentum on a Bilateral Investment Treaty.
Addressing
the gathering Ms. Rao, who assumed her role in September, underscored
the role of the Indian-American community, with over 2.7 million
members, in fostering closer ties between the two countries.
Touching
upon the range of areas where India and the U.S. are expanding their
cooperation Ms. Rao said, “Newer areas of cooperation such as nuclear
energy, high technology and clean energy sources are making our
partnership more rewarding.”
Cooperation in the
nuclear sector was also a subject addressed by Senator John Kerry,
Democrat of Massachusetts and Senate Foreign Relations Committee
Chairman.
Senator Kerry said, “India’s remarkable sense of
responsibility with respect to the stewardship of nuclear power, even
though the [Nuclear] Non Proliferation Treaty has always been something
outside its guideposts, has nevertheless been exemplary and stands as an
example to near-neighbours and others in the world about where the
future really lies with respect to the exercise of that responsibility.”
Labels: India-US relations, Nirupama Rao
Saturday, November 05, 2011
Nirupama Rao presents credentials
From The Hindu
India's new Ambassador to the United States, Nirupama Rao, has formally presented her credentials to the State Department and directly to President Barack Obama as well, the Indian embassy here said.
This week, Ms. Rao, who held the post of Foreign Secretary before taking up her role in Washington, initially met with Deputy Secretary of State Bill Burns, to whom she presented her credentials.
On Friday, Ms. Rao, along with 11 other new Ambassadors, including the Ambassador of the newly opened Libyan embassy here, met Mr. Obama at the White House Oval Office.
“The presentation of credentials is a traditional ceremony that marks the formal beginning of an Ambassador's service in Washington,” the White House said in a statement.
The Indian embassy said that Mr. Obama had “warmly welcomed Ambassador Rao back to Washington and wished her every success in her high responsibilities.”
Labels: India-U.S. relations, Nirupama Rao
Saturday, September 18, 2010
India-U.S. discussions in full swing prior to Obama visit
From The Hindu
In an unmistakable indication of backroom discussions shifting up a gear before President Barack Obama’s India visit in November, the State Department announced today that United States National Security Advisor General Jim Jones met with Indian Foreign Secretary Nirupama Rao to “continue preparations for the President’s upcoming visit”.
According to an official statement General Jones and Ms. Rao reviewed the progress being made in a number of areas, including agriculture, education, economic cooperation, and security. Additionally, General Jones and Ms. Rao were said to have discussed other developments in South Asia, noting their “mutual desire for stability”.
Ms. Rao is in Washington principally to keep the discussions moving forward and it has been announced that next week, Indian Industry Minister Anand Sharma will be in town to similarly add momentum to bilateral trade policy discussions.
The visiting Indian officials were said to be holding meetings with senior U.S. counterparts, including Under Secretary for Political Affairs William Burns, Under Secretary for Defence Michèle Flournoy, Under Secretary of the Commerce Department’s Bureau of Industry and Security Eric Hirschhorn, and Chairman of House Foreign Affairs Committee Howard Berman.
While it would appear that the U.S. has in general had a positive attitude towards the bilateral relationship, the Indian side has been pressing for further progress with issues such as the H1-B visa fee hike, India’s interest in securing U.S. support for a permanent seat on the U.N. Security Council and its hope that export control restrictions would be eased.
Nuclear liability bill, counter-terrorism on agenda
According to sources, counter-terrorism, and in particular, its cross-border aspects including infiltration, have been an important component of the ongoing talks between the two countries.
So has the civil nuclear liability bill, even if progress on the ground in this area was expected to be gradual. In this sphere, the main argument that India has sought to convey to the U.S. was that the liability bill passed in the Indian Parliament did not contain provisions that were additional to what already existed in common law and did not contradict the Convention on Supplementary Compensation.
The hope was also that all nuclear suppliers participating in India’s nuclear industry would operate on a level playing field, according to sources, and that India was open to continuing a dialogue with the supplier companies.
The U.S.-India dialogue will also cover some new policy subjects of mutual interest such as the governance of the global commons, including maritime security and antipiracy, and ocean domain awareness, it was learned.
Labels: Barack Obama India visit, Jim Jones, Nirupama Rao, Strategic Dialogue, U.S. State Department
Thursday, September 16, 2010
Nirupama, Burns discuss preparation for Obama visit
From The Hindu
India's Foreign Secretary Nirupama Rao on Thursday met her U.S. counterpart, Under-Secretary William Burns, according to the State Department.
A senior official on the Indian side told The Hindu that the Foreign Secretary-level dialogue was close to President Barack Obama's visit to India — slated for early November.
He said the talks were thus “preparatory to the summit,” and they also focussed on reviewing the issues that Secretary of State Hillary Clinton and External Affairs Minister S.M. Krishna discussed a couple of months ago, as part of the Indo-U.S. Strategic Dialogue of June.
Industry Minister Anand Sharma and senior Indian officials will be in Washington for a slew of meetings over the coming week.
India's Ambassador Meera Shankar told at the Baltimore Council on Foreign Affairs this week, “We hope that President Obama's upcoming visit would prove to be a major step forward in not only consolidating what our two democracies have jointly achieved but also for working together in areas where we are yet to see concrete progress, including genuine reform of international institutions with India given its due place.”
In a defining speech made on the sidelines of the Strategic Dialogue, Mr. Burns had specifically reiterated the U.S.' support for India holding a permanent seat on the United Nations Security Council.
Ms. Shankar touched upon that theme again in her speech, saying “The growing support for a permanent seat for India in the U.N. Security Council would no doubt go a long way in enabling India to play its role to its full potential and in realising the idea of India-U.S. relations being a key strategic partnership of the 21st century.”
She added that India keenly looked forward to the visit of the President. The state visit of Prime Minister Manmohan Singh to Washington last year had “focussed on going beyond just the bilateral dimensions of this relationship to forge a global partnership.”
Labels: Barack Obama administration, Indo-U.S. talks, Nirupama Rao
Monday, August 30, 2010
U.S. announces export control restrictions review
From The Hindu
After many months of official silence on the matter, the United States has finally revealed some of its plans for overhauling its export control regime, which Indian Foreign Secretary Nirupama Rao described earlier this year as “anachronistic.”
In remarks made via videoconference to the U.S. Department of Commerce Annual Export Controls Update Conference, President Barack Obama said, “For too long, we have had two very different control lists, with agencies fighting over who has jurisdiction. Decisions were delayed, sometimes for years, and industries lost their edge or moved abroad.”
To rectify these problems Mr. Obama said that going forward there would be a single, tiered, positive list – “one that would permit allow us to build higher walls around the export of our most sensitive items while allowing the export of less critical ones under less restrictive conditions.”
It was unclear whether the Indian government would view the changes made as resolving the major anomalies within the export control regime given the mention of “higher walls.” Key among the list of objections that Indian officials such as Ms. Rao have brought to the attention of the Department of Commerce has been the fact that U.S. entities have been banned from trading sensitive, dual-use high-tech items with India.
Further it was also not clear whether government-run institutions such as the Indian Space Research Organisation would be removed from the Entities List of the U.S. Bureau of Industry and Security.
Referring in particular to the troubles faced by “allies” as a result of inconsistent or outdated rules, the White House said in a statement, “The control list criteria are based on transparent rules, which will reduce the uncertainty faced by our Allies, U.S. industry and its foreign partners, and will allow the government to erect higher walls around the most sensitive items in order to enhance national security.”
The White House further clarified that U.S. agencies would apply the criteria and revise the lists of munitions and dual use items that are controlled for export so that they are “tiered” to distinguish the types of items that should be subject to stricter or more permissive levels of control for different destinations, end-uses, and end-users.
Further, U.S. agencies would seek to create a “bright line” between the two current control lists to “clarify jurisdictional determinations and reduce government and industry uncertainty about whether particular items are subject to the control of the State Department or the Commerce Department”.
Finally the application of criteria would be structurally aligned so that they potentially could be combined into a single list of controlled items, the White House noted.
After many months of official silence on the matter, the United States has finally revealed some of its plans for overhauling its export control regime, which Indian Foreign Secretary Nirupama Rao described earlier this year as “anachronistic.”
In remarks made via videoconference to the U.S. Department of Commerce Annual Export Controls Update Conference, President Barack Obama said, “For too long, we have had two very different control lists, with agencies fighting over who has jurisdiction. Decisions were delayed, sometimes for years, and industries lost their edge or moved abroad.”
To rectify these problems Mr. Obama said that going forward there would be a single, tiered, positive list – “one that would permit allow us to build higher walls around the export of our most sensitive items while allowing the export of less critical ones under less restrictive conditions.”
It was unclear whether the Indian government would view the changes made as resolving the major anomalies within the export control regime given the mention of “higher walls.” Key among the list of objections that Indian officials such as Ms. Rao have brought to the attention of the Department of Commerce has been the fact that U.S. entities have been banned from trading sensitive, dual-use high-tech items with India.
Further it was also not clear whether government-run institutions such as the Indian Space Research Organisation would be removed from the Entities List of the U.S. Bureau of Industry and Security.
Referring in particular to the troubles faced by “allies” as a result of inconsistent or outdated rules, the White House said in a statement, “The control list criteria are based on transparent rules, which will reduce the uncertainty faced by our Allies, U.S. industry and its foreign partners, and will allow the government to erect higher walls around the most sensitive items in order to enhance national security.”
The White House further clarified that U.S. agencies would apply the criteria and revise the lists of munitions and dual use items that are controlled for export so that they are “tiered” to distinguish the types of items that should be subject to stricter or more permissive levels of control for different destinations, end-uses, and end-users.
Further, U.S. agencies would seek to create a “bright line” between the two current control lists to “clarify jurisdictional determinations and reduce government and industry uncertainty about whether particular items are subject to the control of the State Department or the Commerce Department”.
Finally the application of criteria would be structurally aligned so that they potentially could be combined into a single list of controlled items, the White House noted.
Labels: Department of Commerce, export controls, High Technology Cooperation Group, Nirupama Rao
Tuesday, June 08, 2010
“Positive announcements” expected on export controls before Obama visit
From The Hindu
After many months of pressing its case with the Obama administration, the Government of India may finally hope to get some good news regarding export control restrictions imposed by the United States on sensitive, dual-use items of high-tech trade and on legitimate government institutions such as the Indian Space Research Organisation (ISRO).
Addressing media here closely on the heels of the United States-India Strategic Dialogue, Robert Blake, Assistant Secretary of State for South and Central Asia, said, “I expect that there will be some positive announcements to be made before the President’s visit — hopefully well before [that].”
His comments also follow statements made by Nirupama Rao, India’s Foreign Secretary, at the close of the Strategic Dialogue, that an important element with regard to the ongoing U.S.-India partnerships in defence modernisation would be “progress on the easing of U.S. export control restrictions as they apply to India”. Ms. Rao had noted that this would not only be a logical outcome of the civil nuclear initiative, but would also be a catalyst for promoting trading and cooperation in high-technology, defence and the space sectors.
Two processes
By way of explaining the U.S. approach to this issue, Mr. Blake said there were two processes involved, firstly a wider review, on the part of the administration, of the overall export control regime; and secondly, an “India-specific review that also is under way… [which] will probably split off from the wider review”.
He also admitted that the U.S. export control regime was “in many cases outdated”, and in the case of India, the U.S. was taking “a particularly close look at the Entities List”. Mr. Blake noted that many entities had already come off the Entities List — a list of organisations with which U.S. companies cannot trade, or can only trade under restrictions — over the last few years, and “now there is a focus on entities like ISRO and the Defence Research and Development Organisation”.
India-specific export controls
Arguing that significant progress had been made with India-specific export controls, Mr. Blake said, “We have made a great deal of progress over the last six years or so in reducing the export controls that apply to India. Now less than one half of one per cent of all exports requires any sort of license at all — and most of those are presumed to be approved.”
He added that there was a reciprocal process under way which also sought to obtain “the necessary assurances from the Indians about the strength of their own export control regime that would enable us to relax our restrictions”. Mr. Blake added that he anticipated there was going to be “further good progress” on this matter and the U.S. and Indian sides had a “good exchange during the Strategic Dialogue”.
Touching upon the potential for cooperation in high-technology trade, he also noted, “We think there are enormous opportunities for American companies to do more and work more with their colleagues in the space area and also in the defence area. These are steps that would serve both of our countries.”
Labels: high tech trade, ISRO, Nirupama Rao, Robert Blake, U.S. export restrictions, U.S. India Strategic Dialogue
Saturday, June 05, 2010
Our vision of South Asian cooperation challenged by terrorism: Nirupama Rao
From The Hindu
Indian Foreign Secretary Nirupama Rao said the three key issues discussed during the strategic dialogue were reform of the United Nations Security Council (UNSC) that recognised India's central role in global politics, counter-terrorism cooperation and the need for a peaceful and stable Afghanistan, and defence modernisation, including relaxation of export controls for sensitive high-tech items of trade.
Speaking at a seminar hosted by the Brookings Institution on ‘India and the United States: A Strategic Partnership,' Ms. Rao said the three driving factors behind what President Obama had described as an “unprecedented partnership” were shared values, growing economic and people-to-people contacts, and convergence on major global issues such as terrorism, and energy and food security.
On possible future discussions regarding reform within the United Nations, Ms. Rao said: “The question of reform of the UNSC and the expansion of its membership is an important item on the agenda of our dialogue as we seek U.S. support for India's case for permanent membership of the Security Council.”
Describing India's vision of enhanced South Asian cooperation, Ms. Rao noted: “That vision is, however, being challenged by violent extremism and terrorism which originates in our region and finds sustenance and sanctuary there.” She added that the recent failed terrorist attempt in Times Square, New York, had again revealed the global reach of terrorist organisations, whether Lashkar-e-Taiba, Jaish-e-Mohammad, Al-Qaeda or the Taliban.
Touching upon the Afghanistan link to terror, Ms. Rao said India was “supportive of the U.S. efforts to fight terrorism in Afghanistan” and help with restoring stability there. She noted that Indian assistance amounting to over $1.3 billion had helped develop vital civil infrastructure, build human resources and capacities in the areas of health, education, agriculture and rural development among others.
Ms. Rao reiterated the comments of External Affairs Minister S.M. Krishna during the dialogue, saying that India stood by its development partnership with Afghanistan “despite repeated terrorist attacks on the Indian mission and our brave men and women who are working there to help transform the lives of ordinary Afghan citizens.”
In her speech, Ms. Rao also emphasised that an important element with regard to ongoing U.S.-India partnerships in defence modernisation would be “progress on the easing of U.S. export control restrictions as they apply to India.”
She argued that this would not only be a logical outcome of the civil nuclear initiative, but would also be a catalyst for promoting trading and cooperation in high-technology, defence and the space sectors. “It would also be consonant with the nature of the strategic partnership that exists between us and the growing mutual trust and confidence that is an important driver in our relations today,” she added.
Labels: Afghan terror link, Lashkar-e-Taiba, Nirupama Rao, S.M. Krishna, Strategic Dialogue
Wednesday, March 17, 2010
Rao emphasises India's role in Afghanistan
From The Hindu
Indian Foreign Secretary Nirupama Rao has concluded her visit to Washington, during which she impressed upon U.S. officials the importance of India’s continued commitment to its developmental work in Afghanistan. Her trip also saw a sharp focus on high-tech trade and the Strategic Dialogue that was initiated last July when Secretary Clinton visited India.
In a brief to U.S. interlocutors earlier this week Ms. Rao drew attention to several key regional issues according to Rahul Chhabra of the Indian Embassy, including her talks with the Foreign Secretary of Pakistan in February. She also touched upon the recent developments in Afghanistan and stressed “that Afghanistan presented the foremost security related challenge in the region,” Mr. Chhabra said. In that context, Ms. Rao emphasised the need “for the international community to stay the present course in Afghanistan for as long as it is necessary.” U.S. officials reportedly conveyed their appreciation of the important developmental work being done by India in Afghanistan.
Further Ms. Rao also co-chaired the 7th meeting of the India-United States High Technology Cooperation Group. Addressing the officials from the U.S. Department of Commerce, she used the platform to push for a favourable review of U.S. export controls applicable to India, to bring them in line with “the changed political realities that contextualise India-U.S. strategic partnership today.”
Two days of deliberations — between the industry representatives of both countries followed by the government-to-government meetings to consider the recommendations of the industry — led to a consolidation of the progress made in the last five years and identified the next steps for further expanding high technology trade. The dialogue particularly focused on the areas of defence and strategic trade, biotechnology, and nanotechnology, with agreement on the need to create new groups on health, IT and civil aviation.
India-U.S. Strategic Dialogue
Ms. Rao also met with a number of senior administration officials to further the India-U.S. Strategic Dialogue, including Secretary of State Hillary Clinton, Under Secretary of State for Political Affairs, William Burns, National Security Advisor, James Jones, Under Secretary of State for Economic Affairs, Robert Hormats, and Under Secretary of State for Democracy Global Affairs, Maria Otero. Further, she interacted with Congressman Gary Ackerman — who headed up the recent Congressional hearing on Lashkar-e-Taiba — and Senator Joseph Lieberman.
Mr. Chhabra said at these bilateral meetings, the Foreign Secretary had the opportunity to review the progress “on various pillars of India-U.S. Strategic Dialogue agenda including cooperation in defence, nuclear energy, counter-terrorism, agriculture, education, energy, space and cyber-security.”
Indian Foreign Secretary Nirupama Rao has concluded her visit to Washington, during which she impressed upon U.S. officials the importance of India’s continued commitment to its developmental work in Afghanistan. Her trip also saw a sharp focus on high-tech trade and the Strategic Dialogue that was initiated last July when Secretary Clinton visited India.
In a brief to U.S. interlocutors earlier this week Ms. Rao drew attention to several key regional issues according to Rahul Chhabra of the Indian Embassy, including her talks with the Foreign Secretary of Pakistan in February. She also touched upon the recent developments in Afghanistan and stressed “that Afghanistan presented the foremost security related challenge in the region,” Mr. Chhabra said. In that context, Ms. Rao emphasised the need “for the international community to stay the present course in Afghanistan for as long as it is necessary.” U.S. officials reportedly conveyed their appreciation of the important developmental work being done by India in Afghanistan.
Further Ms. Rao also co-chaired the 7th meeting of the India-United States High Technology Cooperation Group. Addressing the officials from the U.S. Department of Commerce, she used the platform to push for a favourable review of U.S. export controls applicable to India, to bring them in line with “the changed political realities that contextualise India-U.S. strategic partnership today.”
Two days of deliberations — between the industry representatives of both countries followed by the government-to-government meetings to consider the recommendations of the industry — led to a consolidation of the progress made in the last five years and identified the next steps for further expanding high technology trade. The dialogue particularly focused on the areas of defence and strategic trade, biotechnology, and nanotechnology, with agreement on the need to create new groups on health, IT and civil aviation.
India-U.S. Strategic Dialogue
Ms. Rao also met with a number of senior administration officials to further the India-U.S. Strategic Dialogue, including Secretary of State Hillary Clinton, Under Secretary of State for Political Affairs, William Burns, National Security Advisor, James Jones, Under Secretary of State for Economic Affairs, Robert Hormats, and Under Secretary of State for Democracy Global Affairs, Maria Otero. Further, she interacted with Congressman Gary Ackerman — who headed up the recent Congressional hearing on Lashkar-e-Taiba — and Senator Joseph Lieberman.
Mr. Chhabra said at these bilateral meetings, the Foreign Secretary had the opportunity to review the progress “on various pillars of India-U.S. Strategic Dialogue agenda including cooperation in defence, nuclear energy, counter-terrorism, agriculture, education, energy, space and cyber-security.”
Labels: Foreign Secretary, Hillary Clinton, India, Indo-Pak talks, Nirupama Rao, Pakistan, Secretary of State, Strategic Dialogue, terrorism, U.S. officials
Tuesday, March 16, 2010
U.S. export control regulations “anachronistic”: Rao
From The Hindu
Nirupama Rao, Indian Foreign Secretary, on Tuesday described the United States Bureau of Industry and Security’s (BIS) Entities list “anachronistic” saying, “It is anomalous that a body like the Indian Space Research Organisation, which is developing several collaborations with National and Aeronautical and Space Administration, should continue to be on the list.”
Co-chairing the 7th meeting of the India-U.S. High Technology Cooperation Group (HTCG) along with Daniel Hill, Acting Under Secretary for Industry and Security, Ms. Rao exhorted attending delegates from the U.S. Department of Commerce to reconsider control restrictions for U.S. exports to India. She also addressed the Entities List issue at another speaking engagement at the Woodrow Wilson Center later in the day.
The BIS’s Export Administration Regulations contain a list of names of foreign businesses, research institutions, government and private organizations and individuals that are subject to specific license requirements for the export, re-export and transfer of specified items.
At present the list includes ISRO, Bharat Dynamic Limited and Department of Atomic Energy entities such as the Bhabha Atomic Research Centre, Indira Gandhi Atomic Research Centre, Indian Rare Earths and most nuclear reactors (including power plants) not under IAEA safeguards.
Arguing that the earlier trend of restrictions being reduced had been halted, Ms. Rao said that among the early results of the HTCG were the removal of a number of Indian organisations from the Entity List by 2005, de-licensing of certain categories of dual-use items and institution of a presumption of approval policy in other categories. “This process of easing of controls seems to have slowed down; we need to address this issue,” she emphasised.
Indian record “exemplary”
There would appear to be significant support for this view from the private sector, notably Indian industrial lobbies with a presence in the U.S.. For example Ms. Ranjana Khanna of the Federation of Indian Chambers of Commerce and Industry (FICCI) said, “We appreciate that further liberalisation of export controls needs to be accompanied by the responsible use of high technology items and preventing its diversion to unintended uses… India’s record has been exemplary in this area.”
Yet Ms. Rao did admit she was reassured by the U.S. government’s announcement of its intention to overhaul their Export Control policy and hoped to see the enhancement of trade in such goods and technologies between our two countries and removal of remaining Indian organisations from the Entity List. “We hope that your response and the outcome of your review would be such that it would reflect - and reaffirm the strategic nature of our partnership,” she said.
She may have some cause for relief – overall, total exports of advanced technology products exported from the U.S. to India have increased from $1.3 billion in 2003 to over US $4 billion in 2009, despite the backdrop of the global economic slowdown.
Progress would also appear imminent with the civil nuclear agreement between India and the U.S.. Regarding the deal Ms. Rao said, “Once the 123 Agreement is implemented, a structured bilateral interaction with the Industry on both sides could take forward the process.” Even in the interim period there has been a steady and direct interaction between U.S. nuclear industry and NPCIL, with two MOUs already signed with GE Hitachi and Westinghouse, she said.
View from the U.S.
Responding to some of the concerns regarding export controls voiced by the Indian side Deputy Secretary of State Dennis Hightower said (via a representative) that while it was critical that the U.S. increased trade, it would simultaneously maintain its strong commitment to national security.
While he pointed out that in 2009 the U.S. exported $16 billion of goods and services to India and only three percent of these exports required a license from the Department of Commerce, he however acknowledged that “As trade in high technology grows our export control system will have to change to keep pace.”
Deputy Assistant to the President Michael Froman also commented on the Indian questions about excessive controls highlighting the fact that ten years ago 24 percent of U.S. exports to India required individual licenses from the Department of Commerce while today only 0.3 percent of U.S. exports to India require individual licenses.
Further, he added, the licensing process and time for India now is down to 28 days, a decrease from 31 days in 2008 and less than the worldwide average of 35 days. Mr. Froman also said in 2009 BIS reviewed 985 export and re-export licenses for India, valued at approximately $334m, for which the denial rate was about 2.1 percent.
Arguing that “Many of the U.S. high-technology items are eligible for export to India under licenses that are not available to many other countries, including China,” he said that they had to however be mindful of the diverse threats from state actors, transnational groups and even individual actors.
Suggesting that the U.S. was seeking a balance between expanding trade and not compromising on national security Mr. Froman said, “To address these challenges the U.S. is conducting a fundamental review of its export controls system.” The U.S. needed a dynamic export control system that “focuses on a core set of technologies that are critical to our national security while further unleashing the innovative power of U.S. industry to compete for sales in less sensitive items around the globe,” he said.
Creating jobs through trade
Ms. Rao bolstered the case for U.S. trade with India by stressing, in her presentation, the possibility of creating more jobs in the U.S. by deepening high-tech trade between the two countries. She cited several examples of job-creating trade agreements including the signing of the End Use Monitoring Arrangement and Technology Safeguards Agreement for Space application last year. Additionally regarding Air India’s order for 68 Boeing aircraft, she said, “I am given to understand that each US aircraft means 10,000 jobs across 50 states of the country.”
Ms. Rao also mentioned that there was potential for growth in the defence industry, as India diversified its sources for defence systems for its military as well as counter terrorism requirements – even through the route of permitting private sector participation in defence production.
She further sought to dispel concerns “lingering” over India’s intellectual property protection regime, saying “The Indian IP regime is completely TRIPS-compliant… A major programme of modernization of the infrastructure of Intellectual Property Offices of India costing about 40 million dollars was implemented during the 10th Five Year Plan.”
Nirupama Rao, Indian Foreign Secretary, on Tuesday described the United States Bureau of Industry and Security’s (BIS) Entities list “anachronistic” saying, “It is anomalous that a body like the Indian Space Research Organisation, which is developing several collaborations with National and Aeronautical and Space Administration, should continue to be on the list.”
Co-chairing the 7th meeting of the India-U.S. High Technology Cooperation Group (HTCG) along with Daniel Hill, Acting Under Secretary for Industry and Security, Ms. Rao exhorted attending delegates from the U.S. Department of Commerce to reconsider control restrictions for U.S. exports to India. She also addressed the Entities List issue at another speaking engagement at the Woodrow Wilson Center later in the day.
The BIS’s Export Administration Regulations contain a list of names of foreign businesses, research institutions, government and private organizations and individuals that are subject to specific license requirements for the export, re-export and transfer of specified items.
At present the list includes ISRO, Bharat Dynamic Limited and Department of Atomic Energy entities such as the Bhabha Atomic Research Centre, Indira Gandhi Atomic Research Centre, Indian Rare Earths and most nuclear reactors (including power plants) not under IAEA safeguards.
Arguing that the earlier trend of restrictions being reduced had been halted, Ms. Rao said that among the early results of the HTCG were the removal of a number of Indian organisations from the Entity List by 2005, de-licensing of certain categories of dual-use items and institution of a presumption of approval policy in other categories. “This process of easing of controls seems to have slowed down; we need to address this issue,” she emphasised.
Indian record “exemplary”
There would appear to be significant support for this view from the private sector, notably Indian industrial lobbies with a presence in the U.S.. For example Ms. Ranjana Khanna of the Federation of Indian Chambers of Commerce and Industry (FICCI) said, “We appreciate that further liberalisation of export controls needs to be accompanied by the responsible use of high technology items and preventing its diversion to unintended uses… India’s record has been exemplary in this area.”
Yet Ms. Rao did admit she was reassured by the U.S. government’s announcement of its intention to overhaul their Export Control policy and hoped to see the enhancement of trade in such goods and technologies between our two countries and removal of remaining Indian organisations from the Entity List. “We hope that your response and the outcome of your review would be such that it would reflect - and reaffirm the strategic nature of our partnership,” she said.
She may have some cause for relief – overall, total exports of advanced technology products exported from the U.S. to India have increased from $1.3 billion in 2003 to over US $4 billion in 2009, despite the backdrop of the global economic slowdown.
Progress would also appear imminent with the civil nuclear agreement between India and the U.S.. Regarding the deal Ms. Rao said, “Once the 123 Agreement is implemented, a structured bilateral interaction with the Industry on both sides could take forward the process.” Even in the interim period there has been a steady and direct interaction between U.S. nuclear industry and NPCIL, with two MOUs already signed with GE Hitachi and Westinghouse, she said.
View from the U.S.
Responding to some of the concerns regarding export controls voiced by the Indian side Deputy Secretary of State Dennis Hightower said (via a representative) that while it was critical that the U.S. increased trade, it would simultaneously maintain its strong commitment to national security.
While he pointed out that in 2009 the U.S. exported $16 billion of goods and services to India and only three percent of these exports required a license from the Department of Commerce, he however acknowledged that “As trade in high technology grows our export control system will have to change to keep pace.”
Deputy Assistant to the President Michael Froman also commented on the Indian questions about excessive controls highlighting the fact that ten years ago 24 percent of U.S. exports to India required individual licenses from the Department of Commerce while today only 0.3 percent of U.S. exports to India require individual licenses.
Further, he added, the licensing process and time for India now is down to 28 days, a decrease from 31 days in 2008 and less than the worldwide average of 35 days. Mr. Froman also said in 2009 BIS reviewed 985 export and re-export licenses for India, valued at approximately $334m, for which the denial rate was about 2.1 percent.
Arguing that “Many of the U.S. high-technology items are eligible for export to India under licenses that are not available to many other countries, including China,” he said that they had to however be mindful of the diverse threats from state actors, transnational groups and even individual actors.
Suggesting that the U.S. was seeking a balance between expanding trade and not compromising on national security Mr. Froman said, “To address these challenges the U.S. is conducting a fundamental review of its export controls system.” The U.S. needed a dynamic export control system that “focuses on a core set of technologies that are critical to our national security while further unleashing the innovative power of U.S. industry to compete for sales in less sensitive items around the globe,” he said.
Creating jobs through trade
Ms. Rao bolstered the case for U.S. trade with India by stressing, in her presentation, the possibility of creating more jobs in the U.S. by deepening high-tech trade between the two countries. She cited several examples of job-creating trade agreements including the signing of the End Use Monitoring Arrangement and Technology Safeguards Agreement for Space application last year. Additionally regarding Air India’s order for 68 Boeing aircraft, she said, “I am given to understand that each US aircraft means 10,000 jobs across 50 states of the country.”
Ms. Rao also mentioned that there was potential for growth in the defence industry, as India diversified its sources for defence systems for its military as well as counter terrorism requirements – even through the route of permitting private sector participation in defence production.
She further sought to dispel concerns “lingering” over India’s intellectual property protection regime, saying “The Indian IP regime is completely TRIPS-compliant… A major programme of modernization of the infrastructure of Intellectual Property Offices of India costing about 40 million dollars was implemented during the 10th Five Year Plan.”
Labels: Bureau of Industry and Security, export regulations, Foreign Secretary, High Technology Cooperation Group, India, Nirupama Rao, TRIPS, U.S.
Monday, March 08, 2010
Nirupama Rao, Anand Sharma to visit U.S.
From The Hindu
Nirupama Rao, India’s Foreign Secretary, will co-chair a meeting of the India-United States High Technology Cooperation Group (HTCG) with Dennis F. Hightower, U.S. Deputy Secretary of Commerce on March 15, according to Mr. Rahul Chhabra, Minister for Press, Information and Culture.
With a focus on expanding bilateral trade in strategic and high technology areas including “sensitive items”, the forum aims to provide a platform through which industry suggestions could substantively feed into inter-government meetings to be held the following day.
This industry dialogue is organized in partnership with the Confederation of Indian Industry (CII) and the Federation of Indian Chambers of Commerce and Industry (FICCI).
Speaking to The Hindu Ms. Ranjana Khanna of FICCI said that at the forum FICCI would hope to highlight export control issues. Citing the controls implied by the “Denied Persons List” of the U.S. Bureau of Industry and Statistics, Ms. Khanna added that reducing such controls would help spur trade in areas such as defence, aviation, life sciences and nanotechnology.
Apart from meetings in the Commerce Department, Ms. Rao will also be meeting senior members of the U.S. administration as well as the members of Congress. She is also slated to participate in a discussion at the Wilson Center on “Two Democracies: Defining the Essence of our Partnership”.
At her State Department meetings Ms. Rao will “review the progress made on various elements of the Revised Dialogue architecture”, according to Mr. Chhabra. She will also discuss plans for the visit of Indian External Affairs Ministry officials to the U.S. later this year, for the next round of Strategic Dialogue between the two countries.
Commerce and Industry Minister Anand Sharma will also be in Washington DC on March 17-18, and in New York on March 19. Top on his agenda is a series of meetings with United States Trade Representative Ron Kirk, Secretary of Commerce Gary Locke and Secretary of Agriculture Tom Vilsack.
On March 17, Mr. Sharma and Mr. Kirk will sign the India-U.S. Trade Policy Forum Framework for Cooperation on Trade and Investment. The Framework aims facilitate trade and investment flows between the two countries, and will address five areas, according to a statement by Mr. Chhabra: tariff and non-tariff barriers, services, agriculture, investment and creativity and innovation.
The visits by both Mr. Sharma and Ms. Rao come amidst clear signs that the Prime Mininster’s state visit last November has led to a wide spectrum of engagement between India and the U.S.
Their interactions will add momentum to such industrial lobbies as the India-U.S. Private Sector Advisory Group, the Board of U.S. Council for International Business, the India Business Forum and the new India-US Economic and Financial Partnership. In particular the Partnership will be formally launched in New Delhi on April 6, by Finance Minister, Mr.Pranab Mukherjee and U.S. Treasury Secretary, Mr. Timothy Geithner.
Nirupama Rao, India’s Foreign Secretary, will co-chair a meeting of the India-United States High Technology Cooperation Group (HTCG) with Dennis F. Hightower, U.S. Deputy Secretary of Commerce on March 15, according to Mr. Rahul Chhabra, Minister for Press, Information and Culture.
With a focus on expanding bilateral trade in strategic and high technology areas including “sensitive items”, the forum aims to provide a platform through which industry suggestions could substantively feed into inter-government meetings to be held the following day.
This industry dialogue is organized in partnership with the Confederation of Indian Industry (CII) and the Federation of Indian Chambers of Commerce and Industry (FICCI).
Speaking to The Hindu Ms. Ranjana Khanna of FICCI said that at the forum FICCI would hope to highlight export control issues. Citing the controls implied by the “Denied Persons List” of the U.S. Bureau of Industry and Statistics, Ms. Khanna added that reducing such controls would help spur trade in areas such as defence, aviation, life sciences and nanotechnology.
Apart from meetings in the Commerce Department, Ms. Rao will also be meeting senior members of the U.S. administration as well as the members of Congress. She is also slated to participate in a discussion at the Wilson Center on “Two Democracies: Defining the Essence of our Partnership”.
At her State Department meetings Ms. Rao will “review the progress made on various elements of the Revised Dialogue architecture”, according to Mr. Chhabra. She will also discuss plans for the visit of Indian External Affairs Ministry officials to the U.S. later this year, for the next round of Strategic Dialogue between the two countries.
Commerce and Industry Minister Anand Sharma will also be in Washington DC on March 17-18, and in New York on March 19. Top on his agenda is a series of meetings with United States Trade Representative Ron Kirk, Secretary of Commerce Gary Locke and Secretary of Agriculture Tom Vilsack.
On March 17, Mr. Sharma and Mr. Kirk will sign the India-U.S. Trade Policy Forum Framework for Cooperation on Trade and Investment. The Framework aims facilitate trade and investment flows between the two countries, and will address five areas, according to a statement by Mr. Chhabra: tariff and non-tariff barriers, services, agriculture, investment and creativity and innovation.
The visits by both Mr. Sharma and Ms. Rao come amidst clear signs that the Prime Mininster’s state visit last November has led to a wide spectrum of engagement between India and the U.S.
Their interactions will add momentum to such industrial lobbies as the India-U.S. Private Sector Advisory Group, the Board of U.S. Council for International Business, the India Business Forum and the new India-US Economic and Financial Partnership. In particular the Partnership will be formally launched in New Delhi on April 6, by Finance Minister, Mr.Pranab Mukherjee and U.S. Treasury Secretary, Mr. Timothy Geithner.
Labels: CII, FICCI, Foreign Secretary, Nirupama Rao, State Department, United States
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