INDIA & THE WORLD BILATERAL AFFAIRS DECEMBER 2015
- Russia strikes $1 billion deal with HAL to manufacture Kamov choppers
Russia's Rostech State Corporation has signed one billion US dollar deal with Hindustan Aeronautics Limited, HAL to manufacture 200 Kamov 226T light helicopters in India. The Kamov will replace the ageing fleet of Cheetah and Chetak.
CEO of Rostech, Sergei Chemezov, said manufacturing of helicopters will be done by Russian-Indian joint venture which includes Rostech-JSC, 'Russian Helicopters", and the HAL. This is the first Russian-Indian high-tech project implemented by the Indian government within the framework of the 'Make in India' programme.
During the recent visit of Prime Minister Narendra Modi to Moscow, an agreement was signed between the two countries on cooperation in the field of helicopter manufacturing.
According to the deal, Rostech will organize in India the production of Russian Kamov-226T and its modifications. The agreement also provides for maintenance, operation and repair of helicopters. - Civil nuclear deal with Australia gets green signal
India’s Civil Nuclear Cooperation Agreement with Australia got the Union Cabinet’s approval on 30th December. The agreement had already come into force on November 13, 2015 along with the administrative agreement for its implementation. The administrative agreement makes it possible for uranium exports to go ahead, however, the commercial agreements are yet to be signed.
The agreements coming in force were announced on the sidelines of the G-20 Summit in Turkey by Prime Minister Narendra Modi and his Australian counterpart Malcolm Turnbull, in November this year. Both sides signed a memorandum of understanding in September last year when former Australian Prime Minister Tony Abbott was visiting India.
Currently, India sources uranium from Kazakhstan, Uzbekistan and Russia. It has a total requirement of around 1,000 tonne of a year. Australia has around 31 per cent of the world’s uranium reserves. It also has some of the cheapest reserves. Earlier in the year, India also signed a contract with Canada for the long-term supply of uranium.
In 2015, India has successfully reached an agreement with several countries in the field of civil nuclear power. In December, during the Prime Minister’s visit to Japan, a bilateral civil nuclear cooperation agreement was signed.
The agreement with US was put back on track earlier this year after the India Nuclear Insurance Pool was set up. Further, a civil nuclear cooperation agreement with Russia and France has also been taken forward during the year. - MoU on conservation of migratory birds of prey in Africa, Eurasia approved
The Union Cabinet on 30th December gave its approval to sign a Memoranda of Understanding (MoU) on the Conservation of Migratory Birds of Prey in Africa and Eurasia - also called the 'Raptor MoU' with the Convention on Conservation of Migratory Species (CMS). With the signing of the MoU, India will become the 54th signatory.
Raptor MoU was concluded on October 22, 2008 and came into effect on November 1 the same year. The Raptor MoU is an agreement under Article IV paragraph 4 of the CMS and is not legally binding.
The MOU seeks willingness of the signatory Range States for working for conservation of the raptor species and their habitats. An action plan has been formulated which primarily envisages the conservation action for Raptor species.
The Raptors MoU extends its coverage to 76 species of birds of prey out of which 46 species, including vultures, falcons, eagles, owls, hawks, kites, harriers, etc. also occur in India.
Considering that the Raptor MOU is also in conformity with the provisions of the existing Wild Life (Protection) Act 1972, wherein the birds have been accorded protection, India would gain domain knowledge, which would be helpful in effectively managing the habitats of these Raptors, including concerted trans-boundary efforts for conservation through interaction with other range countries by signing of the MoU with the CMS. Pakistan and Nepal are the other neighbours who are signatories to this MoU.
The CMS or Bonn Convention, under the auspices of the United Nations Environment Programme (UNEP), aims to conserve migratory species throughout their range. India had become a party to the CMS since November 1, 1983. - Govt to expand visa-free diplomatic travel to more countries
Union Cabinet, chaired by Prime Minister Narendra Modi, has given its nod to the Model Agreement on exemption from visa requirements for the holders of diplomatic and official passports. The decision is part of India’s ongoing efforts to expand the envelope of visa-free travel for holders of diplomatic and official passports to other countries of the world. So far, visa free agreements have been signed with 69 countries. There are still more than 130 countries with which India is yet to enter into or sign similar Agreements.
In another decision, the Cabinet has given its approval for reconstruction and completion of Salma Dam Project in Afghanistan at the revised cost around 1776 crore rupees. The project is scheduled to be completed by June next year. It will lead to the overall economic development of the western region of Afghanistan and generate goodwill for India. The project will also address the energy requirements and irrigation needs of Afghanistan. - India, Russia sign 16 pacts
India and Russia on 24th December signed 16 agreements across sectors including in the field of railways and hydrocarbon. The agreements were signed after the delegation level talks between the two countries.
According to Indian Prime Minister Narendra Modi, India sees Russia as a significant partner in its economic transformation and in shaping a balanced and multi-polar world in future.
He said, agreement on manufacture of Kamov 226 helicopter in India is the first project for a major defence platform under Make In India Mission.
Agreements- Joint manufacture of 226 military helicopters
- Construction of 12 atomic plants
- Kamov helicopter deal a first for 'Make in India' in defence sector
- Anil Ambani controlled Reliance Defence signs $6 billion deal with with Russia's Almaz-Antey, maker of an air defence system that sources said the Indian military was poised to buy.
- MoU on technical co-operation in Railways
- MoU on co-operation in helicopter engineering
- India reiterates full support to Afghanistan for preserving unity & territorial integrity
India on 25th December reiterated its full support to Afghanistan for strengthening its defensive capabilities for preserving Afghanistan's unity and territorial integrity and ensuring security. In a joint statement issued at the end of Prime Minister Narendra Modi's visit to Kabul, India and Afghanistan agreed to increase and expand training opportunities for Afghan National Security and Defence Forces in relevant Indian institutions, based on the requirements of Afghanistan. Prime Minister Narendra Modi strongly supported Afghan government-led reconciliation process which respects the redlines drawn by the people of Afghanistan and the international community.
India welcomed the decision of the Government of Afghanistan to open a new Consulate General in the city of Hyderabad to further strengthen their historical ties.
Indian Prime Minister Narendra Modi and Afghanistan President Mohammad Ashraf Ghani agreed that groups and individuals that perpetrate violence on the people of Afghanistan and challenge by use of violence and terror against the Government of Afghanistan cannot be allowed to exercise control or wield influence over any part of Afghanistan's territory in any manner.
New Parliament building inaugurated: Indian Prime Minister Narendra Modi inaugurated the new building of Afghan Parliament built by India in Kabul. It has been constructed at a cost of about 90 million US dollars. Parliament building has a block named after former Prime Minister Atal Bihari Vajpayee. Modi also announced 500 scholarships for children of the martyrs of Afghan security forces while scheme of 1000 scholarships will continue. He said, sacrifices of Afghan people must not go in vain. - PM Modi paid surprise visit to Pakistan
Indian Prime Minister Narendra Modi has arrived in New Delhi from Lahore after meeting with his Pakistan counterpart Nawaz Sharif. Mr Modi landed at Palam Airport in New Delhi short while ago where he was received by External affairs Minister Sushma Swaraj.
In a surprise visit, Prime Minister Narendra Modi earlier arrived in Pakistan after wrapping up his visit to Russia and Afghanistan. This was the first visit of Mr Modi to Pakistan after assuming charge. He was accompanied by Foreign Secretary S Jaishankar and National Security Advisor Ajit Doval.
During the meeting it was decided to initiate comprehensive bilateral dialogue and there will be more interaction, people to people contact to create an environment of goodwill. - AP-Malaysia pact to boost monitoring of public services
Andhra Pradesh State Development Planning Society will ink an agreement with the Performance Management and Delivery Unit (PEMANDU), Prime Minister’s Department, Malaysia to develop, implement and monitor government programmes and strategic plans.
The agreement will be signed in the presence of Chief Minister N. Chandrababu Naidu and Idris Jala, PEMANDU CEO and Special Advisor to the Prime Minister of Malaysia, in Vijayawada on December 15.
Earlier, an MoU was signed between the PEMANDU and NITI Aayog at Kuala Lumpur on November 24. PEMANDU and the Centre will work as partners in rolling out impact-oriented public sector initiatives in the country.
Andhra Pradesh is the first State to work with the PEMANDU and the partnership will emphasise on appropriate governance and institutional mechanisms in tune with the contemporary needs of people.
AP Government, PEMANDU will conduct an extensive consultations and surveys to identify issues plaguing public sector units and the services offered by them. It will organise ‘labs’ on prioritised education and retail sectors in the State too. Under its customised ‘Big Fast Results’ methodology, PEMANDU will provide on-job training to central coordinating team provided by the State government. - India to build sea bridge, tunnel to connect Sri Lanka: Gadkari
India is set to build a sea-bridge and tunnel connecting Sri Lanka while a pact has been inked with Bangladesh, Bhutan and Nepal for seamless flow of traffic and passenger vehicles. Road Transport and Highways Minister Nitin Gadkari in a suo motu statement in the Lok Sabha said the Asian Development Bank is ready to fully finance a bridge building project connecting Rameshwaram to Sri Lanka. The India-Sri Lanka connectivity project cost is pegged at about 24,000 crore rupees.
Mr. Gadkari said the present government, right from the day it assumed office, has been focussed on enhancing regional cooperation. Mr Gadkari said subsequent to PM's announcement of Act East policy, India is pro-actively engaged in building effective and credible links between South Asia and South East Asia through enhanced regional connectivity.
The minister informed the House that a major milestone was the signing of the Bangladesh Bhutan India Nepal (BBIN) Motor Vehicles Agreement (MVA) in Thimphu to facilitate seamless movement of passenger and cargo vehicles in the region. He said, about 110 km on the Imphal-Moreh (NH 39) will be taken up for upgradation with loan being provided by ADB to connect neighbouring countries through the North East. - India, Pak agree to carry forward constructive engagements
India and Pakistan on 6th December agreed to carry forward the constructive engagement. India's National Security Advisor Ajit Doval met his Pakistani counterpart Naseer Khan Janjua in Bangkok discussed peace and security, terrorism, Jammu and Kashmir and other issues including tranquility along the LoC.
Discussions were held in a candid and cordial atmosphere. The meeting comes in the backdrop of the meeting between Prime ministers of India and Pakistan in Paris recently. Foreign secretaries of both the countries were present during the high level meet. - India, Pakistan agree to start comprehensive bilateral dialogue
India and Pakistan have decided to start a Comprehensive Bilateral Dialogue. This was announced by External Affairs Minister Sushma Swaraj at a press conference in Islamabad this evening after her talks with Prime Minister Nawaz Sharif's Advisor on Foreign Affairs, Sartaj Aziz.
Mrs Swaraj said it will have additional component apart from those in the Composite Dialogue. She said Foreign Secretaries of both the countries will meet soon to work out the scheduling of the dialogue process. According to a joint statement issued after the talks, Pakistan assured the Indian side of the steps taken to expedite the early conclusion of the 26/11 Mumbai attacks trial. The two countries condemned terrorism and resolved to cooperate to eliminate it. - Member countries of Heart of Asia Summit in Islamabad pledge to address menace of terrorism
The fifth Heart of Asia conference on Afghanistan ended in Islamabad on 9th December with a commitment from member states to address the menace of terrorism and to foster close economic cooperation to stabilize the war-torn country.
Leaders and ministers from 14 member countries, including External Affairs Minister Sushma Swaraj, 17 supporting nations and officials of 12 organisations attended the two-day meet that adopted the Islamabad Declaration which also called on all Afghan Taliban groups to enter into peace talks.
Pakistan's advisor on foreign affairs Sartaj Aziz and Afghan foreign minister Salahauddin Rabbani announced the declaration at the joint press conference. Aziz said that the conference was a major success as the participants agreed on close cooperation in stabilising Afghanistan.
Rabbani shared the major points of the declaration in which the participants affirmed to respect each other's sovereignty, territorial integrity, unity and political independence and follow the principles of non-intervention in the internal affairs of other states. He said that it was decided that militancy was major threat for Afghanistan and the region and joint efforts were needed to address it.
The countries also agreed to put into practice specific measures and steps necessary for countering and eliminating the menace of terrorism, all terrorist organizations, particularly al-Qaeda, Islamic State and their affiliates. - India, Japan sign protocol to amend double taxation avoidance pact
India and Japan on 11th December signed a Protocol for amending the existing convention for avoidance of double taxation and prevention of fiscal evasion with respect to income taxes.
Revenue Secretary Hasmukh Adhia signed the protocol on behalf of India while Kenji Hiramatsu, Ambassador of Japan signed on behalf of the Government of Japan.
The Protocol provides for internationally accepted standards for effective exchange of information on tax matters including bank information and information without domestic tax interest. It further provides that the information received from Japan in respect of a resident of India can be shared with other law enforcement agencies with authorisation of the competent authority.
The Protocol also provides that both countries shall assist each other in the collection of revenue claims. It gains all the more importance as it is being signed few hours before the arrival of the Japanese Prime Minister in New Delhi. - India, U.S. to raise defence tech ties
India and the U.S. have identified 17 new areas for potential cooperation under the Defence Technology and Trade Initiative (DTTI), a flagship scheme to enhance bilateral strategic partnership, particularly in high technology, launched in 2012.
Concluding his four-day tour of the United States, Defence Minister Manohar Parrikar said he and his counterpart, Ash Carter, had agreed to closely monitor the progress of the DTTI.
The Minister said some private companies had expressed interest in manufacturing fighter aircraft in India, and India had sought the U.S. government position on the issue.
The Minister expressed satisfaction over the progress made by two joint working groups — one on aircraft carrier technology cooperation and the other on jet engine technology.
Mr. Parrikar’s visit demonstrated the growing trust between the two countries in the sensitive area of defence, says Mukesh Aghi, president of the U.S. India Business Council (USIBC), which is spearheading a wide range of bilateral cooperation. Mr. Parrikar interacted with Indian and U.S defence companies at the USIBC. His itinerary included a visit to U.S. Pacific Command (PACOM), the Pentagon, and a visit with Secretary Carter to observe flight operations aboard the aircraft carrier USS Dwight D. Eisenhower. - India and Japan ink 14 agreements in various fields
India and Japan on 12th December inked 14 agreements in various fields including civil nuclear energy, Defence Equipment and Technology security, infrastructure, education and economy. The two countries also sealed a broad agreement for cooperation in the civil nuclear energy. The nuclear energy final deal will be signed after certain technical and legal issues are thrashed out.
The agreement, featuring broad contours of cooperation in the nuclear field, was arrived at after Prime Minister Narendra Modi and his Japanese counterpart Shinzo Abe held the ninth annual Indo-Japan summit talks in New Delhi. Reflecting the importance of the nuclear pact, Mr Modi said it was more than just an agreement. Both leaders said that Japan's cooperation with India in the nuclear field will be limited to peaceful objectives.
To revolutionize Indian Railways, India and Japan signed historic Memorandum of Understanding to introduce High Speed Rail on Mumbai Ahmedabad sector through Japan's Shinkansen Technology.
Under the agreement, Japan will extend highly concessional loan of 12 billion dollars and technical assistance on easy terms. The loan is for a period of 50 years with a 15 years moratorium with the interest rate at 0.1 per cent. The project is a 508 Kilometer line costing a total of 97,636 crores rupees and it is to be implemented in seven years. - Agreement on bilateral cooperation signed between India and Bahrain
India and Bahrain on 2nd December signed an agreement on Cooperation in combating international terrorism, transnational organized crime and trafficking in illicit drugs, narcotic and psychotropic substances and precursors chemicals.
Agreement was signed after a delegation level meeting with Union Home Minister Rajnath Singh and Bahrain Interior Minister Shaikh Rashid bin Abdulla Al Khalifa at New Delhi. Mr Al Khalifa, is on an four day official visit to India from 1st to 4th December.
Both countries have close and friendly relations, characterised by shared interests, mutual trust and excellent people-to-people contacts. This visit is expected to provide fresh impetus to bilateral ties. Over 4 lakh Indian nationals are working in Bahrain. - India urges Nepal to find solution to political problems
India urged Nepal to find urgent solution to political problems facing the Himalayan nation. India also clarified that there is no hindrance to supplies from its side. The suggestion came during a meeting between Nepalese Deputy Prime Minister and Foreign Minister Kamal Thapa with External Affairs Minister Sushma Swaraj. Mrs Swaraj said, India has gone out of the way to ensure medical supplies to the Himalayan nation.
She said, India has always stood for a peaceful and prosperous Nepal which is also in its interest. Mr Thapa briefed Mrs Swaraj on the political dialogue with various stakeholders and informed her that the ministerial level dialogue has been upgraded to the top leadership level in his country.
Mr Thapa, who is visiting India for the second time in less than two months, hoped for an early resolution of the issues.
Since the promulgation of the Constitution in Nepal in September, the Indian-origin Madhesi population has been agitating as they believe the country's new Constitution discriminates against them, denying them equal standing with other Nepalis. The agitation obstructed supply of essential commodities including petrol thereby creating a crisis in Nepal, which accused India of imposing a economic blockade. - Agreement with Japan to avoid double taxation
The Cabinet also gave its nod to amend the double taxation avoidance convention (DTAC) between India and Japan. The new agreement will facilitate exchange of information on tax matters, including bank information, and information without domestic tax interest. There is also a provision for sharing any information received from Japan with to respect of a resident of India with other law enforcement agencies. According to the agreement, India and Japan can lend assistance to each other in collection of revenue claims and for exemption of interest income from taxation in the source country, with respect to debt-claims insured by the government or government-owned financial institutions. - RBI signs supervisory pacts with UK
The Reserve Bank of India on 2nd December signed separate memoranda of understanding on supervisory cooperation and exchange of supervisory Information with Prudential Regulation Authority and Financial Conduct Authority, United Kingdom.
The Indian central bank had originally signed such supervisory pact with the Financial Services Authority of the UK in July 2012.
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