NEW DELHI, 21 February 2006 — India and France yesterday signed a landmark agreement on civilian nuclear cooperation and a defense pact with Prime Minister Manmohan Singh declaring that New Delhi would place its nuclear facilities acquired through international cooperation under IAEA safeguards.
After extensive talks here, Manmohan and visiting French President Jacques Chirac described the signing of the declaration on development of nuclear energy for peaceful purposes as an “important step forward” toward realization of the objective of the two countries to conclude a bilateral agreement in this area.
The two countries “agreed to continue to work together toward the fulfillment of that objective,” a joint statement issued after the talks said.
Addressing a joint news conference with Chirac, Manmohan made it clear that India was committed to honoring in “letter and spirit” the July 18 Indo-US joint statement issued after his talks with President George W. Bush in Washington when the two sides signed a landmark civilian nuclear deal.
India and France signed an agreement on defense cooperation, with both sides noting it as an important element in the strategic partnership between the two nations, building upon and expanding cooperation in various areas including procurement, production and research and development of defense material.
Seven other agreements in the fields of space, commerce, education, tourism, environment, culture and civil aviation were signed.
“I confirm that all facilities procured by India through international cooperation on civilian nuclear energy will of course be subjected to IAEA safeguards,” the prime minister said in response to a question.
Chirac strongly advocated the need for helping India in developing civilian nuclear energy, saying it was necessary to enable the country meet its growing energy requirements for its economic progress.
“Our support to India is principled... India must be allowed to achieve its necessary economic development without facing the strangleholds of economic and energy constraints,” he said.
Calling India a “responsible country,” the French president said it should be able to produce the energy it needs without having a negative fallout or impact on the world as a whole as a result of greenhouse gas emissions. “We fully understand India’s position in this connection. We are fully supportive of India’s position in this connection,” he said.
Manmohan asked French companies to take advantage of India’s rapid economic growth and scientific and technological achievements.
He said the two countries had identified infrastructure, IT, pharmaceuticals, environment, advanced and new technologies, food processing, automobiles and aeronautics as priority sectors for forging business partnerships. On the sidelines of the visit, Airbus and state-run Indian Airlines formally signed a deal agreed last September for the purchase of 43 aircraft worth $2.5 billion.
Chirac’s visit comes amid a row over a takeover bid for European steel firm Arcelor by Indian billionaire Laxmi Mittal. France opposes the bid. Manmohan said he hoped Mittal got a fair chance.
Chirac said that while France did not have anything against Mittal, Europeans had a right to worry about employment.



