NEW DELHI, 26 March 2006 — Sending a message that the India-Iran relations have not been affected by New Delhi’s vote against Tehran’s nuclear program, Prime Minister Manmohan Singh and visiting Iranian Vice President Isfandiar Rahim Mashaee yesterday called for strengthening bilateral cooperation, especially in the energy sector.
“The two leaders emphasized the importance they attach to the civilizational ties between the two countries and the need for further strengthening bilateral cooperation, particularly in the energy sector,” External Affairs Ministry spokesperson Navtej Sarna said after the talks between the two leaders.
A meeting of the India-Iran Joint Commission would be convened soon to discuss multi-faceted relations between the two countries.
“They agreed on the need for an early meeting of the India-Iran Joint Commission,” the External Affairs Ministry said in a statement said, referring to a special committee set up to explore ways to expand bilateral ties. Energy-hungry India is in negotiations with Iran for the supply of gas via a pipeline that would run through Pakistan, with a next round of talks scheduled for late April.
India plans to initially draw 60 million cubic meters of gas from the pipeline and increase the quantity to 90 million cubic meters within two to three years.
Despite initial opposition, US President George W. Bush said during a visit to India this month that he had no objections to New Delhi buying gas from a country that Washington accuses of supporting terrorism and attempting to make a nuclear bomb.
Manmohan and Mashaee, who is also Chairman of Iran’s Cultural Heritage and Tourism Organization, agreed to promote the common cultural heritage of the two countries, the External Affairs Ministry said.
Mashaee will participate in the Amir Khusro International Seminar being organized by the Jamia Millia University. He is also scheduled to visit cultural centers in Agra, Hyderabad and Bhubaneswar.
Yesterday’s meeting is the first high-profile talks between leaders of the two countries since India in February voted with 26 other nations to refer Iran to the UN Security Council over its nuclear program.
Manmohan earlier this month urged the international community to avoid a confrontation with Iran over its nuclear program, saying it could worsen tensions in the region. “We remain hopeful that a solution acceptable to all sides will be found, we do not favor confrontation,” Manmohan told Parliament.
Gulf Wants to Boost Trade
The Gulf Cooperation Council hopes to sign soon a free trade agreement with India, the head of the grouping said yesterday.
“A free trade agreement with India will boost the volume of trade to $15 billion in coming years,” GCC Secretary-General Abdulrahman Al-Attiyah said yesterday at a meeting of Gulf and Indian businessmen in the Omani capital.
Trade between India, which gets most of its oil from the Gulf and has hundreds of thousands of its citizens working there, and the GCC was estimated at $12.8 billion last year.
Attiyah urged businessmen at the meeting, which was attended by Gulf and Indian ministers, to commit more investments on both sides. A first gathering was held in Bombay in February 2004. GCC member states Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE) have been trying to conclude a long-stalled free trade agreement with the European Union.
Individual Gulf countries have had more success entering trade agreements on their own.
The tiny island kingdom of Bahrain signed an FTA with the United States in January while Oman and the UAE are hoping for similar bilateral deals.
