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Introduction In August 2007, India and the United States reached a bilateral agreement on civilian nuclear cooperation as envisioned in the joint statement released by President Bush and Indian Prime Minister Manmohan Singh on July 18, 2005. The deal, which marks a notable warming of U.S.-India relations, would lift the U.S. moratorium on nuclear trade with India, provide U.S. assistance to India's civilian nuclear energy program, and expand U.S.-Indian cooperation in energy and satellite technology. But critics in the United States say the deal fundamentally reverses half a century of U.S. nonproliferation efforts, undermine attempts to prevent states like Iran and North Korea from acquiring nuclear weapons, and potentially contribute to a nuclear arms race in Asia. “It's an unprecedented deal for India,” says Charles D. Ferguson, science and technology fellow at the Council on Foreign Relations. “If you look at the three countries outside the Nuclear Non-Proliferation Treaty (NPT)—Israel, India, and Pakistan—this stands to be a unique deal.”

What are the terms of the deal? The details of the deal include the following:

India agrees to allow inspectors from the International Atomic Energy Association (IAEA), the United Nations' nuclear watchdog group, access to its civilian nuclear program. But India would decide which of its many nuclear facilities to classify as civilian. By March 2006, India promised to place fourteen of its twenty-two power reactors under IAEA safeguards permanently. India also promised that all future civilian thermal and breeder reactors shall be placed under IAEA safeguards permanently. Teresita Schaffer, director of the South Asia program at the Center for Strategic and International Studies, says these will now include domestically built plants, which India has not been willing to safeguard before now. Military facilities—and stockpiles of nuclear fuel that India has produced up to now—will be exempt from inspections or safeguards. India commits to signing an Additional Protocol (PDF)—which allows more intrusive IAEA inspections—or its civilian facilities. India agrees to continue its moratorium on nuclear weapons testing. India commits to strengthening the security of its nuclear arsenals. India works toward negotiating a Fissile Material Cutoff Treaty (FMCT) with the United States banning the production of fissile material for weapons purposes.India agrees to prevent the spread of enrichment and reprocessing technologies to states that don't possess them and to support international nonproliferation efforts. U.S. companies will be allowed to build nuclear reactors in India and provide nuclear fuel for its civilian energy program.


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