‘India’s Iran stance may affect US policy’

Washington, DC : A new Congressional Research Report made public on Thursday says that India’s “relatively benign view on Iran’s intentions will likely cause policy differences between New Delhi and Washington.”

While the report does raise some cautionary questions, it goes on to add that the current India-Iran relations are “unlikely to derail the further development of close and productive US-India relations on a number of fronts.”

Translated, it could mean that India’s relations with Iran could have minimal impact on the groundbreaking US-India nuclear cooperation agreement.

However, the report has been published just four weeks before an all-important vote in the Senate to amend the US Atomic Energy Act of 1954 and allow the US government to sell nuclear technology to India.

Even though the Bush administration has called India a “responsible actor” despite sanctions on two private companies for involvement in Iran’s nuclear weapons programme, there is no consensus in the US Congress on this issue.

The report says, “Many in Congress voice concern about India’s relations with Iran and their relevance to US interests.

Some worry that New Delhi’s policies toward Tehran’s controversial nuclear program may not be compatible with those of Washington. There are further US concerns that India plans to seek energy resources from Iran, thus benefiting financially a country the United States is seeking to isolate.”

It adds, “The Bush Administration has expressed strong opposition to any gas pipeline projects involving Iran, but top Indian officials insist the project is in India’s national interest.”

The report prepared by the Foreign, Defence and Trade division of the Congressional Research Service says that given its dependence on Iranian oil — India imports more nearly 1.5 lakh barrels of oil per day from Iran — India will find it difficult to sever relations with it.

Besides, India is bound to honour a 25-year, $22 billion deal in which the Gas Authority of India will buy 5 million tons of natural gas from Iran every year. 

The report also mentions how the US government has raised concerns over the $7 billion Iran-India gas pipeline through Pakistan.

The US Congress, however, had, in a July 2005 resolution, expressed support for the gas pipeline as a facilitator of India-Pakistan peace.

In a summary conclusion, the report says, “Given a clear Indian interest in maintaining positive ties with Iran, New Delhi is unlikely to abandon its relationship with Tehran or to accept dictation on the topic from external powers. However, India-Iran relations are unlikely to derail the further development of close and productive US-India relations on a number of fronts.”