Japan and India agrees bullet train, nuclear deals

“The Japanese company will manufacture here and export it to Japan”, he said at the India-Japan Business Leaders Forum here which he and his Japanese counterpart Shinzo Abe addressed.

REUTERS/Adnan AbidiJapan’s Prime Minister Shinzo Abe (L) and his Indian counterpart Narendra Modi shares a moment during a signing of agreement at Hyderabad House in New Delhi, India, December 12, 2015.

Abe, who is on a three-day day visit to India from today, along with Modi will attend the Ganga Arti, a beautifully choreographed ritual worship of the holy river performed daily at the fabled Dashashwamedh Ghat. Along with the rail agreement, Mr Modi and Mr Abe signed accords on nuclear energy cooperation and defense equipment and technology transfers.

And they agreed a memorandum of understanding on the peaceful use of nuclear energy, which will be signed once technical details have been finalised. “It is (a) shining symbol of a new level of mutual confidence and strategic partnership”, PM Modi said.

At a joint media event with Modi, Abe stated Japan’s cooperation with India in the nuclear field will be limited to serene objectives. These pertain to an official development assistance or ODA of $5 billion, a $12-15 billion loan for building a high-speed railway project, creating a fund of $12 billion to help Japanese companies invest in India, an investment of $5.5 billion in an industrial corridor project to be located between Chennai and Bengaluru. The Japanese Prime Minister said relations between the two countries are built on common values and strategic interests.

Among other global issues, Modi and Abe discussed North Korea’s contentious nuclear programme and expressed concern over its continued development of nuclear weapons and ballistic missile programmes, including its uranium enrichment activities.

India and Japan also signed a path-breaking defence agreement. The deal worth $1.1 billion will also lead to joint production of ten more planes between Japan’s ShinMaywa and a private Indian partner.

Kalyani also suggested “review and strengthening” of the CEPA and quick implementation of the India-Japan Social Security Agreement, industry body CII said in a statement.

Asked about issues relating to reprocessing, he said any solution to the issue with Japan will be in consonance with India’s long-standing policy.

On the issue of use of spent fuel and reprocessing, Jaishankar said Japanese side was conveyed about the various aspects of India’s nuclear liability regime. India has certainly gained, but that gain may not have been realised without recognising the China-Japan rivalry and tacitly exploiting it.

A survey conducted two years back by the Japan Bank for International Cooperation for the island nation’s ministry for economy, trade & industry showed some 75 per cent of Japanese businessmen placing India as “the most promising country” ahead of China, Brazil, Vietnam and the US.

The two Prime Ministers reiterated their support for each other’s candidature, based on the firmly shared recognition that India and Japan are legitimate candidates for permanent membership in an expanded Security Council.