India and Canada have finalised the deal to enable uranium sales to India. It is a commercial agreement signed in the wake of a bilateral meeting between Prime Minister Narendra Modi and his Canadian counterpart Stephen Harper in Ottawa. As per the agreement, Canadian producer Cameco will supply to India more than 3,000 tonnes of uranium over the next five years. It is of course just a formality. As early as 2013, the decks had been cleared for signing an appropriate arrangement agreement to facilitate commercial negotiations for supply of uranium to India from Canada which has one of the largest uranium reserves in the world. Harper had waived Canada’s initial demand for tracking of nuclear fuel by its authorities. He has now agreed to inspection by the IAEA only. Indian authorities feel that the deal with Canada should pave the way for similar arrangements with other countries like the US and Australia. Uranium fuel is essential for Indian nuclear power plants.
Stephen Harper expressed his delight with the development. Narendra Modi has said that the agreement on procurement of uranium for India’s nuclear power plants begins a new era of mutual cooperation between the two countries. It can be regarded as a defining symbol of mutual trust. Furthermore, both countries will significantly benefit by an early conclusion of a Bilateral Investment Protection and Promotion Agreement as well as Comprehensive Economic Partnership. The relationship between India and Canada had been adrift in the past and Narendra Modi should be complimented for piloting it in the right direction.
