US progresses in talks with India but fails to clinch N-deal

Washington, July 20 (UNI) The United States has reported ''significant progress'' in resolving the outstanding differences on the terms of nuclear cooperation with India but failed to clinch the 123 agreement, despite the last minute involvement of Vice President Dick Cheney.

The 123 agreement is required to give effect to the two-year-old US-India civil nuclear deal.

At the end of the three-day talks last night US officials reported ''significant progress'' but admitted that there was no final agreement on the deal which is supposed to open the doors of American nuclear technology and fuel to energy-starved India.

''I think they had a couple of good days of discussions including the extra discussions this morning," State Department Deputy Spokesman Tom Casey told newsmen yesterday.

He said, "the way things go, you get to the logical points where you need to stop and take a pause for a little bit, assess where you are,look at any outstanding issues, check with your capitals or check with your superiors and things. But again, I think we have made some good progress.

There is goodwill on both sides and a desire to reach this agreement.

''We have made progress and we are very hopeful that we can hammer out the remaining differences in the next coming days and weeks,'' Casey said.

Indian side, led by Foreign Secretary Shiv Shankar Menon scrupulously avoided any contact with the media, allowing the quiet diplomacy a chance to work at this delicate stage of the negotiations.

According to informed sources, the current round of talks provided both sides an opportunity to appreciate stet each others point of view. The outcome of the discussions will be reviewed by the top levels of the US and Indian governments for further action to finalize the 123 agreement.

India's National Security Advisor M K Narayanan, who had earlier met Secretary of State Condoleezza Rice and National Security Adviser Stephen Hadley, held discussions with Mr Cheney yesterday.

It is not clear whether it was a courtesy-call on the part of the Indian delegations or the Bush Administration that had formally drafted the Mr Cheney to break the deadlock in the negations.

The bone of contention appears to be India's insistence to retain its right to test nuclear device, if the national security so demands, and reprocess nuclear fuel.

India's Ambassador to the US Ronen Sen and Foreign Secretary Menon were present during National Security Adviser Narayanan's meeting with Mr Cheney.

Led by Foreign Secretary Menon, the Indian delegation comprised of the Deputy Chief of the Indian Mission in Washington Raminder Jassal, India's High Commissioner in Singapore S Jaishankar, India's Atomic Energy Commission official R B Grover, Joint Secretary in the Americas Division of the Ministry of External Affairs Gaitri Kunar and Director in the Prime Minister's Office Venkatesh Varma.

The US side was led by Under Secretary of State for Political Affairs Nicholas Burns. The other members were Assistant Secretary of State for South and Central Asian Affairs Richard Boucher and State Department's Office of Nuclear Security and Cooperation Director Robert Stratford.

India's Atomic Energy Commission (AEC) Chief Anil Kakodkar was also present for consultations to the Indian delegation.

UNI