However, there are areas of convergence as also of divergence and both the Indian PM and the US President will try to focus more on the areas of convergence where detailed follow up actions have been taken in the last two years of Mr. Modi’s tenure and on which the officials of both countries have worked out road maps. That way, major agreements might be concluded in respect of defence and nuclear power plants. Space cooperation is another area in which India is very interested and already some concrete moves have been taken

The major highlight of the June visit might be the conclusion of a deal for the setting up of nuclear power plants in India by the US company Westinghouse .If it happens finally, it will be after eight long years since the India-US civilian nuclear deal was signed in 2008 by the former Prime Minister Dr. Manmohan Singh and the former US President George Bush. Westinghouse and the Nuclear Power Corporation of India have finalized the details for the setting up of six nuclear plants in Andhra Pradesh. Westinghouse has submitted all technical details and sources say that NPCIL have processed those for preparing the contract document. Both sides are anxious to ensure that the commercial deal is finally signed during the coming visit.

Westinghouse and NPCIL have negotiated to build six reactors at one go instead of an earlier plan to strike deals for two at a time. Earlier, Westinghouse concluded pre-early works agreement with the NPCIL in 2013 for construction of two reactors at one go. With the change of decision in favour of going for six reactors at one go, the planning has been modified and the composite programme has been submitted to the NPCIL to their satisfaction, it is learnt.

Indian sources say that India has by now, ratified the Convention of Supplementary Compensation(CSC) for nuclear damage, making an important step in addressing matters related to nuclear liabilities. India has submitted its instrument of ratification for the CSC to the International Atomic Energy Agency (IAEA).The Convention has come into force for India with effect from May 4 this year. India had launched the nuclear insurance pool in June last year with a total corpus of Rs. 1500 crore to provide coverage for operator’s liability under the civil liability for nuclear damage act, 2010.It also provides for suppliers special contingency to nuclear operators(buy back) policy for suppliers.

Indian sources say that the model of working on six nuclear reactors at one go, as is being done with Westinghouse, will be applicable to Russia and France also and this will help in facilitating speedy construction of the nuclear reactors in India to take care of the increasing demand for power in the country for higher economic growth.

Space cooperation between India and USA is one of the major areas on which the Indian Prime Minister is focusing in a big way in the last two years. India is seeking US assistance in civil space collaboration and global space governance. There is a likelihood that Mr. Modi will be visiting NASA during this visit and some major announcement will be made about joint collaboration in space. Indian scientists had earlier discussions with US side for working on an arrangement for space situation awareness (SSA) – a programming for monitoring space environment and tracking potential hazards and security threats .Also, there have been discussions for formulating a bilateral mechanism for sharing satellites for maritime domain awareness (MDA) which has special importance in the backdrop of increasing number of maritime security issues.

Space security is an area on which Prime Minister Modi is highly interested and he has asked the Indian side to collaborate with the US organizations for working a mechanism which can take care of Indian interests. Indian officials have studied different facets of energy security, maritime security and space security. And in all three areas, PM is interested in seeking US technology without adversely affecting India’s national interests.

Defence has emerged as a very important area for US as India gives the US manufacturing companies vast opportunities to sell their equipment.US by now has become the biggest defence equipment supplier to India surpassing Russia in a decade. From a meagre US$ 300 million in 2005, the US is now having defence orders worth US$ 14 billion. The US wants India also to be a part of its defence strategy in geopolitics. The US officials have been pressing India for long to ink three crucial defence agreements- including Logistics Support Agreement (LSA). Some clauses of these agreements are not favourable to Indian interests but the pressure is there from the US side. It will now depend on the Indian PM whether he will allow the agreements to be concluded at this visit or postpone it for making some amendments.

The India-US trade relations continue to be the weakest link in the so called India-US strategic relationship. The US itself is relying on greater protectionism but it wants India to open its doors to the US MNCs without caring for the interests of the domestic companies. The US is not interested in India joining APEC and it wants India to sign the bilateral investment treaty (BIT) with the US first .India is not yet ready to sign the BIT on US terms but the pressure continues and unless the Modi government is firm on tackling the US on trade issues on equal footing, the Indian interests will suffer.

Prime Minister Narendra Modi will be having strategic discussions in his one to one meeting with President Obama on China. The US is trying to rope in India in a strategic tie up aimed at encircling China taking Indian apprehensions about recent Chinese stances. India has to be very vigilant on this. India will deal China on its own and need not depend on any support base from US. India should not be provoked by US to meddle in South China Sea affairs and antagonize China. Rather India should focus its energies and funds for strengthening its maritime presence in Indian Ocean. The US foreign policy is in a transition stage and no one is sure about the exact policy on China that will come up after the new President arrives in the White House next January. India has to be cautious in dealing with the US in the intervening period in foreign policy areas to protect its own interests. In this transition period in US politics, there is need for caution on behalf of India in dealing with US and Modi has to exercise that in his talks with the outgoing US President. (IPA Service)