The U.S.-India Friendship: Where We Were and Where We'reGoing


Richard A. Boucher, Assistant Secretary for Southand Central Asian Affairs Remarks at the Confederationof Indian Industries New Delhi, India April 7, 2006


Good afternoon, ladies and gentlemen. It's a pleasure tobe with you this afternoon in New Delhi. I know that you've hosted our American ambassadors and many other distinguishedguests frequently, and I appreciate you hosting me as well.This is my first solo visit to India as Assistant Secretaryin the Bureau of South and Central Asian Affairs, and as youknow, this is a new job in the State Department. In additionto policy responsibility for South Asia, this bureau is alsoresponsible for the five nations of Central Asia. While Ilook forward to delving into this expanded portfolio andthe great opportunities that we have before us in buildingcloser ties between South and Central Asia, there'sabsolutely no question that much of my focus in the comingmonths and years will remain on nurturing the bilateralrelationship between our two great countries, India and theUnited States. This is an epic journey with historicimplications and that's why my speech has the same form asan epic poem: starting in the past, joining with thepresent and then moving into the future. Do not be alarmed,however. My speech is somewhat shorter than the Ramayana.


How We Arrived Here


America has important and uniquerelationships with each country in the region, but perhapsnone have attracted more attention than the U.S.-India relationship. Since India's independence, our interactionhas been marked by cooperation, estrangement, andoccasionally indifference. The potential of the relationship never seemed to become reality. Although thathistory certainly informs where we are today, I submit toyou that our relationship has come very far from the ColdWar differences that once defined us.


Indeed, I believethe U.S.-India relationship has entered an entirelydifferent phase. Years from now, when people gather todiscuss our relationship, they will remark upon the acrossthe board transformation of U.S.-India relations that tookplace in the first decade of the 21st century.


Why do wesee such a changed dynamic today? I believe it is the resultof a changing world, changes taking place both in India andthe United States, our increasingly shared values, and theefforts of Indians and Americans, particularly those inbusiness, who decided not to wait for their respective governments to begin forging new links. This is not to saythat our governments did not play an important role inbringing the relationship to its current high level. As adiplomat, would you expect me to say otherwise? Indeed, Ibelieve it would be fair for any observer to recognize thatwe owe today's vibrant ties to the sustained efforts ofgovernments in both countries, including those that precededthe Administrations of President Bush and Prime MinisterSingh.


Profound changes certainly helped to bring aboutour new relationship. India is emerging as a major power,thanks to fundamentally sound decisions you have made aboutthe kind of country India should be. This is a good thingnot only for India but for us all economically, politicallyand in other vital areas.


This audience knows well thatIndia's economic growth is booming, promoting domesticefficiency and entering markets globally. It is hard to opena magazine in the United States without finding a storyabout the opportunities for business in India, and the rolethat Indian businessmen and Indian Americans are playinginternationally. Indeed, it's reasonable to think that youreconomy will have the most significant impact on the rest ofthe world for the foreseeable future. Much of this has beenmade possible by wise economic reforms undertaken since1991. Continued economic reforms, changes in the bureaucratic functions of the state and increasedefficiencies and growth are vital for the Indian economy tocontinue its high-paced growth. We believe the way aheadlies in an increasingly open Indian economy, one which opensup important business sectors like retail, insurance andbanking to foreign investment. The international businesscommunity has been coming to India thanks, in part, toreforms in licensing and regulations that have made iteasier to do business here. Still, I think you will agreewith me that more needs to be done. Every excessregulation, form and process is a drag on economicachievement. And every excess step increases businessuncertainty and becomes an opportunity for corruption."Minimum credible deterrent" is a term with which you areall familiar in the security context. I think we should alsotry to bring about "minimum credible regulation" so thatentrepreneurs from both our countries can create theindustries and jobs of tomorrow to their fullest potentialwithout devoting excessive effort to negotiatingofficialdom.


Due in no small part to businesses like thosethat are members of the Confederation of Indian Industries,India has rightfully received much attention for itsdynamic economy. But our vision is broader than that. Welook toward stronger economic ties, but also a deeperpartnership and wider engagement on global issues that canbenefit from India's capabilities and expertise. Forexample, India's ability to respond regionally to natural disasters, as demonstrated after the December 2004 tsunamiand aid sent our way after Hurricane Katrina, was praised bythe world community, including the United States. We alsohave welcomed your ability to deploy top-notch military personnel for peacekeeping duties around the globe.


Icould list any number of areas in which India bringssomething important to the table. These combine to oneconclusion: India's role in helping foster and maintaininternational stability is vital. We hear frequently thatAmerica must surely be promoting ties with India as acounterbalance to China. I reject this kind of zero-sumthinking as too simplistic. Good relations with India do notcome at the expense of good relations with China. Both canbe responsible stakeholders in the international system.Think of this another way. Are American businessmen pouringinto Bangalore, Hyderabad and other Indian cities to"counter China?" Absolutely not. They are building abusiness relationship with India because India'sattractiveness stands on its own merits. And that is thesame approach that the United States Government takes. BothIndia and China are welcome and important partners of theUnited States, and of one another. So, rather than seeingIndia as counteracting a communist China, we see India asthe essential engine of economic progress and democracy thatenhances stable development from the Middle East to the FarEast.


Where We Go From Here


Prime Minister Singh'svisit to Washington in July 2005 established the promise ofour relationship, and President Bush's visit to India inMarch 2006 began to transform promise into reality. Thesevisits provided a big green light to our cooperation. I waslucky enough to be in the right place at the right time, beginning my job as Assistant Secretary just a week beforePresident Bush's historic trip to India. I say withoutshame that I enjoyed the spoils of an immense amount ofhard work by officials and like-minded partners on both sides, including by our fine ambassador, David Mulford.


With the hard work of preparing for the visit safelybehind us, I believe that the work ahead of us is even moreimportant. Realizing the promise of this partnership andmaking it benefit Americans and Indians, the region, and therest of the world is the toughest work. The list ofinitiatives and agreements is expansive and covers nearlyevery conceivable area of cooperation. If we can come to anagreement on civil-nuclear cooperation and we did afterstruggling with the issue for 30 years we can doanything.


I am happy to report that since theannouncement, both sides have worked hard towardsfulfilling their commitments. Just this week, Dr. AnilKakodkar, the chairman of India's Atomic Energy Commission,traveled to Vienna to begin discussions with the IAEA on asafeguards agreement, and Secretary Rice testified beforeboth Houses of the U.S. Congress in support of this initiative, declaring it to be the key element of "apartnership that will become one of the most important wehave with any country in the 21st century."


As SecretaryRice said, this initiative "is a strategic achievement: Itwill strengthen international security. It will enhanceenergy security and environmental protection. It willfoster economic and technological development. And it willhelp further transform the partnership between the world'soldest and the world's largest democracy." Delivering on ourmany commitments will take work by both sidesdiplomatically, domestically and bureaucratically. As wetransform our relationship, we must transform our attitudesand structures. America's growing stake in India's futuremeans that we will continue to talk frankly with you asfriends do with one another about economic reform. And weexpect that you'll continue to offer us pointers on thingswe could do better, as all of our best friends in the worlddo.


As we move forward together, we have put specialemphasis on the growth of business, science and technologycooperation. This week, Science and Technology MinisterSibal is in Washington to meet with Dr. Jack Marburger,President Bush's chief science advisor, and here in Indiaour Assistant Secretary for Energy, Jeffrey Jarret, signedan agreement with Ministry of Power Secretary M.K. Shahi tojoin an international public-private research project thatwill develop the next generation of clean coal power plantsand other energy technologies. These concrete steps shouldtell you how much value we place on the 19 initiatives weagreed to during the President's visit that put technologyto work for our people. We look forward to energetic work onagriculture, clean energy and new technologies. We are hardat work forming commissions, and moving funding so that ourmoney, both Indian and American, can do the most good. Andwe are taking seriously the recommendations the CEO Forumpresented to the President and Prime Minister in New Delhi,including everything from looking at ways to increasehigh-tech trade, to facilitating business visas.


Indiais playing and will continue to play an invaluable role inhelping to solve regional conflicts. During my visit todayI had excellent discussions with your Foreign MinistryOfficials about how we can work together to address sharedareas of concern in the region. For example, we continue tocoordinate on efforts to restore democracy in Nepal. As afriend, we are also encouraging the Indian Government tocontinue the progress we've seen recently in relations withPakistan. As we have said many times, we would like to see apeaceful solution on Kashmir that is acceptable to bothIndia and Pakistan, and can foster lasting peace andprosperity not only in Kashmir, but throughout South Asiaand right into Central Asia. Recent statements by PrimeMinister Singh and President Musharraf have attractedconsiderable favorable international interest, and there isno dearth of ideas circulating for ways the two countriescan establish greater trade, transport linkages, andpeople-to-people contacts. I think everyone believes now isthe time for India and Pakistan to press for furtherprogress and achieve the unlimited potential that occurswhen two neighbors trade openly and freely with each other.


As in the past, we continue to look to India forleadership in stabilizing nuclear and defense relations withits neighbors. We, and previous American Administrations,have pushed for India to further define its "minimumcredible deterrent," and we continue that today. Weunderstand the complexity of this task having spent 40years in discussions with the former Soviet Union over ournuclear weapons programs. We also understand that suchdiscussions are complicated by China's intentions and byIran's energetic pursuit of technologies that underlienuclear weapons. But, nevertheless, we see this as anabsolutely necessary step toward decreasing tensions inAsia. We look not only to India, but to Pakistan, to workout mutual understandings to build confidence in bothconventional and nuclear areas.


In addition to workingbilaterally with India, we see great promise in working together in the South Asian Association for RegionalCooperation (SAARC). We recently approached SAARC'sSecretary General requesting observer status. South AsianFree Trade is an opportunity for all the countries of SouthAsia to help make free trade in the region a reality, andto establish links to Central Asian economic organizations.


>From my particular perch as Assistant Secretary forSouth and Central Asian Affairs, I see numerousopportunities for links that can bring power, roads, communications and trade all the way from Kazakhstan toPakistan and India. The South Asian region will benefit fromthe positive development of the countries of Central Asia.As Central Asia develops, India and others stand to gain a great deal in opening up new markets and trade routes withCentral Asia.


Last weekend I attended a conference inKabul on "Partnership, Trade and Development in GreaterCentral Asia." One of the resounding themes was that providing Central Asia with options and opportunities fromall directions will help those countries in the region tomove ahead on a positive and prosperous path. They cannotlink up with Russia alone, or China alone, or the UnitedStates, Pakistan or India alone. They need all of theseopportunities to create strong economies and modernsocieties.


Bringing your experience in development,democracy, education and other fields is another importantway for India to show regional leadership to the benefit ofall. Imagine the day when one can travel and bring goods andservices from India, through Pakistan and Afghanistan, toCentral Asia. We would welcome India's participation inendeavors that reinforce Afghanistan's newfound status as anopen corridor, rather than a barrier that separates SouthAsia from Central Asia.


India does and will continue tomake a difference in the world. Its leadership will becrucial in a myriad of areas, from working to eradicateHIV/AIDS and avian flu, to promoting economic efficiency,to supporting a strong United Nations and leading in theWorld Trade Organization to open trade andservices.


Perhaps most importantly, we believe that one ofIndia's greatest contributions in the coming decades can bein its stand for democracy. Many countries around the worldare deciding to act on their democratic aspirations, whilesome others are wary. We know that India will stand besideus and the world community in assisting those who choosefreedom. We hope that India will work with others oneducation, judicial training, free media, technology, independent elections commissions, rule of law and otherfoundations of democratic societies.


As you can see, thepossibilities for what we can do together are limitless. There's a big agenda in the U.S.-India relationship and alot to do. When she offered me this job, Secretary Ricetold me that it was the most exciting place to be working.It's not only an exciting place, but an exciting time thatcan change the lives of our children and grandchildren. Iam happy to be here with you at this important moment.


Thank you for having me, and I'll be happy to take yourquestions.


Released on April 7, 2006


ENDS



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