Confusion over uranium sales grows as Stephen Smith reaches India
CONFUSION surrounding the Rudd Government's "puritanical" stand over India's civilian nuclear deal intensified last night as Foreign Minister Stephen Smith arrived in the country and said he doubted he would even have a conversation about Australian uranium supplies.
Mr Smith's assertion contrasted sharply with the expectation of senior Indian officials. "Uranium is the No1 issue between us, and hopefully he will be willing to talk about it," said one senior official.
Another added: "Mr Rudd's affection for China is well known. Clearly China is influencing their (Australian) policy towards us over uranium supplies."
As he landed in the southern city of Chennai at the start of a five-day visit, Mr Smith said he expected to include in talks with Indian leaders last week's historic decision by the Nuclear Suppliers Group to allow the country access to the global trade in nuclear supplies.
But he did not expect to discuss Australia selling uranium to India.
Mr Smith is expected to arrive in New Delhi tomorrow and, unusually, Prime Minister Manmohan Singh has made time to see him.
The Indian Prime Minister does not normally meet foreign ministers of mid-ranking powers such as Australia, but his decision to make himself available to Mr Smith is seen as underlining India's priority to acquire uranium supplies.
The Indian leader's Government has come close to collapse over the nuclear deal with Washington and sees it as one of the most important developments in the country's history.
Mr Smith insists there is no conflict between the Australian position within the NSG and its ban on yellowcake sales to India as long as New Delhi refuses to sign the Nuclear non-Proliferation Treaty.
In Canberra, the federal Opposition is revelling in the Rudd Government's discomfort at having to refuse to sell uranium to India -- a decision that will cost Australian miners billions of dollars in lost export income.
Opposition trade spokesman Andrew Robb said yesterday: "For Mr Smith to say he wants to advance the relationship with India while saying at the same time that Australia will never sell uranium to them is a massive contradiction and an insult.
"India's energy security and needs are the major issues in the relationship between our two countries.
"This issue can strategically make Australia a very important partner to India. It is the thing India really wants from us. It is the big issue."
The Rudd Government was acting hypocritically by supporting the Washington-backed decision of the 44 member suppliers group to sell uranium to India for its energy needs but at the same time refusing to sell India Australian uranium, Mr Robb said.
It made no sense to sell Australian uranium to China and Russia but not to India -- the world's biggest democracy, he added.
Australia has the world's largest reserves of uranium but will only sell uranium to NPT signatory nations. India says it needs Australian uranium not for military purposes but to satisfy its growing dependence on civil nuclear power to provide for its insatiable domestic energy needs.