Washington: The US will scrap the deal to export civilian nuclear fuel and technology to India if New Delhi conducts a nuclear test, the state department said on Tuesday.
The statement came as the two governments gave different interpretations of the controversial nuclear deal’s recently adopted operating agreement, also known as the 123 Agreement.
“The proposed 123 Agreement has provisions in it that in an event of a nuclear test by India, all nuclear cooperation is terminated, as well as there is provision for return of all materials, including reprocessed material covered by the agreement,” state department spokesman Sean McCormack said.
His comment came as US President George W. Bush and Indian Prime Minister Manmohan Singh discussed the deal over the telephone on Tuesday.
Singh told Parliament on Monday that the agreement would not affect India’s military programme or any plans to conduct nuclear tests. “The agreement does not in any way affect India’s right to undertake future nuclear tests, if it is necessary”, he said.
The 123 Agreement was approved by the two governments in July after discussions spanning two years.