India and Mongolia signed a civilian nuclear agreement on Monday during Mongolian President Tsakhiagiin Elbegdorj’s four day visit to India. The memorandum of understanding between the two countries pertains to development in the field of “peaceful uses of radioactive minerals and nuclear energy” and would allow India to look for uranium in the central Asian nation.
Mongolia is the sixth country to sign a nuclear trade pact with India after the United States, France, Russia, Kazakhstan and Namibia. India is looking at new nuclear trading partners to fulfill its energy needs after Australia stressed its policy of not selling uranium to non-NPT (Nuclear Non-proliferation Treaty) member countries.
While India needs all the uranium it can get to fulfill its energy requirements, it should not look at Mongolia solely as a uranium supplier. The country is also rich in other minerals and India should take advantage of Mongolia’s need for mineral processing facilities and infrastructure to increase its share in the trade of those minerals. It is also strategically located in central Asia between Russia and China, and having a strong partner there could be beneficial to Indian interests in the region. It could help expand trade relations with other central Asian countries, an important aspect in India’s desire to grow as a global power and counter Chinese influence in Asia. Defense relations with Mongolia are good and should be further encouraged by the Indian government. Though Russia has been a trusted friend since independence, having more than one strong ally in the region is important.
The current visit by the Mongolian President is his first foreign tour since taking office in June 2009, and exhibits the importance Mongolia places on good relations with India. The two countries have had religious relations for over 2700 years when Buddhism spread to Mongolia from India. India also supported Mongolia’s inclusion into the United Nations and the Non-Aligned Movement (NAM). Mongolia on its part supports India’s candidature for a permanent seat at the UN Security Council, and resolution of the Kashmir issue on the basis of the Shimla agreement.
Indo-Mongol relations have great potential to flourish on the basis of their historical exchanges and current interdependence. Both governments should make most of the high growth rates of the other country and develop a comprehensive and mutually beneficial relationship.
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