1977 January Volume No XXIII No 1 1995 Content Foreign Affairs Record 1977 Vol. XXIII JANUARY No. 1 CONTENTS PAGE HOME AND FOREIGN AFFAIRS President's Republic Day Message 1 INDONESIA India-Indonesia Maritime Boundary Agreement 2 IRAQ Indo-Iraqi Agreement on Water Resource Projects 3 LAOS Speech by the President at Banquet in Honour of President Souphanouvong 4 President Souphanouvong's Reply 5 India-Laos Joint Communique 6 NON-ALIGNED PRESS AGENCIES POOL Shri Mohammad Yunus' Address to Coordination Committee at Cairo 9 Press Agencies Pool's Press Communique 11 PAKISTAN Official Statement on Release of Hijackers by Pakistan 13 POLAND Prime Minister Shrimati Indira Gandhi's Speech at Dinner in Honour of Mr. Gierek 14 Mr. Gierek's Reply 15 Indo-Polish Agreement on Air Services 19 Indo-Polish Joint Communique 19 MINISTRY OF EXTERNAL AFFAIRS: EXTERNAL PUBLICITY DIVISION GOVERNMENT OF INDIA (Continued overleaf ) PAGE ROMANIA Indo-Romanian Joint Communique 22 SRI LANKA India-Sri Lanka Credit Agreement 25 UNITED KINGDOM British Grants of over Rs. 170 Crore for India 25 (ii) INDONESIA INDIA IRAQ LAOS USA EGYPT PAKISTAN POLAND OMAN ROMANIA SRI LANKA Date : Jan 01, 1977 Volume No XXIII No 1 1995 HOME AND FOREIGN AFFAIRS President's Republic Day Message Following is the text of the President, Shri Fakhruddin Ali Ahmed's message to the Nation, broadcast by All India Radio on the eve of the 28th Republic Day: Tomorrow we are celebrating the twenty- eighth Republic Day. On this auspicious occasion, I am happy to greet all of you, my countrymen at home and abroad, and convey to you my good wishes. India has rightly been described as the largest democracy in the world. Democratic processes have taken firm and abiding root in our country. Our democracy is on the eve of yet another milestone in its progress. Soon we shall have elections, to the Lok Sabha. A parliamentary democracy derives its strength and authority from the will of the people in whom resides the sovereign power to choose the Government. Our people have time and again shown their political maturity and our electoral machinery has earned a reputation for the observance of highest standards of impartiality and inte- grity. I appeal to all political parties to eschew bitterness and rancour in their elec- tion campaigns and help maintain an atmos- phere of peace and calm in the country. Acts of violence and indiscipline are incompatible with the practice of democracy. We enter the new year in a mood of hope and confidence. Thanks to the deter- mined efforts of the Government and enthu- siastic popular participation, the country has made rapid strides, in all spheres of national endeavour. There is now a very comfortable level of buffer stock of foodgrains. There has been a sustained drive against the black money economy and smuggling and for fuller utilisation of industrial capacities, efficient procurement of foodgrains and successful export promotion. The rate of growth of industrial production, during the year, has been about 10 per cent - the highest in any single year recorded so far. What is even more gratifying is that the increase has been appreciable in vital industries like power generation, coal, steel, fertilisers, newsprint, cement and aluminium. The per- formance of public sector enterprises has been particularly remarkable. All these have contributed to containing the inflationary pressures. In a world in which high rates of inflation have become almost universal, our countrymen can congratulate themselves on this achievement. The country has, more- over, made headway in a field which was previously the preserve of the more develop- ed industrial nations. Our consultancy firms, both in the public and the private sectors, have proved their worth with the result that not only countries of West Asia, South East Asia and Lat in America but also some in Europe are entrusting them with responsi- bilities for design, engineering and erection supervision of steel, heavy electricals and such other plants, in the face of stiff compe- tition from the world's leading firms. I am sure, India's technological maturity will pave the way for ever increasing cooperation bet- ween us and other developing countries. Our successes should not, however, make us complacent and blind us to our short- comings. The recent spurt in prices of edible oil, raw cotton, sugar, etc. which is not so much due to shortages of these com- modities but mainly to speculative activity, emphasises the need for setting up effective cooperatives and for vigilance to curb anti- social activities. The scope of the public distribution system has to be widened con- siderably to include all essential commodities of mass consumption. We must also build buffer stocks of many commodities besides cereals so that we are able to control the price line. We know, from experience, that the most, effective method of checking the activities of antisocial middle-men is to organise cooperatives for production, mar- 1 keting and consumption. I would like to reiterate my appeal to public-spirited citizens all over the country to build up genuine co- operatives, in every village and every mohalla, so that men and women of goodwill and dedication everywhere can ensure self- help through mutual help. Our country has opted for planned deve- lopment. The essence of planning is the conscious directioning of resources through carefully thought out programmes. I believe the time has come to review our planning and make it more and more rooted in the local resources, for that is the only way to raise the standard of living of the people, especially the less-privileged sections of the society. Implementation of such plans calls for increased mobilisation of resources both human and material. This will require ruth- less cutting down of conspicuous consumption and extravagant expenditure. The ideals of simplicity and austerity, to which we always pay lip sympathy, must become a way of life with us. It is a pity that our richer classes are blindly copying the life styles of the affluent societies of the West and the in- dustrial structure is largely oriented to meeting the insatiable needs of this small minority. This untenable concept must change and the industry must be made to produce articles of mass consumption at reasonable prices. Growth, equity and self- reliance, which are the cherished goals of our planning process, are capable of achieve- ment when there is not only a sense of in- volvement and dedication on the part of all citizens, but also that equal opportunities for all are ensured. I am confident that these will be forthcoming in ample measure to take our country forward in its quest for a just and equitable society. It is the historic responsibility of the present generation to inspire a sense of security and self-confidence in the minds of all citizens irrespective of caste, community or region. A positive force that can contri- bute to our development is the spirit of healthy nationalism which refuses encourage- ment to fissiparous tendencies. India must live before India can grow and successfully tackle the immense problems of poverty, ig- norance, ill-health that face her at present. National integration is as basic to her sur- vival as it is for her development. We must transcend the divisive forces of casteism, communalism, linguism and regionalism and forge not merely political unity but the unity of minds and hearts of all our peoples. In spite of vast size and immense diversity, India has maintained through the ages the concept of unity and identity and has tried to blend out of many cultural elements, a rich and harmonious national ethos. I ap- peal to all our people to uphold and foster this great tradition and make India pros- perous and happy. Friends, I have an abiding faith in the great destiny that awaits our motherland. The innate goodness of our people and their capacity to face challenges from within and without have stood many tests and have emerged with added strength. We have abundant human and material resources. Let us on this day resolve through consent and cooperation to build in this ancient land of ours a new social order free from rancour and exploitation and friendly to all mankind. INDIA USA CENTRAL AFRICAN REPUBLIC Date : Jan 01, 1977 Volume No XXIII No 1 1995 INDONESIA India-Indonesia Maritime Boundary Agreement The following press release on the India- Indonesia maritime boundary agreement was issued in New Delhi on January 14, 1977: An Agreement on the Extension of the 1974 Continental Shelf Boundary between India and Indonesia in the Andaman Sea and the Indian Ocean was signed here today by Shri M. A. Vellodi, Secretary, Ministry of External Affairs for India, and Lt. Gen. Soegih Arto, the Indonesian Ambassador in India. 2 By this Agreement the 48-mile boundary line established by the 1974 Agreement, which came into force with effect from December 17, 1974, has been extended north- eastwards into the Andaman Sea upto a point close to the possible trijunction point bet- ween India, Indonesia and Thailand. The boundary has also been extended south-west- wards into the Indian Ocean upto a distance of 200 nautical miles from the respective coasts. The extension of the entire maritime boundary, like the boundary settled in 1974, is based on the median line principle. The Agreement signed today is the re- sult of negotiations held in 1976 at technical level. The Agreement has been concluded in a spirit of cooperation, friendship and good neighbourliness. It provides that India and Indonesia recognise and acknowledge the sovereign rights of the respective Govern- ments in and over the seabed area including the sub-soil thereof within the limits estab- lished by the present Agreement.