MAY 2016 ISSUE NO. 141 India's Membership to the Nuclear Suppliers Group RAJESWARI PILLAI RAJAGOPALAN AND ARKA BISWAS ABSTRACT India seeks to join the Nuclear Suppliers Group with the objective of playing a more proactive role in the nuclear non-proliferation realm. Political issues remain, however, particularly with regard to its status outside the Treaty on the Non-Proliferation of Nuclear Weapons. This brings to fore questions on the relationship between the Treaty and the Group with regard to their scope, mandate and membership. An assessment of prospective benefits which the Group can derive from including India in its fold is important for a nuanced understanding of the implications of India's accession. If it is the Group that stands to benefit equally, if not more, then political objections could be resolved. INTRODUCTION After being estranged from the global non- following its signing of the Chemical Weapons proliferation architecture for several decades, Convention in 1993. However, with regard to India is making efforts to integrate itself with the nuclear non-proliferation regimes, India's open regime. These efforts include gaining entry into support to the principles of the Treaty on the the four technology export control groups the Non-Proliferation of Nuclear Weapons (NPT) Nuclear Suppliers Group (NSG), Missile was best captured in a speech given at the Technology Control Regime (MTCR), Australia Parliament in 2000 by the then India's Minister Group, and the Wassenaar Arrangement. of External Affairs, Jaswant Singh.1 That speech The shift in India's approach to the global redefined India's broader approach to the non-proliferation architecture has been gradual. existing mechanisms of global nuclear non- Starting in the 1990s, India began to deliberate proliferation. This shift was further catalysed by upon its approach to export controls as it the growing convergence of interests between pertained to dual-use chemicals, especially India and the US at the geopolitical and strategic Observer Research Foundation (ORF) is a public policy think-tank that aims to influence formulation of policies for building a strong and prosperous India. ORF pursues these goals by providing informed and productive inputs, in-depth research and stimulating discussions. The Foundation is supported in its mission by a cross-section of India’s leading public figures, academics and business leaders. To know more about ORF scan this code © 2016 Observer Research Foundation. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means without permission in writing from ORF. India's Membership to the Nuclear Suppliers Group level. India's more nuanced response to President As India rises in the global supply chains of George W. Bush's speech on National Missile nuclear and related items, it will be in the interest Defence of 01 May 2001 is a case in point.2 of the nuclear non-proliferation community to Discussions between India and the US on Next have India under the same roof as other similar Steps in Strategic Partnership in 2003-04 suppliers. India, for its part, will benefit by its provided the grounds for the negotiation of a civil acceptance as the global norm-setter in nuclear nuclear agreement which was recognised as a way non-proliferation. India's inclusion in the NSG to both bring India into the nuclear non- will be testimony to the journey New Delhi has proliferation architecture and also bolster India- travelled from once being referred to as an US strategic relations.3 The India-US civil nuclear 'outlier', to being now recognised as a responsible agreement of 2005 also provided the formal nuclear weapons state ready to share the burden framework for India and the US to pursue trade in of effecting global nuclear non-proliferation goals. strategic goods, which is controlled through US This brief outlines the prospects of India's domestic regulations as well as multilateral inclusion into the NSG. It begins with a export control regimes. background to the NSG, examining its evolution This shift in India's approach to the global and objectives. The second section examines the non-proliferation architecture culminated in the technical requirements for a country to be completion of what can be called the first stage of considered for membership in the group. For India's integration process in 2008, when the India, its membership to the NSG hinges more on NSG gave waiver to India to participate in global t h e p o l i t i c a l u n d e r s t a n d i n g a n d nuclear commerce without requiring New Delhi acknowledgement of the country's credentials as a to implement IAEA's full scope safeguards. This responsible nuclear weapons state despite it not waiver was given on the condition that India being an NPT-signatorythis is discussed in the would separate its civilian nuclear facilities from third section. The paper concludes by calling on others and that all of its civilian facilities will fall both the NSG members and India to have greater under IAEA safeguards an understanding that engagement in understanding the merits and applies to all nuclear weapons states under the demerits of New Delhi's accession to the NSG. NPT. Having separated its civilian nuclear This could possibly facilitate the resolution of facilities from its military facilities and signing political issues highlighted in this brief. the Safeguards Agreement, India also ratified the Additional Protocol to its Safeguards Agreement, EVOLUTION OF NSG thereby fulfilling its commitment. The next stage in India's integration process Initially referred to as the London Club, the is for it to gain entry into the four export control Nuclear Suppliers Group was established regimes, an objective which was noted in the following the 1974 Peaceful Nuclear Explosion India-US joint statement issued on 8 November (PNE) conducted by India to ensure that transfer 2010, during US President Barack Obama's visit of nuclear material and technology for peaceful to New Delhi. The joint statement noted that purposes does not lead to the proliferation of India and the US were committed to work nuclear weapons. The seven founding members of together to strengthen the global non- the Group (Canada, Germany, France, Japan, proliferation and export control framework and Soviet Union, the UK and the US) considered the further transform [their] bilateral export control formation of the Group after taking note of the cooperation to realise the full potential of the inadequacy of the NPT framework in restricting strategic partnership between the two nuclear proliferation. NPT, in particular Article 4 countries. This commitment was reiterated in III. 2, contains the mandate for export controls on subsequent joint statements issued by the two sensitive nuclear and related items. To 5 6 7 8 governments in 2012, 2013, 2014, and 2015. substantiate the definition of which items were to 2 ORF ISSUE BRIEF No. 141 • MAY 2016 India's Membership to the Nuclear Suppliers Group be controlled, the Zangger Committee was set up Over the years, NSG members have been in 1971. In 1974, the Committee came up with the conducting regular meetings to update guidelines Trigger List which contained all items recognised and control lists. While these remain tasks in as sensitive; it also issued guidelines which would progress, one aspect where much of the debate govern exports of these items. However, at that has happened is the future expansion of the time, NPT had limited signatories and not all Group in terms of membership. Considering that suppliers of nuclear items fell under the mandate the Group's primary objective has been to ensure of the NPT and the Zangger Committee. This that export of sensitive nuclear and related made it more important to establish a separate materials does not contribute to proliferation of group which will include all suppliers and nuclear weapons, inclusion of all suppliers of such establish guidelines for export controls. This is sensitive items becomes vital to establishing the exemplified by the fact that one of NSG's first Group's credibility. At the same time, the Group agenda was to bring France into its fold.9 France needs to ensure that only like-minded countries was then not party to the NPT and thus was not are included in the Group as it functions on the obligated to abide by the guidelines issued by the principle of consensus. Any lack of consensus Zangger Committee. Meanwhile, a French could lead to a stalemate and render the Group company called SGN had signed a contract to build defunct. The challenge for the Group and its a reprocessing facility for the Pakistan Atomic members, therefore, remains on how best to meet Energy Commission (PAEC) in 1974.10 The its objectives and bring in suppliers, while contract was terminated soon after France joined preserving the effectiveness of the Group. the NSG. Soon after its establishment, however, NSG TECHNICAL REQUIREMENTS FOR NSG members hit a road-block in updating the MEMBERSHIP guidelines to the point where the NSG members did not meet from 1978 to 1990. During those NSG members consider five factors, as set forth years, the membership of the NSG grew and all its in NSG's procedural arrangement, while taking members continued their adherence to the decisions on new membership. These are: the guidelines set up by the Group in 1978. But the ability to supply items (including items in transit) members failed in agreeing to discuss proposals covered by the Annexes to Parts 1 and 2 of the for updating the guidelines, resulting in the NSG Guidelines; adherence to the Guidelines deadlock. For instance, attempts at kickstarting and action in accordance with them; discussions on making full-scope safeguards a enforcement of a legally based domestic export condition for exports fell through.