DELHI: According to the re the US remained the single large country for bilateral trade the single most important source of direct investment and an important source of high technology imports.

However it says tie US showed an increasing tendency to link technology transfers nonproliferation objectives and to deny exports of dual use items and technologies to India.

The report adds that India and the US are currently considering a new draft agreement on science and technology and a bilateral review of the memorandum of understanding (MoU) signed 10 years ago is also expected to take place this year.

In says that fundamental differences notwithstanding government recorded high priority to improving relations with the US and had pursued a policy of dialogue to promote in a substantive manner areas of mutual benefit such as made and investment while persisting with the ongoing of efforts to narrow down differences of perception over the issues Of human rights nonproliferation and trade practices.

Pakistans complicity in the planning and execution of the bomb blasts in Bombay last year betrayed its designs to interfere in Indias internal affairs and to engineer conditions of instability according to the annual report of the external affairs ministry for 1993.94.

Pakistans abetment of terrorism in Jammu and Kashmir Punjab and other parts of the country vitiated the atmosphere and had a negative impact on bilateral relations according to the report. It says the Prime Minister P-V.Narasimha Rao had taken up the issue of Pakistans involvement in militant activities with the then Pakistan prime minister Nawaz Sharif at the Dhaka SAARC summit in April last year. The report says despite Pakistans assurances of cooperation in locating apprehending and returning to India the members of the Memon family prime suspects in the Bombay blasts there was no positive response from Pakistan

It says India had consistently held the view that the only logical and rational approach was harmonious coexistence based on the fundamental principle of non-interference in cach others internal affairs as enshrined in the Simla agreement. However this approach required an equal commitment on behalf of Pakistan

Article extracted from this publication >> May 6, 1994