The Indo-US bonhomie; in core is expansionism of multinational companies
By Ahmed Khan
The United States of America’s President Barak Obama visited India for three days, where he attended the Democracy parade on 26th January, 2015. The both leaders Narender Modi and Barak Obama declared bonhomie the Indo-US ties. The United States is sole super-power in world after the disintegration of Soviet Union and this is Flagship State of capitalism system in the world. By now, the scientific inventions have slackened the borders constrains and world has entered in a phase of globalization, where only the capital has primary value, whilst the human has been put on secondary or lower than secondary level and this is considered consumer or market by magnates. Mr Obama was representing the multinational companies which are belonging of mostly the Americans but other Europeans states and Israelis have also share in these. And the US and India bonhomie in core is expansionism of aforementioned multinational companies in Asia, specifically in India.
The China is the largest state in world population wise, and it is considered the counter power of United States of American in the world. The recent visit of American president to India was intended to portray the world it has carve-out an ally or counter-weigh to China in this region. But this perception is wrong in the light of evident that American trade volume with the China is greater than the India which is declared bonhomie. Presently, the America’s trade with China is above than $5 billion whilst with India is around $1 billion. The question rises, why America is trading with its antagonistic state? Answer is very simple that the China contains a huge population, which is around the 2 billion, and it is a substantial market for multinational companies and they cannot stand without trading this. The interests, especially money making propels to put aside all differences and spats and that is why the American has rivalry with China and friendship, simultaneously. The enmity means, the United States does not let the Chinese products boost-up in world market, and the friendship is for selling the American products in vast Chinese market.
The India is also harboring a huge population, so this population is buyer and consumer of American productions and its generated energy which have fascinated the US to hook-up by the cord of bonhomie with India. For the multinational companies, the India is a vibrant trade point in South Asia, where indigent people can’t stand in front of state machinery for their rights being in a democratic state or in well-developed democratic state. The elites easily impose their decisions on innocent and powerless masses; otherwise, they had many options for energy generation which are cheaper than American nuclear power station give-out energy. Situations are mold in such way that India feels pride on interactions with America in the race with the Pakistan, even though the India can generate energy through wind mill and by solar system on low rates that costs Rs 4.5 and Rs 8 per unit respectively. But the Indian government is adamant to buy from US installed atomic reactors which will cost Rs 12 per unit.
During the Obama’s visit, bilaterally signed several agreements, one of those is the installation of civil nuclear reactors which is considered major development. Initially, Indo-US civil nuclear deal was signed by Gorge W. Bush and between Mammohan Singh in 2008, as per deal India agreed to separate its civilian and military nuclear activity and open up the civilian part to inspection by the International Atomic Energy Agency [IAEA] and in return, the US offered to fully nuclear trade with India, ending its nuclear ostracism.
Subsequently, the India carved-out two large chunk of real estate in Mithi Virdi, Gujrat, and Kovvada, Andhrapardesh, and offered the two American Multinationals to set up nuclear power plants. Toshiba-Wahingtonshse was given the Gujrat site for building six AP1000 reactors of 1100MW each. GE-Hitachi plans to set up six units of 1594 MW each at the Kovvada site. Both projects involve untested technology, in both instances; public sector Nuclear Power Corporation of India will be the operator.
India is amending laws about civil nuclear damage, and through interpretation of law the country will be liable for damage. The past incidents entail the damage cause billion Dollars lose including relocation and rehabilitation, environmental remediation and lost trade due to contaminated agriculture and marine produce.
India is not sole country for paying such liabilities but already many countries have taken responsibility like, Japan, Austria, Switzerland and Germany. The drawbacks of these nuclear plants are greatly devastative. In Belarus, the Chernobyl nuclear plant accident still is in memories of present age human due to its massive destruction. In discussed area, people are affected the radio activity and babies born abnormal because of non-favored or impaired climate.
The Fukushima Nuclear plant in Japan was damage due to massive earthquake, the studies about mentioned impaired nuclear plant released in 2014 from Ritsumeikan University and Osaka City University said the Fukushima disaster will cost $105 million. The figure does not include the cost of decommissioning of reactors or safe disposal the contaminated material and waste. And the establishing nuclear plants in India never be relieved from accidents and in underdeveloped country it will cause major fatal and financial lose.
During the visit, the US president Obama announced for $ 4 billion of new initiatives and trade mission in India. The amount deals include $2 billion of leveraged financing for renewable energy investments in India through the US trade and Development Agency and $1 billion in leans for small and medium business across India through the overseas private investment corporation, or OPIC. Separately, the US Export & Import Bank would finance a billion dollars to support ‘Made in America’ to India over the next two years. Mr Obama also announced that two US trade mission will be in India this year with a particular aim to focus on infrastructure development in rail, roads, ports and airports. The two democracy in world, the US and Indian leaders during visit on Republic Day 26th January of India used backroom for dealing which exhibits the states’ democracy including bonhomie factuality. They deal and executive discretion had bypassed the spirit and intent of their respective legislatures, the US president said, he has found a way to exempt supplies to India from US inspections meant to ensure non-proliferation goal because the India is not signatory of Non-proliferation Treaty [NPT]. And in response, the Indian Prime Minister Mr Modi has suggested that publicly funded insurance pool will be set up to indemnify foreign or multinational companies supplies and cover the liability under the state’s law. In this way, the Indian will bear the any sort of tort it happens with multinational companies.
All the dealings between US president and Indian Prime Minister Mr Modi have signed, are barely in the interests of multinational companies. And these may benefit slightly a handful portion of people in India whom are directly involved with them, but these are totally blood-sucking projects of common masses.
The intended infrastructure building in fields of rail, road, port and aviation for transport of goods to plants, and these amenities are for elites, especially will benefit the foreigners, and the local never can get the advantage from these.
In media, distortedly it is being shown that America preparing the India as counter-weigh to China in region, but in core it is paving the way for its multinational companies to invest in the Indian markets and intended to exploit here’s low-cost labor. If this thought is untrue, so why America is trading with China and its trade volume is greater than exchanges with India.
If the putting aside to Pakistan by American, is to be broached so it is easily to be perceived that Indian market is vast than Pakistanis, and situations for one sided trade are vibrant much with India. Here in Pakistan, vulnerability, religious fundamentalism are obstacles in the way of multinational companies for investment, otherwise no reason seems for distinct. But Indo-US bonhomie, in core is expansionism of multinational companies.