January 19, 2002	Saturday	Ziqa'ad 4, 1422

NEW DELHI, Jan 18: India and the United States on Thursday concluded an agreement to set up military cooperation between the two which among other things provides for the sharing of military intelligence and supply of arms.

The agreement was signed by the Indian Defence Minister, Mr George Fernandes and the American Secretary of Defence Mr Donald Rumsfeld.

Entitled “Sharing Security of Military Intelligence Agreement, the pact clears the way for the US administration to effect supplies already agreed to between the two military establishments which has been discussed by Mr Fernandes and Mr Rumsfeld when the secretary of state had visited India in November.

Neither of the two parties revealed the equipment and supplies which had been asked for by India to which the US administration has agreed.

The agreement formally ends the arms embargo which had been imposed by the US administration under sanctions imposed by it after the Pokhran nuclear explosions.

Mr Fernandes, however, dismissed reports that the US administration had blocked the sale of the Phalcon airborne warning systems.

He had said that he had not come with a shopping list to Washington but he was joining hands with the US administration regarding India’s project for the manufacture of a Light Combat Aircraft and said, “We need the engine for the project.”

At the news conference addressed by Mr Fernandes and Mr Rumsfeld, the Indian defence minister dodged questions about the Americans advising India about pulling back its troops from the present eyeball-to-eyeball confrontation in which they find themselves. He however said that he had pointed out to the US administration that there had not been significant progress despite General Musharraf’s speech. However, he hoped that “sooner or later the issues between India and Pakistan would be on the way to resolution.”

The prime minister’s office denied that Indian troops were in confrontational positions on the frontiers. According to the PMO, a strike force being very close to the border is a sign that war would break out immediately. Pulling back these troops would involve transport problems which would involve the employment of over 200 trains to carry them back to their original positions.

KISSINGER: The US efforts to defuse the tension was substantially augmented by the arrival of former US secretary of state Dr Henry Kissinger. He had a meeting with Prime Minister Mr Atal Behari Vajpayee and the Home Minister, Mr L.K.Advani.

Speaking to newsmen he merely said that he was here on a personal visit “to educate myself on a few factors about Kashmir” and accordingly he had meetings with the deputy chairman of the Planning Commission, Mr K.C.Pant. In all his meetings he was accompanied by the American ambassador here Mr Robert Blackwell.

Commenting on the situation on the India-Pakistan border, Dr Kissinger said “the situation concerns everybody but I hope the atmosphere has improved since the weekend.