NEW DELHI, Feb 17: Indian Prime Minister Manmohan Singh said on Friday that he was deeply concerned by the chances of an open conflict breaking out between Iran and the United States in the Persian Gulf but New Delhi also remained opposed to Tehran acquiring nuclear weapons.

Without naming Pakistan directly, he told parliament “the source of such clandestine proliferation of sensitive technologies lies in our own neighbourhood, details of which have emerged from successive IAEA reports. This august house will agree that India cannot afford to turn a blind eye to security implications of such proliferation activities.”

Explaining his government’s vote against Iran at two last meetings of the IAEA, Dr Singh told the MPs that India in principle supported Tehran’s quest for nuclear technology as opposed to its likelihood of acquiring weapons capability.

“I would like to reiterate our unshakeable conviction that such a sensitive issue, which concerns the rights and international obligations of a sovereign nation and a proud people can only be addressed through calm, reasoned diplomacy and the willingness on all sides to eschew confrontation and seek acceptable compromise solutions,” Dr Singh said in his statement.

“We are therefore deeply concerned by escalating rhetoric and growing tensions and the possibility of a confrontation over this issue. This is a matter of concern for us as tensions in this region — where our vital political, economic and security interests are involved — affects us directly. The region hosts 3.5 million Indian citizens whose welfare is a major concern of my government.”

India, he said, would call upon all concerned to exercise restraint, demonstrate flexibility and continue with dialogue, to reach an amicable solution.

“In the days to come, we will support diplomatic efforts in this regard, drawing upon our friendly relations with all the key countries involved,” he said. India will endeavour to ensure that the issue does not cast a shadow on its traditional friendly ties with Iran.

The prime minister said that as a signatory to the NPT, Iran has the legal right to develop peaceful uses of nuclear energy.