159. Telegram From the Embassy in India to the Department of State1

22615. Subject: Tarapur Supply. Ref: State 319358.2

1. Secret entire text.

[Page 421]

2. We here of course are disappointed by the decision not to decide reported in reftel. In preparing for the next step, I wish to reemphasize the importance I attach to our having some specific proposition to put before the new GOI at the earliest possible time following its formation. This argues for a Presidential decision prior to mid-January.

3. As reported in recent messages, a big head of impatience has been built up here on this issue, and America’s stock has been sinking. Our trustworthiness and the depth of our interest in India are both suspect. Enough influential people can accept, however, I believe, the fact that the US needs more enduring assurances of India’s commitment to non-proliferation than a caretaker government can provide. Besides, most leaders are currently preoccupied with the elections. Therefore while less than desirable, as seen here, this further delay of a decision on the licenses will probably be found tolerable by most political leaders until the new government is formed. But once it is in place, regardless of who becomes Prime Minister, we must be prepared to act fast to lay before her or him what (if anything) we are prepared to offer and on what conditions.

4. Such prompt action may help reduce the suspicions with which the intent of the USG is now so widely viewed and hence perhaps help gain GOI acceptance of a short-term bridge arrangement along the lines proposed by Ambassador Smith and his party.3 We have very little to offer, and attitudes toward us are now such that if we dilly-dally further the new government may very well say: you have strung us along long enough; if you can’t live up to your contract in full, we shall make other more reliable arrangements. That, I judge, is not the resolution to the problem that any of us want.

5. Please inform me as far in advance as possible of the next PRC meeting on this subject. If conditions permit, I would like to be present, and assist in any way I can with related congressional consultations.

Goheen
  1. Source: National Archives, RG 59, Central Foreign Policy File, D790570–0702. Secret; Immediate; Stadis; Exdis. Sent for information to Bombay.
  2. Telegram 319358 to New Delhi, December 11, relayed the decision reached at the December 5 PRC meeting: “to take no action on the two licenses now pending for Tarapur fuel. Another meeting will be held in mid-January to decide on an approach to the new Indian Government. At that time, the initial issue will be whether to approve one more fuel shipment without any stringent conditions as a means of creating an atmosphere favorable to further negotiations.” (National Archives, RG 59, Central Foreign Policy File, D790570–0021) See Document 157.
  3. See Document 156.