Prime Minister of India - Dr. Manmohan Singh

Transcript of PM's onboard press conference en-route new Delhi from Riyadh

Dear friends, I just had a very productive and fruitful visit to Saudi Arabia. I have met all the top leaders starting with His Majesty King Abdullah, the Foreign Minister, the Oil and Minerals Minister, Commerce and Industry Minister. As a result of our interactions, we have agreed to upgrade the quality of our relationship to that of a strategic partnership and this strategic partnership will cover economic, trade and investment issues. Also it will include issues relating to energy security, investments in each other's country in upstream and downstream energy activities, investment in R&D in renewable energy resources and also it will cover issues relating to security cooperation in dealing with terrorism, strengthening arrangements for provision of information and intelligence.

Question 1. On whether solution of the Kashmir issue tops the foreign policy agenda of UPA II? If not then what is the main agenda? ,

Answer: UPA agenda is there for all to see , it is reproduced in the Congress Election Manifesto, that is the broad guideline of what we want to do. In improving of our relations with neighbours, living in a neigbourhood of peace and stability is a very important issue which we will be working hard upon. I do recognize there are difficulties but we have to bite the bullet.

Q -2. Today in Shura Council address also you had repeated your offer of walking that extra mile with Pakistan, this carries a lot of symbolism since you say that in a land which is seen as cradle of Islam, what are your hopes, as you just said improving relations with neighbours are very important?

Answer: Well I hope that the world community gets the right message that India is a victim of terrorism, that we have a situation where our neighbour has promised unambiguously not to allow its territory for perpetrating terrorist attacks directed against India and yet, on the ground, progress has been rather nil. We are living today in an increasing interdependent world and whosoever I meet, the world leaders, I convey to them, that all problems between India and Pakistan can be resolved through meaningful bilateral dialogue, if only Pakistan would take a more reasonable attitude in dealing with those terrorist elements who target our country.

Q-3. Now Saudi Arabia is also a victim of terrorism, and what is your assessment, are the Saudis ready to support the Afghan issue, the Afpak question and our problem , to help with Pakistan?

Answer. My feeling is the Saudi Arabian leadership has a better understanding of the predicament that we face both in Pakistan and in Afghanistan. (interruption....inaudible) Well I cant say that but there is great deal of sympathy and support for India's point of view, that what we are asking is very reasonable

Q- 4 : Sir there has been a lot of concern over increase in petrol prices, will the government consider any rollback in petrol prices?

Answer: Any increase in prices does hurt some people. We have to take a long term view. We cannot save people from inflation if we follow all along populist fiscal policies. Sooner or later, these populist policies, if persisted with for a long time, will lead to erosion of the investment climate, will lead to erosion of our capacity to create new jobs, it will lead to the erosion of our ability to invest in our flagship programmes for the poor people so, we have to balance these factors. The increase in the fuel prices, the direct effect on the wholesale price index will be no more than 0.4 percent. There will be some escalation but my hope is now that the rabi crop is coming into the market, prices which have caused a great degree of concern,-- wheat, sugar, oilseeds, pulses, --you will see some moderation and that the economy has the capacity to absorb this hike in oil prices without setting in motion an inflationary spiral.

Q - 5: There are about 3000 young people who want to cross over the Line of Control, but there are now some political parties who want them to be turned back. I want to know your views about that?

Answer: Well any misguided young people, if they want to come back to the path of rectitude, we have to provide them an environment. At the same time, one has to recognize that the creation of these facilities also can be misused by terrorists, ideologically motivated people. So our task is to find practical ways and means to encourage those misguided young people who have a change of heart to come back, to enable them to lead a life of dignity and self respect. At the same time, also to ensure that these facilities are not misused by hardcore terrorist elements who want to destabilize our country.

Q - 6: One of the major problems which Indian community is facing in Saudi Arabia is labour issues. Any positive development in this regard?

Answer: Well at various levels, we have hinted at those issues, let me say that at all levels in the Kingdom, right from his Majesty to the various Ministers that I talked to, they showed great appreciation of the working of the Indian community. They described it as a honest community, a hard working community. So the Kingdom is very happy with the large presence of 1.8 million Indian citizens. There are of course problems, which our Embassy is there to address, and I am hoping that as a result of my visit, we have created an environment whereby when some representations have to be made to the Saudi authorities, they may take a more liberal view of the problems of the Indian workers. I have been successful in creating a climate of opinion to that direction.

Q - 7: Given the primacy of place Saudi Arabia has with Pakistan, and given the fact that we are now in a strategic relationship with Saudi Arabia, do you think Saudi Arabia can be a credible interlocutor for some of the issues that we have with Pakistan?

Answer: Well I know Saudi Arabia has close relations with Pakistan. I did discuss the Indo-Pak relations with His Majesty on a one-to-one basis. I explained to him the role that terrorism, aided, abetted and inspired by Pakistan is playing in our country. And I did not ask for him to do anything other than to use his good offices to persuade Pakistan to desist from this path

Q - 8. Humne dekha ki is baar jab budget pesh hua to bahut rarely aisa hota hai ki opposition budget ke dauran chhor ke chala gaya ho. Walk out kiya, iske bare mein kya reaction hai?

Answer. Mere khyal mein to yeh galt hua hai. Hamein aisi paramparein kayam karni hai, jehan se sansad ki garima aam janta ki aankhon mein aur badhkar aage aaye. Agar aapka maksad ye hai, bharat ki janta sansad mein jo kamkaj hota hai use seriously le, to jo kuch BJP aur doosre opposition groups ne kiya, wo uske bilkul ulta hi hai.