Prime Minister of India - Dr. Manmohan Singh

Indo-Japan Joint Statement

1. The Prime Ministers of India and Japan met in Tokyo on 22 October, 2008 for the India-Japan Annual Summit. They shared the view that India and Japan, as major countries in Asia that share common values and interests, must advance bilateral cooperation as well as cooperation in regional and multilateral areas with the objective of promoting peace, stability and prosperity in Asia and the world. They reaffirmed the importance of the Strategic and Global Partnership established in 2006 for this purpose and for harnessing the full potential of India-Japan relations.

2. The two Prime Ministers reviewed the implementation of the Roadmap for New Dimensions to the Strategic and Global Partnership and expressed satisfaction with the sustained progress that has been made through joint efforts between the two sides. They also recognized that there is still immense untapped potential for the further expansion of bilateral relations. The two Prime Ministers pledged to continue their efforts to broaden and deepen the relationship on the basis of the shared congruence of interests in order to develop it as an essential pillar for the future architecture of the region.

3. The two Prime Ministers welcomed the study on the future course of cooperation in the security field between the two countries and issued the Joint Declaration on Security Cooperation between India and Japan drawing on this study. They recognized that further cooperation on the basis of the Joint Declaration on Security Cooperation will be beneficial to peace and prosperity in Asia and the World. They instructed their respective Ministries to develop an Action Plan with specific measures to advance security cooperation based on this Declaration at an early date.

4. The two Prime Ministers expressed their satisfaction at the deepening of the Annual Strategic Dialogue between the Foreign Ministers as well as the other policy dialogues at respective levels. They also welcomed the steady upgradation of defence exchanges and cooperation and decided to encourage their Defence Ministries to enhance their dialogue and collaboration further based on the Joint Statement of May, 2006. They also welcomed the contribution of established bilateral dialogue mechanisms and urged them to continue their valuable work.

5. The two Prime Ministers expressed satisfaction at the growth of bilateral trade which is expected to reach $20 billion by 2010. They welcomed the substantive progress achieved on the Economic Partnership Agreement / Comprehensive Economic Partnership Agreement and expressed the hope that the negotiations would be concluded at the earliest possible time. The two Prime Ministers expressed their belief that this EPA / CEPA would be mutually beneficial and would fully harness the true potential of economic partnership.

6. The two Prime Ministers expressed happiness over the long lasting investment relationship between the two countries which has grown over a period of time, especially the large presence of Japanese multi-nationals in India. This interest has been robust in recent years with Japanese direct investments rising substantially. The pipeline of investments already planned was also noted to be impressive. In this regard, the two leaders welcomed the efforts of JETRO and other organizations to support investment by the Japanese small and medium enterprises to India. Further the Prime Ministers expressed the hope that the upward trend would be sustained in the coming years.

7. The two Prime Ministers shared the view that the Japanese Official Development Assistance (ODA) has contributed to India's economic development and has generated goodwill among the Indian people for Japan. They shared the view that the Japanese ODA should continue to play an increasing role in India's poverty reduction, economic and social infrastructure development, tackling environmental issues and human resource development. The Prime Minister of India expressed his appreciation to the Japanese people for their generous role in India's development.

8. The two Prime Ministers were satisfied that the Special Economic Partnership Initiative launched in December 2006 is beginning to give a strong stimulus to bilateral economic and commercial ties and create new opportunities for business.

9. The two Prime Ministers reaffirmed their commitment to the realization of the Western Corridor of the Dedicated Freight Corridor (DFC) project, as the flagship project of India-Japan cooperation, with Japanese ODA Loan utilizing Japan's Special Terms of Economic Partnership (STEP) Scheme and confirmed their readiness to jointly initiate the first phase (Rewari-Vadodara sector) of the project. In this regard, the Japanese side welcomed India's decision to commission the Western Corridor of DFC with electric traction system. The assistance will commence through an ODA loan for Engineering Services and the total volume of the loan for the first phase is currently estimated to be approximately 450 billion Yen, based on the provisional project design. The two Prime Ministers also expressed their commitment to work together for early finalization of the assistance for the entire Western Corridor.

10. The two Prime Ministers expressed the view that the Delhi-Mumbai Industrial Corridor Project (DMIC), which is linked to the Western Corridor of DFC Project, has the potential to transform the dynamics of the India-Japan economic engagement, and decided to pursue this further. They welcomed the Memorandum of Understanding signed between Japan Bank for International Cooperation (JBIC) and India Infrastructure Finance Company Ltd. (IIFCL)/ Delhi Mumbai Industrial Corridor Development Corporation (DMICDC) and confirmed that they would continue to work together closely for the joint establishment of a Project Development Fund. Both sides also welcomed the active participation by the Japanese companies in the 5 Early Bird Projects in the DMIC region in the areas of logistics, human resource development, power generation and enclave development. Both sides also welcomed the initiative of the DMICDC to take up select projects for early implementation in the Project States alongside the master planning exercise. They expressed their desire to further discuss overall cooperation on DMIC in order to spur mutually beneficial business relations that serve the long term interests of both countries.

11. The two Prime Ministers welcomed the progress made in bilateral consultations on high technology trade and noted the great potential in this area for collaboration. The two Prime Ministers recognized the importance of continuing bilateral consultations to facilitate two way high technology trade while addressing matters relating to respective export control systems.

12. The two leaders recalled the Joint Statement on Enhancement of Cooperation on Environmental Protection and Energy Security signed in August 2007 and stressed the need for accelerating bilateral cooperation in these vital areas. They welcomed progress achieved under the India-Japan Ministerial-level Energy Dialogue which confirmed the strengthening of cooperation in energy efficiency and conservation sector particularly through cooperation in establishing Regional Energy Efficiency Centres in India, and the development of a comprehensive cooperation in the coal and power sectors. They also noted that under this Dialogue the Energy Ministers confirmed that they will exchange views and information on their respective nuclear energy policies. They also welcomed progress achieved under the India-Japan Energy Forum held by the New Energy and Industrial Technology Development Organization (NEDO) of Japan and The Energy and Resources Institute (TERI) of India, and recognized the importance of promoting cooperation between the two countries' industries in order to expand bilateral energy cooperation on a commercial basis.

13. The two Prime Ministers expressed satisfaction on the achievement at the Second Meeting of the India-Japan Joint Working Group on Urban Development in June 2008 and reaffirmed their intention to continue to hold the Working Group meetings regularly.

14. The two Prime Ministers shared the view that they will enhance cooperation in the field of Information and Communication Technology including the research collaboration and the introduction of wide-band wireless technology.

15. The two Prime Ministers welcomed the report submitted to them following the second meeting of the high-level Business Leaders' Forum (BLF). They recognized the crucial role played by business and industry of both countries in intensifying trade, investment and economic relations. They urged their concerned officials to speedily examine and implement the BLF's recommendations.

16. The two Prime Ministers emphasize the importance of exchanges at the cultural, academic, youth and people-to-people levels. They noted with satisfaction the enhanced people-to-people exchange between the two countries under the Aso Programme, including through the Japan-East Asia Network of Exchange for Students and Youth (JENESYS) Programme, and shared their renewed commitment to maintain the upward trend.

17. The two Prime Ministers positively appraised the work of the India-Japan Working Group set up to explore possible collaboration in establishing a new Indian Institute of Technology (IIT) with Japanese assistance and welcomed the report submitted to them by the Working Group. The two Prime Ministers confirmed their commitment to collaborate in the establishment of a new IIT in Hyderabad that will become a symbol of joint efforts in promoting educational excellence in India, through various contributions from Japan. The two Prime Ministers also recognized that such collaboration will require the joint work of the relevant parties of both sides including academic experts to identify the specific areas that can be mutually beneficial.

18. The Prime Ministers acknowledged the need to make all efforts to take forward the collaboration for the development of the Indian Institute of Information Technology, Design and Manufacturing at Jabalpur in accordance with the Memorandum signed in December 2006 on this subject.

19. The two Prime Ministers shared the view that nuclear energy can play an important role as a safe, sustainable and non-polluting source of energy in meeting the rising global energy demands. The two Prime Ministers shared the view that international nuclear disarmament and non-proliferation efforts should be reinforced. The two Prime Ministers also reiterated the importance of strengthening their efforts towards the shared goal of achieving a world free of nuclear weapons.

20. The two Prime Ministers reaffirmed their support for the East Asia Summit as an open, inclusive, transparent and Leaders' led forum to promote cooperation on issues of common interest and to deepen regional economic integration towards the progressive realization of an East Asia Community. They decided to work jointly and with other countries of the region to promote this objective at the forthcoming East Asia Summit. They also welcomed the establishment of the Economic Research Institute for ASEAN and East Asia (ERIA) and referred to the report of the study on the Comprehensive Economic Partnership in East Asia (CEPEA) to be submitted in December this year.

21. The two Prime Ministers reaffirmed the importance of maintaining close cooperation between the two countries in various international fora. They shared the view that the reform and expansion of the United Nations (UN) Security Council, in both the permanent and non-permanent categories, is central to the process of a comprehensive reform of the United Nations. They welcomed the decision of the UN General Assembly to commence intergovernmental negotiations not later than February 28, 2009. They decided to continue their close cooperation to achieve expeditious forward movement towards a genuine reform of the Security Council, so as to make it more representative, credible and effective. In this context, they stressed the important role of G-4, bilateral consultations as well as their engagement with the larger UN membership.

22. The two Prime Ministers condemned terrorism in all its forms and manifestations, reaffirmed that terrorism constitutes a serious threat to international peace and security, and welcomed efforts undertaken by both countries to combat this menace. They underlined their determination to strengthen bilateral cooperation in combating terrorism through the Joint Working Group on Counter-Terrorism as well as UN mechanisms. They reaffirmed their desire for expeditious conclusion of negotiations of the Comprehensive Convention against International Terrorism at the United Nations.

23. The two Prime Ministers shared the view that the present world economy is facing uncertainty, including financial difficulties, and that it is important for the two countries to continue discussion for the stability and growth in the region and the world. They recognized the need for joint efforts by all consuming and producing countries to mitigate the impact of high and volatile oil prices, which hamper global growth and development. They also expressed concerns that global food prices remain at high level, and called for greater collaborative efforts to address the challenge of the global food security. They also discussed the current state of the negotiations of the WTO Doha Development Agenda and reaffirmed their will to continue their cooperation towards an early and successful conclusion of the negotiations with a balanced and comprehensive outcome.

24. The two Prime Ministers expressed their support for the Bali Action Plan, and reaffirmed their determination for a flexible, fair and effective agreed outcome for now, up to and beyond 2012, in which all countries participate. The Japanese side welcomed India's recent announcement of the "National Action Plan on Climate Change", and the Indian side welcomed the various initiatives taken by Japan on this issue. The two Prime Ministers shared the view that the actions of all countries should be taken based on national circumstances and various criteria in accordance with the principle of common but differentiated responsibilities and respective capabilities. They reaffirmed the desirability for the UNFCCC Parties to adopt in the negotiations a long-term global goal for reducing global emissions and pledged to cooperate closely in this regard toward the COP 15 next year. In this regard, they noted the desire of the G8 nations to share with all the parties of the UNFCCC the vision of reducing global emissions by at least 50% by 2050. They also noted that equitable burden sharing for sustainable development should guide the negotiations on a shared vision. In order to secure energy efficiency and address climate change, they reaffirmed to promote energy efficiency and conservation by implementing individual, and where possible, sector specific goals and action plans. Recognizing that actions in various sectors could be a useful tool for global emission reduction through measures such as improving energy efficiency, they decided to move forward on the practical development of cooperative sectoral approaches and sector-specific actions, also in cooperation with other countries, as confirmed in the 3rd meeting of the India-Japan Ministerial-level Energy Dialogue. They highlighted the importance of promoting synergy between development and environmental protection, and recognized the need to devote scaled up resources to adaptation measures in developing countries. They shared the view that India and Japan must work closely together on Climate Change issues in relevant international fora.

25. The Prime Minister of India conveyed his sincere appreciation for the hospitality extended to him and his delegation by the Government of Japan. He invited the Prime Minister of Japan to visit New Delhi in 2009 for their next Annual Bilateral Summit, at mutually convenient dates to be decided through diplomatic channels.

Dr. Manmohan Singh

Prime Minister of the Republic of India

Mr. Taro Aso

Prime Minister of Japan