By Kang Hyun-kyung
Staff reporter


The top diplomats of Korea and India agreed Friday to start working-level talks that will ultimately pave the way for signing a nuclear energy treaty.

Foreign Affairs and Trade Minister Yu Myung-hwan and his counterpart Somanahalli M. Krishna made the agreement at the sixth Korea-India Joint Commission meeting in Seoul, the first since the two countries’ leaders agreed in January to collaborate under the motto of a strategic partnership.

An official from the foreign ministry told The Korea Times that if signed, the treaty will offer business opportunities to Korea, which is looking to export its world-class nuclear power technology to other nations.

Seoul’s pursuit of exporting nuclear technology gained momentum last year when a consortium won a $20 billion contract to build four nuclear power plants in the United Arab Emirates. The deal was the biggest single contract that the country has ever won.

India reportedly operates many nuclear power plants and several projects are now under construction.

However, they are said to be both small and ineffective, providing Korean firms with ample opportunities.

India is one of the fastest growing economies in the world. In 2005, Goldman Sachs projected that the combined economies of three other nations -- Brazil, Russia, and China -- could eclipse those of the richest countries in the world by 2050.

During the meeting, Korea and India expressed satisfaction with the outcome of the Comprehensive Economic Partnership Agreement (CEPA) the two sides signed in February.

The bilateral trade volume between Korea and India has soared by 70 percent over the four months since the pact went into effect.

Yu asked Krishna to support POSCO’s plan to build a steel plant in India and allow Korean banks to open branches for Korean firms doing business there.

Seoul and New Delhi are expected to work closely in the defense industry as the Indian defense minister is scheduled to visit Seoul later this year.