India has legitimate interest in Afghanistan: Petraeus

[sivadreams]

India has legitimate interest in Afghanistan: Petraeus

WASHINGTON: Strongly refuting the Pakistani claim that India has no role in Afghanistan, new US Commander General David Petraeus has said that New Delhi has a legitimate interest in the region.

"India has legitimate interests in this region," Gen Petraeus, said in response to a question at his confirmation hearing for the US and NATO in Afghanistan before the Senate Armed Services Committee.

The Senate Armed Services Committee later in the day confirmed him by a voice vote. His nomination now goes to the full Senate for confirmation.

Currently Commander of the US Central Command, Petraeus was nominated as the new US Commander for Afghanistan after Gen Stanley McChrystal was sacked from the post following the appearance of his interview in the Rolling Stone magazine in which he was highly critical of the Obama Administration.

Petraeus's remarks on India came in response to a question from Senator Kay Hagan who said that it's has been reported that Pakistan wants to be a channel to the Pashtuns in Afghanistan and wants to utilize reconciliation as the mechanism to influence Afghanistan and overt Indian regional encirclement.

"How will you work with the Afghan government and military to manage Pakistan's strategic interests?" he asked.

"We can certainly facilitate that dialogue, participate in the dialogue, be perhaps an honest broker in that dialogue. We are friends to both. We are enormously enabling both, you know, Pakistan is in a tough fight," he said.

"One if its fights, by the way, is to keep our lines of communication open. You enable us to provide substantial amounts of coalition support funding to them, well over USD 1 billion for the course of the past fiscal and calendar year, and then another somewhere well up into hundreds of millions in foreign military financing and other mechanisms, plus the USD 1.5 billion of Kerry-Lugar-Berman for each of the next five years," Petraeus said.

"That's very important, and that's a symbol, again, of our sustained, substantial commitment. It shows that we do not want to do to them what we did after Charlie Wilson's war, which was having achieved the outcome that we wanted, washed our hands of it, and left. And I think it's very important," he observed.

"They've seen that movie before, as well. I think it's very important that they realize that we are in this with them, with both of them, and, by the way, with India, as well. India has legitimate interests in this region, without question, as do others, if you want to extend it further," Petraeus said.

"So I think we can facilitate that. This would be again, a civil-military effort very much. But we'll use those relationships that we have developed to that end," he said.

 

[Awesome]

If you consider screwing over Pakistanis as legitimate.

You have to go through us, its our way or the highway. Take it or leave it. We will not work with the Indians - end of story.

 

[prototype]

^^ and did we asked for ur approval?

 

[SpArK]

Should India Inc risk an Afghan adventure?​

Should India Inc risk an Afghan adventure?-Corporate Trends-News By Company-News-The Economic Times

It was desperation that led GS Johar to the war-torn nation of Afghanistan in 2003. His construction company, C&C Constructions, was looking for infrastructure projects to execute. Not much work was coming its way in India and it needed something to gain traction. Even a tinderbox would do, so long as there was an assurance that the com-pany’s workers would be insulated from the flames and compensated for the greater risk they took on. Despite “seeing more guns than I have ever seen in my life”, Mr Johar found Afghanistan to be such a place and decided to venture in.

In the seven years since, C&C has built 600 km of roads through seven projects, worth Rs 959 crore. It currently has two projects: a $135-million contract from the Indian government to build the Afghan Parliament and the Indian chancery; and an $88-million contract to build a road from Gardez to Khost.

At the peak of its activities, C&C had 1,300 employees in Afghanistan, with two of its directors spending at least three weeks in a month there. “We learnt to manage the environment,” says Mr Johar, chairman of C&C, which has seen its revenues grow from Rs 85 crore in 2002-03 to Rs 755 crore in 2008-09 — a compounded annual growth rate of 44%.

C&C typifies the risks and rewards — both unusually high — of doing business in a hotspot, especially one where Indians attract affinity from some (Afghan locals) and hostility from others (Pakistan). In the coming months and years, India Inc in general and five companies in particular will have to make a similar assessment about doing business in strife-torn Afghanistan: is it worth it? An intriguing announcement and a ministerial visit, both made earlier this month, has brought this question closer to them. And the answer for them is anything but straight-forward.

On June 12, the Pentagon announced a US “discovery” that Afghanistan was sitting on a trillion dollars worth of mineral reserves. The media lapped it up. But, as the days passed, it emerged this was old news. The riches in Afghanistan’s unique topography have been known for decades. The Soviet Union said so in the seventies. The US said so in 2007, with the US Geological Survey even releasing a public document of the estimated reserves (See graphic: The Bounty Out There).

Even the trillion-dollar figure wasn’t new. Afghan president Hamid Karzai has been bandying the number for a while, even mentioning during his last visit to America in May that the mineral deposits were worth $1-3 trillion. Conspiracy theories flew. These basically argued that regurgitating this piece of old news was a US ploy to get the world to come to Afghanistan so that it could get out.

Even as the motives of the US for dusting up an old report were being discussed, on June 15, the new Afghan minister for mines, Waheedullah Shahrani, came calling. Mr Shahrani was a replacement for Mohammad Ibrahim Adel, who had been sacked by Mr Karzai in January, following corruption charges in the award of mining concessions to Chinese companies. Along with his sacking, the process of awarding mining concessions was suspended.


With the new ministerial appointment, this process is expected to resume. This should be of interest to at least five Indian metal majors: Essar Minerals, Ispat Industries, JSW Steel, Rashtriya Ispat Nigam and Sesa Goa. Back in June 2009, these five companies, along with a couple of bidders from China and Pakistan, had been shortlisted for an iron ore mine with an estimated capacity of 1.8 billion tonnes in the Hindu Kush mountain range.

In Delhi, the new minister Mr Shahrani met BK Handique, the Indian minister of state for mines, and welcomed Indian mining and steel companies to Afghanistan. He also sought the assistance of the Geological Survey of India to independently identify and estimate Afghanistan’s mineral reserves.

Indian companies are excited at the prospect of finding a pile of ore and minerals in those rugged, uncharted terrains. All Indian metal majors, some of them significant global players, are deficient in raw material. It would be difficult for them to stay nonchalant and let go of a large raw material pool this close to home without giving it a realistic shot.

For now, it’s the rare company that is coming out and saying it like that. Hindustan Copper, the Rs 1,355-crore public sector undertaking, is one such firm. “We are keen on the opportunity,” says chairman and managing director Shakeel Ahmed. “We would like to bid for mines, particularly copper.” Kameswara Rao, head of mining practice, PricewaterhouseCoopers, says mining activity will be more in high-value minerals such as lithium, where there can be some degree of local value-addition, rather than base metals. “With other metals, building such facilities is costly and risky,” he says.

Most companies, though, are non-committal. “Although news about vast copper reserves is exciting, we have to do our own studies before taking any call,” says Tarun Jain, finance director of the $7.9-billion Vedanta Resources, whose group company, Sesa Goa, is one of the five shortlisted bidders for the big iron-ore project in Afghanistan.

Tata Steel, which is looking for iron ore to feed Corus, its steel operations in Europe, says it will wait for an invitation from the Afghan government before taking a call. A senior executive told ET that building mineral strengths overseas holds the key to Tata Steel consolidating its global leadership position.

After acquiring Corus in 2007, Tata Steel became the world’s eighth-largest steel manufacturer by capacity. Tata Steel doesn’t have a presence in the gas-rich Central Asia region. In 2005, it had planned to invest $1.1 billion to build three steel plants in Iran. However, it shelved this plan under pressure from the US, which had blacklisted Iran.


( contd.)

 

[Areesh]

Nothing strange if they are losing their war in Afghanistan. They don't learn from their mistakes.


I think defeat is bound for them in Afghanistan.

 

[sivadreams]

If you consider screwing over Pakistanis as legitimate.

You have to go through us, its our way or the highway. Take it or leave it. We will not work with the Indians - end of story.

Was their any approval required... ? Afghan's knew who is spoiling their economy. we are there to build infrastructure and goodwill. All this in return for business. Expecting future business and market is a modern thinking which you guys would not understand. As you guys build do not believe in economy.

 

[SpArK]

By comparison, ArcelorMittal, the leader in the global steel industry, has a strong presence in the region, through a steel plant in neighbouring Kazakhstan; it is also searching for fresh supplies of iron ore in Kazakhstan and neighbouring areas to revive plans for another steel plant. ArcelorMittal declined to comment for this story.

Even as it is imperative for Indian companies to tap the potential re-serves in Afghanistan, it’s not an easy decision to make. “The presence of resources by itself doesn’t aid our decision,” says Mr Jain. “There are other factors such as logistics, infrastructure support from the government and security.” The finance director of one of the five shortlisted companies cites the example of Congo, where an unfriendly political environment has failed to enthuse foreign investors to tap its vast mineral resources.

C&C, at one point, had 1,300 workers and $100 million worth of equipment in Afghanistan. Although it hasn’t lost any employee to the unrest, its equipment has been burnt on occasions. After a spate of attacks targeting Indians in February, security has become a greater concern. But not all provinces are equally dangerous. For instance, the iron-ore mine the five Indian companies have bid for is located in Bamiyan, where the presence of the Taliban and other insurgents is thin.

C&C’s Johar says there are ways and ways of ensuring safety. In its case, it got security from the US for projects funded by that country; for other projects, C&C appointed ‘private security’ — local warlords. “Wherever there is a lack of security, local warlords protect us. We haven’t been unhappy with them.” Mr Johar says businesses have to think local

India has been thinking local in its various forms of engagement with Afghanistan, as part of its $1.3-billion reconstruction package for the troubled nation. While most of the Western money — a multiple of what India has put in — is being directed into security and counter-insurgency operations, projects funded by India are aimed at touching the lives of Afghans: infrastructure building, imparting skills to the youth, developing governance capacity, and assisting in health, education and agriculture.

But earning goodwill creates its own problems. “Previously, Afghanistan used to depend on Pakistan for all it needs,” says Mr Johar. With India setting up medical missions across the country and investing in empowering Afghans, their dependence on Pakistan has reduced. “So, Pakistan will be angry at losing business to India,” he adds.



Pakistan, due to its location, also presents Indian companies with a major logistical issue. In order to move minerals to India or elsewhere, the easy options for Indian companies would have been to haul it by road or take the sea route. Trouble is the short road routes pass through Pakistan and the nearest port is Karachi, all of which is out of bounds for Indian companies. Says Jatinder Mehra, Group Director, Essar Group: “The (iron ore) reserves are located in a difficult terrain, north of Kabul. But more than mining, we also need to be clear about the how the minerals will be moved.”



“Afghanistan is currently holding talks with Pakistan to allow transit trade to India and the rest of the world,” says a senior commerce ministry official. Afghanistan is also close to completing a $10-million 75-km train route to connect Mazar-e-Sharif in northern Afghanistan with other central Asian nations. Till then, the ore will need to transit either through Iran or Iraq.

Indian companies, on their part, can cash in on the investments made by the government. As part of its $1.3-billion commitment, India has built the Chabahar port in southeast Iran and a 215-km highway from Zeranj to Delaram, which connects Afghanistan’s hinterland to the port.

China is doing more. In 2007, Chinese state-owned mining companies won the rights to the vast Aynak copper mine, south of Kabul, for $4 billion — the biggest non-military foreign investment ever in Afghani-stan. These companies, which compete with Indian companies globally for mineral reserves, are committed to building a railway line in the region. They have also participated in building a road network linking Herat in Afghanistan with Iran.

Investments in Afghanistan have a larger strategic imperative — the country could become India’s gateway to Central Asia’s energy resources and open up new trade routes.

“There is a lot of goodwill for India in Afghanistan right now,” says the commerce ministry official. “It can always be cashed in through diplomatic channels if India Inc shows substantive interest.” India has a preferential trade pact with Afghanistan since 2002. If enough Indian firms show interest in tapping Afghan mineral reserves, the Centre could even look at a bilateral investment pact.

Afghanistan’s mineral riches will take time to materialise on a large scale and will be important in the context of the race with China to corner key resources. A developed Afghanistan that favours India would also undermine
Pakistan’s ambitions to thwart India’s rise as a regional superpower.

The battle in Afghanistan is far from over. But as foreign secretary Nirupama Rao recently said at a meet on Afghanistan: “The two choices confronting the international community are: invest and endure, or improve in order to exit. India has made up its mind: invest and endure.”

 

[Areesh]

Was their any approval required... ? Afghan's knew who is spoiling their economy. we are there to build infrastructure and goodwill. All this in return for business. Expecting future business and market is a modern thinking which you guys would not understand. As you guys build do not believe in economy.

You require an approval dear. That is the bitter truth.

 

[SpArK]

 

[DaRk WaVe]

We don't need Indians in our backyard, despite all their so called altruistic motives it is going to ultimately hurt Pakistan's interests in the region, India was,is & never will be a party in Afghanistan

I feel Indians are taking a big risk by investing in A-stan

 

[SpArK]

Afghan gold rush: Tenders on way, India asks envoy to send report​

Posted: Wed Jun 30 2010, 03:28 hrs
New Delhi:

India's Ambassador to Kabul Jayant Prasad has been asked to prepare an assessment report on the mining opportunities in Afghanistan, following a US study that the war-torn country could have reserves worth US $1 trillion. With China already in the race for the mineral stakes, New Delhi doesn’t want to be left behind.

Foreign Secretary Nirupama Rao is learnt to have instructed Prasad to prepare a detailed SWOT (Strength-Weakness-Opportunities-Threat) analysis last week, before she left for Islamabad for the SAARC meet.

The Geological Survey of India is also hosting Afghan geologists and officials in Jaipur next month, where the subject is expected to come up.

Afghanistan reportedly wants Indian companies to tap five key minerals: coal, iron ore, copper, cobalt and gold.

Tenders are likely to be issued later this year or early next year, and have the potential to completely transform Afghanistan’s $11 billion economy.


Afghan gold rush: Tenders on way, India asks envoy to send report

 

[TaimiKhan]

^^ and did we asked for ur approval?

Ask you PM, he may have an answer for you.

 

[Capt.Popeye]

We don't need Indians in our backyard, despite all their so called altruistic motives it is going to ultimately hurt Pakistan's interests in the region, India was,is & never will be a party in Afghanistan

I feel Indians are taking a big risk by investing in A-stan

Let the Afghans decide for themselves, they are not retards or stupid. We don't have to think for them-don't you think?

 

[sivadreams]

You require an approval dear. That is the bitter truth.

Definitely not from Pakistan. you are not the landlords of Afghanistan. The sooner its realized its better for it. Only then Pak can come out of the shambles they are into.

I am not talking about defeat or victory at the current stage. I know US will exist eventually. Its the economy which will drive Afghanistan forward and not ur guns and hatred u supply to them.

 

[DaRk WaVe]

Let the Afghans decide for themselves, they are not retards or stupid. We don't have to think for them-don't you think?

sorry but the ground reality is that Afghans cannot decide anything for themselves right now, not even the Government which rules the Presidential Palace can decide anything, it will be decided by the outsiders