Political Science Report: Foreign Policy on Uranium Export to India

This report analyzes Australia's foreign policy regarding the export of uranium to India. It examines the rationale behind the policy, including strengthening the relationship between the two countries and addressing China's influence in South Asia. The report highlights the key players involved, such as Australia, India, and China, and their respective reactions to the policy. It also discusses the advantages of the policy, including potential economic benefits through increased GDP and reduced unemployment. Furthermore, the report delves into the budgetary implications on the Australian economy, providing a cost-benefit analysis and estimating the financial impact. Domestic implications, including political support and opposition, are also considered. Finally, the report references relevant literature and provides recommendations for future policy considerations, emphasizing the need for international cooperation and consideration of nuclear safety concerns.

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Chosen policy by Australian Department of Foreign Affairs and Trade
This section will focus on one of the foreign policies taken up by the Australian
Department of foreign Affairs and Trade. The policy that has been chosen here is the export of
Uranium from Australia to India. This is one of the most important and interesting aspects in the
foreign policies in the trades for Australia. Another important thing in this context is the fact that
these foreign policies will have to be made at the best interest of Australia only. Previously, the
export of uranium from Australia to India had been banned. The impact of this ban on uranium
export has been greatly felt form the perspectives of both the countries. This policy of exporting
uranium to India should be made regular after the imposed ban is lifted after three years.
Rationale behind this policy
It is highly expected that this policy could make the relationship between India and
Australia stronger. The import and export relationships between these two countries can also be
strengthened. Australia is the country that is committed to the nuclear non-proliferation regime.
India had been banned from the Nuclear Suppliers’ Group (NSG) IN 2008. They could not
import uranium from other countries. The Non-Proliferation Treaty (NPT) had been signed
between the non-signatories. It has to be kept in mind that countries like USA, UK and Canada
have signed the treaties with India to export the uranium. These treaties have been signed for
securing the civilians only. NPT is very much required for Australia as well. The superpower in
South Asia is China who is trying to be the monopoly in the nuclear warfare in South Asia. In
this way it would really be difficult for China to sustain its monopoly in South Asia. This could
bring the notice of all the international powers like USA, Russia and others. This could be a huge
part of their ‘strategic partnership’ and get a better place in front of the entire world. Australia

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holds almost 40% of the total uranium in the world. This is why Australia has a huge place in the
exporting if uranium all over the world.
Key players and their reactions
The uranium export to India has been one of the biggest things in the last few years. The
key players are the countries who are involved as the nuclear weapon suppliers. The rule of NSG
is the fact that nuclear energy and uranium can only be supplied to the countries that are a part of
the NPT. China is one of the key players because they like to be sole superpowers in South Asia.
It is the responsibility of Australia to make sure that all the guidelines of Nuclear Suppliers
Group are well maintained. China has been continuously showing its support for Pakistan that is
the biggest enemies of India. This means China is dead against this policy taken up by Australia.
Change in policy and rationale
It can be recommended Australia should rethink about their decision to lift their ban over
the uranium supply to India. It is because many complications can arise when the deal would be
finalized and implemented. The most powerful countries are burning over this problem of the
nuclear enabled countries. Australia should bring up this topic in front of both United Nations
and Nuclear Suppliers’ Group. The foreign trade minister must see to these new
recommendations for the change. This will be beneficial for the entire world as well.
Like minded states
All the member countries of the United Nations Security Council are in favor of this
opinion. The only two countries that are against this deal are China and Canada. The other
countries want this deal to be done and this bilateral agreement should be finalized for bringing

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the stability to the Asia. The approval from the five recognized NWS states are also needed like
France, China, UK, USA and Russia.
Advantages of this policy
It has also been considered that unemployment in Australia has been increasing because
of these various reasons. The interest of the common people is not kept because the government
has not been able to give jobs to them. . This policy will probably help the government to
improve the GDP rate of the country properly. If this policy is implemented the GDP of the
country can rise up from 2% to 4% or more. This will also reduce the rate of unemployment in
the country and new programs can begin for the export of uranium.
Budgetary Implications on the Australian economy
The given budget has been prepared in order to estimate the total cost of the uranium
export to India and how will the given export be a resource to Australia and how will this add up
to the economy of Australia and benefit it. The cost per kg of Uranium is expected to be around
200 US$ and a rough estimation has been made that 20000 kgs will be exported to India during
the first year. Hence, the costs have been calculated in that manner and the revenue which will be
received from this export has been stated. There is a considerable difference between the cost
and the revenue generated. It has been estimated that $1145000 will be added to the economy of
Australia as a benefit of the given export. The given budget has been made keeping in mind the
format of earlier budgets. The given operation of lifting the ban on the export of Uranium to
India will provide an opportunity to the Australian employees who previously lost their jobs due
to the ban. Overall, the given export will not only contribute to the economy welfare in monitory
terms but also in non-monitory measures like numerous people could be benefitted if they got the

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jobs in the country. The given outcome shall contribute to the GDP which can increase by 1.5 %
due to the export. Secondly, through taxes and extra income the income side of the budget shall
increase by 5%. (Refer to Appendix)
Domestic implications
There can be some important domestic implications in this case as well. The political
support in favor of exporting the uranium to India has been increasing. However, there have been
some opposition views as well from the left. The anti-nuclear lobby of the Australia is also
against this as well. The international support should also be sought to bring the stability in
Asian region. It has been a great matter of concern that in the year 2015, the investigation had
disclosed the fact that nuclear safety was in under great uncertainty due to many factors. There
could be serious implications for this as well. The major parties in the country were under great
disagreement over this matter. The uncertainties from the legal grounds were very high as well.
A major thing had been recorded that the treaties committee controlled by the government took
the step of voting against the political decisions of the Prime Minister and the Foreign Affairs
Minister to stop this exporting to India.

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References
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Economics of South, Southeastern, and Central Asia, 21(1/2), p.131.
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