The India-South Korea bilateral relationship is a remarkable example of how trade is the primary driver in global relationships. Ideology, which marked international relations in the previous decades, has given way to trade - which now is the international marker for relations. An important watershed in the relationship will be the beginning of construction for the POSCO integrated steel plant, which is slated to begin in April 2007 and would constitute the single largest foreign investment in India at US$ 12 b.

Terrorism has been wracking Jammu & Kashmir over the last two decades and the state has seen various shades of terrorist activities - from the violent aggressive phase involving fidayeen attacks on the camps of the security forces (SF) to the car bomb attacks that were witnessed last year to the present phase of grenade attacks, which can be considered a low cost but high impact option for the terrorists. Terrorist activities are presently more pronounced in the Kashmir Valley, whereas the number of terrorist initiated incidents have reduced in the Jammu region.

In his latest address to the Indian Council of World Affairs on India's regional policy, Foreign Secretary Shyam Saran reflected that the government had a long-term vision of an integrated South Asia, in which geographical boundaries would become irrelevant. With this in mind, New Delhi has put in place a number of measures to help connect with other countries in the region. Significantly, the Foreign Secretary's speech highlighted India's changing policies towards China.

On July 27, 2006, the US House of Representatives overwhelmingly passed the bill HR 5682 for United States and India Nuclear Co-operation Promotion Act of 2006. This bill was submitted to the House by its International Relations Committee, after modifying the bill HR 4974 which was referred to the House by the US Administration. The House in an "up-or-down vote" passed this bill by a wide margin, with 359 members voting for and 58 opposing it. A number of amendments seen as killers were defeated on the floor of the House.

The July 11 bombing in Mumbai, which left 200 dead and 700 injured, is the deadliest terrorist attack in India this year. It was a systematic and well planned attack engineered between 6.24 pm and 6.35 pm on the Western Railway line during peak-hour when office-goers were returning home.

After months of excruciating negotiations, testimonies and debates, the two crucial committees of the US Congress voted overwhelmingly in favour of the Indo-US nuclear agreement, setting the stage for a formal Congressional vote. The International Relations Committee of the House of Representatives approved a legislation favouring the agreement with a near three-fourths majority (37 to 5) on June 27. This was followed by a bigger mandate (16 to 2) in the Senate Foreign Relations Committee on June 29, thus ensuring a definite "yes" vote at the joint session of the Congress.

Nathu La, identified as the third mountain pass for border trade between India and China, is officially slated to open on July 6, 2006 after a gap of 44 years. Previous attempts to open the border pass had to be postponed due to lack of proper infrastructure. This time around, the infrastructure from the Indian side is complete. A field visit to Nathu La on June 25, 2006 revealed that the approach road has been constructed. And the warehouses, customs and administrative offices, banks etc. at Sherathang, the designated trade mart situated 5 km from Nathu La, have been completed.

After his landmark speech on energy independence on the eve of India's 59th Independence Day, President Abdul Kalam emphasised upon the importance of alternative fuel development to surmount the growing challenges to energy security in his opening address at the Bio-Diesel Conference on June 9, 2006. His emphasis on energy independence places immense importance on India's energy security, as the country is increasingly dependent on imported fuels.

As the Indo-US nuclear deal prepares to enter the US Congress for the final debate after a seemingly successful round of technical talks in New Delhi this month, critics of the deal in Washington have consolidated their efforts to place last-minute hindrances against its safe passage. The latest in the list of naysayers is a group of Nobel laureates, who assembled under the banner of the Federation of American Scientists (FAS) in Washington on June 14 to release an open letter cautioning members of the Congress about the consequences of the nuclear deal to US non-proliferation efforts.

On May 18, 2006 the United States presented a draft Fissile Material Cut-Off Treaty (FMCT) proposal as well as a draft mandate to establish an Ad Hoc Committee at the Conference on Disarmament (CD) plenary. A week-long thematic debate closed at the 65-member CD Plenary on May 22, 2006, during which member states made statements projecting their respective positions on an FMCT in general.