He explained that the 'generic formulation' has 'no provision for unilateral action in regard of inspection'.

Manmohan Singh added that that India will have the 'sovereign right' to jointly hold consultations for any inspection.

'Any verification has to follow a request which will have to be at a mutually acceptable date and mutually acceptable venue. There is no provision for on-site inspection at any military installations,' he asserted.

The prime minister said India's defence forces needed access to all technologies and therefore, there was need to diversify India's sources of defence hardware.

The US had insisted on the end-use monitoring pact as this is a compulsory requirement according to its laws when selling defence items to a foreign country.