Prachanda on Saturday. (AP)

April 13: Prachanda today declared that he would develop a “new relation” with India as Maoists continued to consolidate their gains from Nepal elections and looked set to head the next government.

The Maoists have won 61 of the 112 seats for which results have been announced and they were ahead in most of the remaining 128 constituencies.

The 54-year-old Prachanda said it was “quite important” to have good neighbourly relations with India, adding: “A good understanding with Delhi can create a new basis for unity with India.”

But Prachanda, a former teacher, said Nepal would maintain equal distance with India and China. Sources in India said it was not clear whether this meant India would no longer enjoy the pre-eminence it had in multi-lateral relations.

King Gyanendra, whose monarchy could end after the final election results are announced, said today that he was satisfied with the participation of Nepalese people in the polls.

“The enthusiastic participation of the Nepalese people in the Constituent Assembly elections, through which they have emphatically reiterated their firm resolve not to compromise the nation’s existence, independence and integrity under any circumstance, is a source of satisfaction for us,” he said in a brief message.

The unexpected Maoist victory has prompted the Indian foreign affairs establishment to weigh the possibilities of maintaining continuity in bilateral ties.

Caught by surprise, the foreign ministry is looking for “positive features”, with sources saying that the Maoist surge was “after all”, the end result of a democratic process — which India keenly watched and at times nudged the Maoists to avoid delays.

Concerns over security issues and the loud anti-India postures by Maoist are still at play, but analysts said a mature approach from both the sides would keep the relationship on track.

“We were expecting trouble, especially on the Indo-Nepal border, in the run-up to the polls. A lot of planning and discussions had gone into addressing that. But it was a free and fair process, barring some minor incidents, and it proves that it was the triumph of democracy in Nepal,” a source said.

The Maoists had called for scrapping all big agreements, including the 1950 treaty of peace and friendship with India, and review of water and irrigation pacts.

Deb Mukherjee, a former Indian ambassador to Nepal, said Kathmandu had already made the “same demand” some eight years ago. “There is a termination clause in the 1950 treaty. If they are uncomfortable with it, they can do away with it.”

“The Maoists may be more vocal about the treaty. But do not forget that there is a strong sentiment among the people of Nepal for the same,” said K.V. Rajan, who also served as India’s envoy to Nepal.