India and the United States have broken an impasse standing in the way of civil nuclear trade, Indian media reports.
The breakthrough comes as Obama and Indian Prime Minister Narendra Modi met in New Delhi.
The reports said that the pair had ironed out differences on the liability of suppliers to India in the event of a nuclear accident and the United States had dropped its demand to be able to track the whereabouts of nuclear material supplied to India.
US President Obama was given an elaborate welcome at the country's presidential palace in New Delhi.
He walked in his socks to place a commemorative wreath honouring the father of India's independence movement, Mahatma Gandhi.
Tomorrow, Mr Obama was to be the guest of honour at India's Republic Day festivities, making him the first US president to attend the anniversary of the enactment of country's democratic constitution.
Barack Obama has arrived in India with his wife Michelle for a symbolic three-day visit of the country.
In a break from protocol, the US President and the First Lady were met on the tarmac by Prime Minister Narendra Modi.
The two leaders hugged warmly before the group posed for photographs.
Just a year ago, relations between the two countries were at an all-time low when a diplomatic row broke out over allegations an Indian diplomat in the US exploited her housekeeper - leading to the abrupt resignation of the US ambassador from India.
Obama will be the first US president to attend India's Republic Day parade and will host a radio show with Mr Modi.
"I'd like to think the stars are aligned to finally realise the vision (of) India and America as true global partners," Obama said in an interview with India Today, a weekly magazine, published on Friday.
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Militants in India's Assam region have killed at least 75 people this week, the deadliest attacks in the remote area in recent years.
According to Reuters, suspected militants of a faction of the National Democratic Front of Bodoland attacked four villages on Tuesday in the space of an hour, pulling people out of their homes and shooting them dead.
More than half of the victims were women and children of tea plantation workers from outside the state, Assam Chief Minister Tarun Gogoi said as more bodies were discovered in the remote area.
The attacks appeared to have been in retaliation for an offensive that security forces launched against the Bodo faction a month ago that inflicted heavy losses. The militant group lost 40 men and a huge quantity of arms and ammunition, state police said.
The rebels turned on plantation workers, believing that some were informing the police about their movements.
For decades, the Bodos have been fighting for a state of their own called Bodoland, accusing New Delhi of plundering their state's resources and flooding the area with outsiders. The group follows a distinctive culture and speaks a Tibeto-Burman language.
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Tablets linked to the deaths of more than a dozen women at a "sterilisation camp" in India are likely to have contained a chemical compound commonly used in rat poison, a senior official said.
Siddhartha Pardeshi, chief administrator for the Bilaspur district, told Reuters preliminary tests of the antibiotic ciprocin tablets were found to contain zinc phosphide.
Samples have now been sent to laboratories in Delhi and Kolkata to verify that they were contaminated.
"But, this is what we anticipate. Symptoms shown by the patients also conform with zinc phosphide (poisoning)," Mr Pardeshi said.
At least 15 women have now died but more possible victims arrived at hospitals on Thursday and Friday after complaining of vomiting, dizziness and swelling, hospitals officials said.
The state government has seized 200,000 tablets of Ciprocin 500 and over 4 million other tablets.
Police have arrested doctor Ramesh Mahawar, whose firm manufactured the drugs, and his son. The pair claim they are innocent and are victims of a set up.