The debate over the Labor-government proposed lifting of uranium export ban to India has taken a new turn with the inclusion of visiting U.S. President Barack Obama's name in the arguments for or against the proposal.

Although Obama has said he would monitor with interest how Australia would deal with the hot issue, he denied that he pressured Australian Prime Minister Julia Gillard to change the government policy on the ban.

"I suspect that you've got some pretty smart government officials who figured out that India's a big player and that the Australia-India relationship is one that should be cultivated.... I don't think Julia or anybody else needs my advice in figuring that out," The Economic Times quoted Mr Obama.

"This is not something about the United States and Australia, this is something between India and Australia," the president said.

Ms Gillard will consult party members about the uranium ban lifting in the Australian Labor Party (ALP) conference in December in a bid to overturn the current policy that limits selling of uranium to nations that inked the nuclear non-proliferation treaty.

The issue has also divided Australian premiers.

Queensland Premier Anna Bligh is against the lifting and revising the state's policy on banning uranium mining, while South and Western Australia's premiers support Ms Gillard on lifting the prohibition.

"I am prepared to accept the prime minister's views on these matters. South Australia is a substantial uranium exporter and is likely to become an even bigger exporter. The state is also keen to build on the strong relationship it has with India," The Sydney Morning Herald quoted South Australian Premier Jay Weatherill.

"They are a friend of ours, they are a Commonwealth nation and Australia has sufficient controls in place to make sure that any nuclear power, whether it's sold to India or China or to the U.S. or wherever, is used for peaceful purposes," West Australian Premier Colin Barnett said.

Resources Minister Martin Ferguson is optimistic that the ALP conference would support Ms Gillard's move to allow uranium sale to India.

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