ISLAMABAD, May 25: Prime Minister Shaukat Aziz said on Thursday that Pakistan and Iran had agreed to open border markets to promote bilateral and regional trade.

Addressing a joint news conference with Iran’s First Vice-President Parviz Davoudi following a one-to-one meeting and delegation-level talks, he said the two countries were working to find an equitable formula to determine a reasonable price of the Iranian gas to be piped to Pakistan.

Mr Aziz said they wanted India to join the gas pipeline project but would go ahead even if New Delhi stayed out. Mr Davoudi said that construction of the Iran-Pakistan-India pipeline would help expand regional cooperation.

He said Iran was keen on materialisation of the project and found the same level of determination in Pakistan. He hoped that the deliberations of the joint economic commission would help enhance cooperation in different fields.

Mr Davoudi said Iran was pursuing peaceful nuclear activities and nuclear weapons had no place in its military strategy, but made it clear that the right to use nuclear technology was non-negotiable. Iran, he said, was ready to give greater assurance to the international community and wanted negotiations to resolve the issue.

Mr Aziz said the two countries were looking at several corridors to take their cooperation to new heights, adding that they had already finalised preferential trade arrangement. “We are also working on fast track mechanism to increase the volume of bilateral trade,” he said, adding that the two countries were focusing on transportation corridor and energy corridor.

He said Iranian contractors had been invited to participate in infrastructure projects in Pakistan and added that Pakistan wanted to open a National Bank branch in Tehran, conclude an early harvest agreement and finalise the free trade agreement.

He said the situation in Afghanistan also came under discussion during talks.

Meanwhile, the prime minister and the Iranian first vice-president witnessed the signing of two bilateral protocols.

Adviser to Prime Minister on Finance Dr Salman Shah and Foreign Minister Manouchehr Mottaki signed the memorandum of understanding of the 16th session of Pakistan-Iran joint economic commission.

CBR chairman Abdullah Yousaf and his Iranian counterpart signed the other MoU to facilitate implementation of an inter-governmental agreement on customs cooperation.

APP adds: Mr Aziz said Pakistan was against nuclear proliferation, but it recognised Iran’s right to use nuclear technology for peaceful purpose under the IAEA guidelines.

Appreciating Pakistan’s stance, Mr Davoudi said it was important to avoid any new crisis in the region.

There was an understanding to double the quantum of trade from the current volume of $400 million.

The prime minister also highlighted the need for activating the Economic Cooperation Organisation, which could provide a platform for forging closer links among Iran, Turkey, Pakistan, Afghanistan and Central Asian states.

Mr Davoudi said economic relations between the two countries needed to be increased by removing obstacles. He said Iran desired peace in Afghanistan.

BANQUET: Later, addressing the banquet hosted in honour of the Iranian leader, Mr Aziz said Pakistan had been pursuing a just and durable solution of the Kashmir dispute.