ISLAMABAD, Sept 20: India has offered to sell locomotives to Pakistan at a competitive price.

The offer was made on Thursday during the seventh round of commerce secretary-level talks between the two countries.

Sources privy to the meeting told Dawn that Pakistan agreed to consider buying locomotives made in India and start direct flights between Islamabad and Delhi.

The sources said Indians were informed that although bids for the purchase of 150 locomotives against soft loans had already been invited, Pakistan would place advertisements to buy 50 more locomotives in the next few weeks and they were encouraged to participate in the bidding.

The Indian delegation quoted a price of 70 million Indian rupees per locomotive.

The two sides agreed to telecast cultural and social programmes of each other and directed their foreign offices to finalise the proposals.

They also agreed to explore the possibility of allowing mobile phone service to facilitate businessmen of the two countries.

The two sides showed willingness to start containerised trade between Lahore and Amritsar or Ludhiana by train.

The meeting agreed to work out rules in the next three days for implementation of three agreements signed earlier by the two countries.

The sources said there was no progress for reduction in the number of sensitive items under the South Asian Free Trade Agreement (Safta).

The meeting agreed on education of exporters from the two countries about technical regulations.

The sources said the two sides also agreed to discuss a draft agreement for avoidance of double taxation.

The meeting discussed proposals to expedite courier services, liberalise telecommunication services, remove hurdles in investment, promote small and medium enterprises and phase out the negative list within the time agreed upon by the two sides.

The two-day talks will conclude on Friday.