NEW DELHI, Jan 18: India and Pakistan wound up their two-day foreign secretary-level talks to unveil the third round of composite dialogue here on Wednesday, with the doves and hawks both finding reasons to claim victory.

A joint statement issued after the talks between India’s Shyam Saran and Pakistan’s Riaz Mohammad Khan presented a wholesome picture of purposeful engagements ahead to bid for a final settlement of the Kashmir issue and other related differences. But an exchange of words on the margins of the talks over Balochistan left ample room for the hardliners to applaud.

Mr Khan put Pakistan’s interpretation of the talks in a terse comment during a news conference.

“We should move beyond learning to live with the problems,” he warned about the slow pace of progress on Kashmir. “That would be living dangerously.”

He said the third round would be a challenging one precisely for this reason, a characterization that senior officials in the Indian side were also willing to concede as reasonably fair. Mr Khan offered reasons to suggest that the time was ripe to take up the Kashmir issue for serious discussion.

“We have come to a stage where, given the improved relations, given the CBMs, the people-to-people contacts, it is also time that we start discussing the problems that are as old as the independence of the two countries.”

That was when someone asked him a question on Balochistan and that appeared to change the tone of the press meet and, some would say, also seemed to carry more than a whiff of a threat to the peace talks ahead.

“Yes, the matter was taken up,” Mr Khan said tersely. “We had not come here to discuss Balochistan. Our foreign ministry had responded to it effectively enough. We have said that repetition of these kinds of statements will have a negative impact on the peace process.”

Terming India’s comments on the events in Balochistan interference in Pakistan’s internal affairs, Mr Khan said Islamabad “will resent, would reject and will always oppose any attempts to impose a Monroe Doctrine of hegemony on us. Let’s cooperate for a better future and have respect for each other’s sovereignty.”

Later, Mr Khan said he was positive about the agenda he had come to discuss, complimenting his hosts also for playing ball.

“I got a distinct impression that India is open and very sincere in wanting to discuss the final settlement of the Jammu and Kashmir issue,” he said. There may be a difference of approach in the talks, but the composite dialogue was just one part of the peace process. He said Prime Minister Manmohan Singh’s much-awaited visit would be highly beneficial to the peace process. Mr Khan called on Dr Singh as the last official engagement of his visit.

He recalled President Pervez Musharraf’s words that both sides needed sincerity, flexibility and courage to resolve the tricky issues. He conceded that at least sincerity was not entirely lacking on both sides so far.

Excerpts from the joint statement, released after the talks are as follows:

“The two sides reaffirmed their commitment to move forward the peace process in a meaningful way during the third round.

“On the issue of peace and security, including CBMs, the two foreign secretaries reviewed and assessed positively the progress made during the meetings of experts on nuclear and conventional CBMs.

“... Agreed to mandate the two experts groups to continue consultations on security concepts and nuclear doctrines to develop CBMs in the nuclear and conventional fields aimed at avoidance of conflict, including, inter alia, consideration of the following:

(i) Continue discussions to finalize an agreement on “reducing risk of nuclear accidents or unauthorised use of nuclear weapons,” on which a draft has been presented by India;

(ii) Conclusion of an agreement on prevention of incidents at sea to ensure safety of navigation by naval vessels, and aircraft belonging to the two sides. The Pakistani side indicated that they will present a draft of such an agreement;

(iii) Elaborating, consistent with its intent, the agreement reached on no development of new posts and defence works along the LoC. The Indian side handed over proposed elements;

(iv) Modalities for the conduct of already agreed monthly flag meetings between local commanders at the selected sectors. Both sides handed over suggested modalities.”

The two sides “had a detailed exchange of views on Jammu and Kashmir and agreed to continue the sustained dialogue in a purposeful and forward looking manner to find a peaceful and negotiated final settlement.

“The foreign secretaries noted with satisfaction the opening of the five crossing points across the LoC, and hoped that the process of promoting greater interaction between the divided families would get further impetus. They reiterated their commitment to start a bus service between Poonch and Rawalakot and a truck service on Muzaffarabad-Srinagar route for trade in permitted goods as soon as the infrastructure damaged during the Oct 8 earthquake is restored.

“Both sides reiterated their resolve to simultaneously reopen their respective consulates-general in Mumbai and Karachi and to facilitate the process.

“The foreign secretaries and foreign ministers will meet thereafter to review the third round of the composite dialogue.

“Both sides also agreed to hold early meetings of the technical level working groups of the joint commission ... so that they can report their progress to the joint commission.

“The foreign secretary of Pakistan called on Prime Minister Dr Manmohan Singh and Minister of State for External Affairs, Shri E. Ahmed during the course of his visit to New Delhi.”