ISLAMABAD, Dec 27: The foreign office said on Monday that talks on the first day between the foreign secretaries of Pakistan and India focused on issues of peace and security , and both sides resolved to intensify efforts to make progress in dispute areas, including Jammu and Kashmir.

"Both sides agreed that they needed to work harder on issues on which there were differences of opinion or difficulties," Foreign Office spokesman Masood Khan said at his weekly press briefing.

Apparently, the Pakistani side challenged the Indian contention that the question of handing over the Jinnah House to Pakistan was a closed chapter and made it clear that it would not forgo its legitimate demand for it. The Indian response was that it would again refer the matter to the relevant quarters.

On the Baglihar dam issue, Pakistan told the Indian side that the technical data provided by it was deficient and had many gaps, sources said. Pakistan also stressed early resolution of the lingering dispute and reminded the Indian secretary of Prime Minister Manmohan Singh's recent assurance on this matter.

In his opening statement, Masood Khan said that the talks were held in a 'cordial and constructive' atmosphere and the two secretaries assessed the first round of composite dialogue completed in September 2004, and the meetings held since then.

"Both sides emphasized the need to ensure continuity of the dialogue and confidence-building processes," Mr Khan said, adding that in this context they underlined the importance of the meetings between the leadership of the two countries, especially between President Pervez Musharraf and Prime Minister Manmohan Singh and Prime Minister Shaukat Aziz and Prime Minister Singh.

"It was also noted that while in some areas, especially in the realm of confidence-building, forward movement had been satisfactory, in others, such as Jammu and Kashmir and peace and security, more efforts were required to be made to find solutions," Mr Khan stated.

He said the two secretaries had 'in-depth discussions' on peace and security. "In this regard, proposals for elaborating and implementing CBMs in both nuclear and conventional fields were discussed. Both sides said that these proposals would be studied, analyzed and sifted before they could be turned into mutually-agreed CBMs," he added.

The spokesman said the two sides also reviewed progress made during meetings on narcotics, maritime issues, Sir Creek, Khokhrapar-Monabao rail link and Srinagar-Muzaffarabad bus service.

They also exchanged views on the Baglihar dam issue, problems of fishermen detained in each country, opening of consulates in Karachi and Mumbai, and prisoners, he added.

Mr Riaz Khokhar conveyed sympathy and condolences of the government of Pakistan to the government and people of India over the massive destruction in southern India by an earthquake and tidal waves. Mr Khokhar also offered Pakistan's assistance for relief and rescue.

Mr Khokhar also conveyed condolences over the demise of former Indian prime minister Narasimha Rao, Mr Khan said, adding that Indian Foreign Secretary Shyam Saran thanked the government and people of Pakistan for these expressions of support and condolence.

Earlier, responding to a question, the foreign office spokesman said both the foreign secretaries were very candid in their exchanges. He maintained that Kashmir was a complex issue but not intractable and a solution to it would be found one day. He said that both sides had to strive towards a solution that was acceptable to all sides, including Kashmiris.

In reply to a question, he said while there was no point in setting artificial deadlines, it was important to resolve the issue of Kashmir 'sooner than later'. He said the Indian side agreed with Pakistan that CBMs and the Kashmir issue should move in tandem.

Answering a question, he said: "We have to talk to each other till we succeed, talk, talk is better than fight, fight. We must exhaust all possibilities." The composite dialogue was a plus for both India and Pakistan, he added.

In response to another question, he said: "There was engagement between the two sides. Indian side sounded serious in engaging Pakistan and its concerns." On proposals made by Pakistan on nuclear and conventional CBMs, the spokesman said he could not go into the details or specifics, but said Pakistan talked about SRR and strategic stability. He said Pakistan was against induction of Anti-Ballistic Missile Systems (ABMs) as it would lead to an arms race.

Mr Khan was evasive when asked if Pakistan would put forward any formal proposal on resolving the Kashmir issue. He merely said that there would be a 'robust exchange of views' when the foreign secretaries meet again on Tuesday to take up the issue of Jammu and Kashmir.

He stated that more 'energetic and earnest' effort was required from both sides to address this issue. "Both sides need to address trust deficit and need more CBMs," he said.

When asked if there was any room for Pakistan to use its good offices for resolving the nuclear row between Iran and the US if the former requested, he said: "Yes, it depends on the comfort level of the two countries." However, he hastened to add: "We hope there is no conflict in the region on that count."

On the question of the Jinnah House, the spokesman said while in principle it should be given to Pakistan, the government was ready to explore other options for its consulate in Mumbai.