ISLAMABAD, 22 July 2004 — Pakistani and Indian foreign ministers held “frank” and “honest” talks on the sidelines of a regional conference yesterday, wading into controversial subjects like Kashmir which have bedeviled their relations for more than half a century.

“Our talks today were frank, they were honest, they were candid, they were friendly and they were warm,” said Pakistani Foreign Minister Khurshid Mahmud Kasuri after meeting with his Indian counterpart, Natwar Singh, over breakfast at Islamabad’s Marriott Hotel.

“Every issue of concern was raised by me and every issue of concern was raised by Mr. Natwar Singh,” Kasuri said.

The talks took place before a gathering of the South Asian Association for Regional Cooperation, in which foreign ministers agreed to expand cooperation in different fields. India and Pakistan are the two largest countries in the grouping.

In recent months, the two nuclear-rivals have initiated a dialogue both sides hope will lead to an enduring peace deal and solve the long-simmering dispute over Kashmir, a Himalayan region over which they have fought two of three wars.

“I am an incorrigible optimist,” Kasuri said. “And you need a lot of optimism when you are dealing in situations like the Pakistan-India relationship where you had so many wars and perpetual tension,” Kasuri said.

Natwar said he and Kasuri discussed opening consulates “as soon as possible” in the Pakistani port city of Karachi and the Indian city of Bombay, and talked about starting a bus service across Kashmir.

Pakistan and India have set up a series of meetings scheduled for the coming weeks to discuss less volatile issues, such as water rights, a glacier that has become the world’s highest battlefield, and control over a border marshland. The idea is to build confidence before the hot-button issue of Kashmir is broached.

After the talks, Natwar told reporters that their next meeting, which was set to be held in late August, has been rescheduled for Sept. 5-6 in New Delhi, the Indian capital. That meeting will be held a day after talks between foreign secretaries of the two countries, Kasuri said.

He gave no reason for the postponement, but the Press Trust of India news agency reported it was due to several “pressing engagements” on Natwar’s calendar.

“We mutually agreed we will speak more after our meeting in New Delhi,” Kasuri said.

Natwar later met with Prime Minister Chaudhry Shujaat Hussain. The leaders discussed “increasing people-to-people contacts and increasing trade between the two countries,” said Majeed Niazi, a spokesman for Shujaat.

On Tuesday, Shujaat vowed that Pakistan will make peace with India.

“I want to assure all members of SAARC and indeed the world that Pakistan is committed to pursuing peace with India,” he said at the opening of the two-day SAARC gathering.

“We have embarked on making meaningful efforts to resolve all differences and disputes with India, including the issue of Jammu and Kashmir,” Shujaat said.

Natwar — making a first visit to Pakistan after India’s new government came to power in May — has also been upbeat.

“We are moving forward and I am satisfied,” he told reporters Tuesday.

SAARC comprises Pakistan, India, Sri Lanka, the Maldives, Bangladesh, Nepal and Bhutan.

The organization was set up 18 years ago to promote cooperation among its member states, but bitter feuding between India and Pakistan has undermined progress on most issues.

The next SAARC summit will be held in Dhaka on Jan. 9-11, 2005.