NEW DELHI, Jan 20: India and the United States, preparing for a visit by President George W. Bush, wound up two days of official-level talks here on Friday with Washington encouraging improved Delhi-Islamabad ties but disapproving of Iran’s proximity with both.

A controversial proposal to help India’s civilian nuclear energy programme was discussed again between the two countries but going by their statements appeared to have hit some rough spots.

“We have been exchanging views and trying to coordinate our views on issues like Iran, Nepal and Sri Lanka,” said Indian Foreign Secretary Shyam Saran at a joint news conference with US Undersecretary of State Nicholas Burns.

Since Mr Burns will be visiting “Pakistan and Sri Lanka … and, as you know, a couple of days back I myself had a round of discussions with my Pakistani counterpart. So, this was a very opportune moment for us to exchange notes on our relations with these countries.”

Mr Burns said while the United States “wishes for the best possible relations between India and Pakistan” it takes a dim view of the proposed gas pipeline involving Iran.

About the nuclear energy talks, Mr Burns said: “We remain hopeful …It is a very difficult undertaking and it is a unique undertaking. I am not sure any two governments have actually had a negotiation quite like this because the situation is unique, India’s position is unique, and there is a complexity and a difficulty to these talks which is inherent in the subject.”

Mr Burns referred to a lingering history of India’s nuclear indiscretions. “Suffice to say, I talked about the unique nature of these negotiations given the history of the non-proliferation regime, given India’s own history in the nuclear sphere. I think that has added to the complexity of the negotiations just by definition.”

For any agreement to be credible with United States Congress and with Nuclear Suppliers Group “it is going to have to be a detailed agreement, it is going to have to be substantial. Despite the fact that we have been at this for six months I think there is still a further way to go.”

Obliquely referring to India’s support in September for a US-led vote at the IAEA board against Iran, Mr Burns said: “We are very grateful for the role that India is playing in the world today. We are hopeful that this new relationship is getting around to even greater heights in the future.”