But after many false starts, hopes were being kept deliberately low for the two days of talks between Indian Foreign Secretary Nirupama Rao and her Pakistani counterpart, Salman Bashir.

"We have realistic expectations," an Indian government source said. "We should not expect quick and dramatic resolutions."

With the India-Pakistan rivalry often spilling into Afghanistan, the United States and its allies are hoping the peace process will gather pace in tandem with plans to gradually withdraw western troops ahead of a 2014 deadline.

President Barack Obama is due to announce the first of a phased withdrawal of U.S. troops later on Wednesday.

Reuters