NEW DELHI (Agencies) - Foreign Minister Shah Mahmood Qureshi said Wednesday that it was possible to make concrete progress in peace talks with India. Speaking after talks with his Indian counterpart Pranab Mukherjee, Qureshi asserted Islamabad wanted "friendly relations" with New Delhi and that the two sides had a "window of opportunity" to energise a slow-moving peace process. "I want friendly relations with India. The region has suffered, people have suffered. We must give the people of South Asia some hope," he said in a joint news conference. "We have this window of opportunity. We must not let it pass. We have challenges... but I am confident we can convert challenges into opportunities." He said issues such as demarcating a maritime boundary and bringing down troop levels on the Siachen Glacier were "solvable". India and Pakistan began a peace process in 2004, but ties were severely disrupted by the July bombing of India's Embassy in Kabul blamed by New Delhi on Pakistan's intelligence agency. At the time, India said the peace process was "under stress". But Mukherjee appeared more upbeat Wednesday, citing "substantial achievements" in recent contacts between the two nuclear-armed neighbours. "We have to address the menace of terrorism, which affects society in both countries," Mukherjee told reporters, adding he hoped a recently established anti-terror cooperation panel would "show concrete results." This is a challenge which should be fought jointly, he said. Qureshi said Pakistan wants meaningful dialogue on Kashmir to settle this issue through peaceful means. He said Pakistan had not forgotten Kashmir issue and it is part of the composite dialogue. It will be discussed in the fifth composite dialogue which has already begun between the two countries. The delegation level talks were held in Hyderabad House where senior officials from both sides attended. Qureshi said Siachen and Sir Creek are resolvable. He said host of issues were discussed during the meeting including plight of prisoners, Siachen, Sir Creek, trade, LoC trade, reduced Chenab water flow, terrorism and people to people contacts. Qureshi said Pakistan wants friendly relations with India and resolve all outstanding issues with it through dialogue. He said Pakistan has discussed issue of reduced water flow in River Chenab during the talks. Pakistan wants implementation of the provisions of the Indus Water Treaty in letter and spirit as it the mechanism available to address the issue. Plight of prisoners was another issue which was discussed to provide relief to them, he added. He said launching of trade across Line of Control is a landmark step. Both the countries will take measures to resolve the problems being faced by the traders, he added. About enhancing trade between Pakistan and India, he said Pakistan has expanded its positive list of trading articles. If India addresses the issue of non-tariff barriers on exports from Pakistan, the trade will be enhanced, he said. Responding to a question on the visit of Indian cricket team to Pakistan , he said Pakistan welcomes the team and assures all necessary security to it. He said already, Indian tennis players and shooting team are participating in Pakistan. To another question on release of Indian prisoner Sarabjit, he said Pakistan is examining his case and hopefully some positive result will come out. He said Pakistan encourages inter-faith dialogue, promotion of tourism and liberalization of visa regime. He referred to statements of Pakistan President and Prime Minister in this connection. India rejected Pakistan's concerns about water theft of the Chenab river and underlined that water will be distributed according to the Indus Waters Treaty. Indian Minister Pranab Mukherjee said that India never stopped the flow of water as per the Indus Water Treaty; rather it depends on the availability of water at discharge points. "If there is no adequate water, both sides suffer," he said, while replying to a question raised by a Pakistani journalist on whether India will compensate Pakistan for the alleged loss of water amounting to 22,000 cusecs that has severely affected crops in that country. Referring to reduced flow of Chenab water, he said India will abide by provisions of Indus Basin Treaty, but less water was available in the water this year. To a question on Kashmir and statement of the newly elected President Barack Obama on appointment of a special envoy on Kashmir, Mukherjee said Kashmir is a bilateral issue between Pakistan and India and there is no need of intervention by third party. The Indian Minister said there is a substantial progress in fifth round of composite dialogue as trade was launched across Line of control and enhancement of trade with Pakistan. He said trade volume has increased by about $ 2 billion. Pranab Mukherjee announced on the occasion that Indian cricket team would visit Pakistan.