Sharing concerns over the recent spurt in terrorism in Afghanistan, India and Afghanistan Monday agreed on a collective fight against the menace and sought Pakistan's cooperation.

With Pakistan continuing to deny transit facility to Indian goods destined for Afghanistan, Kabul proposed that India set up production facilities in that country for catering to the host nation and Central Asia.

• First Look: Hamid Karzai in India

During the 90-minute talks between Prime Minister Manmohan Singh [Images] and Afghan President Hamid Karzai, India raised concerns over security of hundreds of its personnel engaged in reconstruction and other projects in Afghanistan and received assurances of their safety from Kabul.

Noting that terrorism has afflicted both India and Afghanistan for several years and even Pakistan was not immune to it, Dr Singh and Karzai agreed that it needed to be fought collectively as it posed a "great threat to civilization".

Dr Singh stressed the need for intelligence sharing, pooling knowledge and experience to fight terrorism together as he noted that even Pakistan is not immune to it.

"We will cooperate with any nation that cooperates with us to fight terrorism. All countries of the region are affected and I hope all countries of the region will join hands to fight the menace," Karzai said.