Citing National Security Advisor N K Narayanan's comments on the evidence of Pakistan's involvement in the blasts, Foreign Minister Khurshid Mehmood Kasuri told PTI that Pakistan leadership avoided knee-jerk reactions like blaming India whenever a violent incident takes place in Pakistan.

"I have read with interest the statement of Narayanan on the quality of evidence. We should avoid knee-jerk reactions. In Pakistan, by and large when an incident happens, we try and not voice (it) and the President, the prime minister and I avoid making (such) statements.

"We get lot of information through our own sources. But we do not go public until we feel that we have clinching evidence. Otherwise it makes the case worse," he said.

He said in the case of Mumbai blasts Pakistan had "unreservedly and very seriously" condemned it but the Indian accusations have damaged the peace process.

"See the damage that has been done. So many months down the road we are told that evidence is not particularly good, "it is not clinching," to quote Narayanan, he said.

To a question whether the two countries planned to implement confidence-building measures to further relations between the militaries of both the countries, he said, "They are discussing certain things. It is not appropriate for me to speak.

"Pakistan is interested in general improvement of relations with India. If we continue with the peace process it will happen in all areas, not only defence. In all areas there would be progress," Kasuri said.

"Developing trust is a two-way process. It would be helpful if we continue our dialogue and that is the only way we can to develop trust. If we develop trust we can cover all areas," he said.

On the anti-terror mechanism, he looked forward to the foreign secretary-level talks in New Delhi in November to resolve differences over its set-up.

"Pakistan is suggesting a mechanism headed by additional foreign secretary as the foreign ministry is focal point in dealing with any country whether on agriculture, defence or weather. It is basically the ministry of foreign affairs that deals with other countries on all issues relating to that particular country," Kasuri said.

"That is why I said that the mechanism should be headed by an additional secretary of foreign affairs."

On Narayanan's remarks that India wants a two-tier mechanism instead, he said, "Let the two foreign secretaries meet on November 14 in New Delhi. I do not want to harp on differences. I think in both the countries interest the joint security mechanism is a success. India and Pakistan both have concerns and it is much better that we have a mechanism where both countries can voice them."

He said the Indian proposal hasn't been formally presented to them. "I think it will only be presented at the foreign secretary meeting."

Asked about Pakistan's assessment of three rounds of the composite dialogue process which would be reviewed by Foreign Secretaries followed by the two foreign ministers, Kasuri said the talks on a variety of issues including Kashmir have taken the process forward.

"The question is whether the glass is half full or half empty. Considering the history of Indo-Pak relations a degree of optimism is required otherwise you have so much bad news that unless you have optimism you tend to loose confidence. I would evaluate as definitely taking relations forward, not just on Kashmir and security. But also on people relations and on trade," he said.

He said despite India's complaints about Pakistan not extending Most Favoured Nation status to it, a "lot more goods are coming from India. Volume of trade has gone up. South Asian Free Trade Area has been signed with the intention of making it a success. I would not go into polemics on MFN. We are unable to penetrate Indian market while we have penetrated Japan [Images] and Latin America, American and EU markets."

"Our trade is not increasing even though India has given us the MFN status. But volume of legal trade from India with Pakistan has increased by 300 per cent even though Pakistan has not given India MFN status," he said adding that a joint study group has been constituted by both the countries to look into it.

"Hope they will submit the report soon. Maybe the Indian tariff regime is not Pakistan specific. Pakistan has been a historically open regime. The fact is that we are unable to penetrate even the areas where we had advantage," he added.

Kasuri said the dialogue process shows that Pakistan is not talking only on Kashmir but on other issues as well.

"Three rounds have taken the process (forward), not simply on Kashmir. India always says we are talking only on Kashmir. It is wrong. We are very interested to talk on Kashmir, because it is the cause of so many wars. But it is wrong to say we are not interested to discuss anything," he said.

Asked whether the composite dialogue would go into the fourth round, he said, "We will probably make progress only if we talk. Surest prescription for disaster is to stop talking".

About his proposed private trip to New Delhi next month, Kasuri said he and Panchayati Raj Minister Mani Shankar Aiyar have been friends since their Cambridge days where they studied together.

"Mani has spoken to me. We were together in Cambridge and he attended my son's wedding in Lahore [Images]. I also want to go to Delhi to attend the marriage (of Mani's daughter). I have all the intentions of going to Delhi. It will be a private visit. If he (Pranab Mukherjee) is present we will meet. We have not planned anything yet. I will be happy to meet him. Hope he will be at the reception," he said.