During the talks, the Pakistani side complained that it has not benefitted from the Most Favoured Nation status granted to it by New Delhi, as the Indian tariff and non-tariff barriers are not helping in enhancing trade links.
"We strongly condemn this attack. The bus service is a humanitarian gesture to reunite the divided families. The innocent travellers have committed no crime," Pakistan Foreign Office spokesman Jalil Abbas Jilani told PTI.
Eight passengers from Rajouri and four from Poonch were shifted to a hotel in Jammu, where multi-tier security has been activated, the sources added.
The Indian side, led by Road Transport Joint Secretary Alok Rawat, suggested during the talks that passengers travelling on the proposed service be made to carry entry permits along with passports.
Mufti has said that the peace process is now a golden chance that should not be squandered.
Also in the pipeline, are talks on more bus services.
The Jammu and Kashmir government has made arrangements and undertaken tight security measures to ensure a hassle-free journey for separatist leaders going to Pakistan-occupied Kashmir through the Srinagar-Muzaffarabad route.
Under the Indo-Pak agreement for the launch of bus service, any permanent resident of Jammu and Kashmir can travel only between two parts of undivided state on a permit.
Pakistan and India also decided to increase the frequency of the Srinagar-Muzaffarabad bus services, official sources said.
Describing the peace process as ''fairly irreversible'', the Pakistan president said India's wish to see the LoC converted into a permanent border was not acceptable.
It was an emotional moment for the people of Kashmir when the PM flagged off the bus along with Gandhi.
The IEDs, weighing 70 kg and 60 kg and kept in polythene bags on the roadside, were detected by BSF's 55 Battalion's road opening party at Palhalan, 30 km from Srinagar.
"We are strengthening the security on the vital installations and increasing patrolling," official sources said on Tuesday.
United Progressive Alliance chairperson and Congress president Sonia Gandhi will join Prime Minister Manmohan Singh on April 7 in Kashmir when he flags off the Srinagar-Muzaffarabad bus service.
The Muzaffarabad bus is not insured, however, the state road transport corporation has funds for any contingency.
What the application form for the Srinagar-Muzaffarabad bus looks like.
The decision is a 'small yet significant step' towards the final settlement of the Kashmir issue, Hurriyat leader Abdul Gani Bhat said.
Four persons Thursday travelled to Pakistan-occupied Kashmir on the Srinagar-Muzaffarabad peace caravan, which brought back 12 passengers on the second trip since resumption of the bus service after the October 8 quake.
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