Chinese Premier Wen Jiabao and his Indian counterpart Manmohan Singh agreed on Saturday to gradually narrow differences on border issues between the two countries.

The two sides agreed to continue talks, with the aim of incrementally removing the barriers to a solution that was fair and acceptable to both sides.

Wen and Singh, meeting on the sidelines of the ongoing ASEAN-related summits in Hua Hin, Thailand, also agreed to try to ensure peace and stability in the border area, saying this would be conducive to resolving the border issues and furthering bilateral cooperation.

The two sides also agreed to take measures to encourage bilateral trade and investment, with the hope that bilateral annual trade would reach 60 billion U.S. dollars by 2010.

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