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After assertions by Pakistan yesterday that it is a "stand-alone" project and that it will not accept any "external conditionalities", India said Pakistan should accept the USD four billion gas pipeline, also known as "peace pipeline", as part of overall opening of trade and economic development between the two countries.

Pak links Kashmir with Iran-India pipeline

Stating that the project figured in the joint statement issued after the meeting between President Pervez Musharraf and Prime Minister Manmohan Singh in New York in September this year, Indian officials asked if Pakistan agreed it was a win-win proposal, why was it opposed to development of trade and economic relations of a similar nature.

In a media briefing yesterday, Pakistan Foreign Office spokesman Masood Khan said India had to do the "cost analysis" and decide whether it wanted to be part of the project or not.

Cut off the gas we cut off the water 

"Iran and Pakistan are on board. India has to decide and make a cost analysis. It has to give a signal to both Pakistan and Iran if it wants to associate with it", he said.

Khan's remarks came even as Iranian Foreign Minister Kamal Kharazi held talks with Musharraf, Prime Minister Shaukat Aziz and Foreign Minister Khurshid Kasuri during which issues relating to the pipeline reportedly figured.

The proposed pipeline will cover around 2,800 km including about 700 km in Pakistan.