Dispelling fears of a downslide in bilateral ties, Pakistan on Thursday said its dialogue with India has not "stalled" despite "hiccups" and that President Asif Ali Zardari would meet Prime Minister Manmohan Singh [Images] in New York next week to take the peace process forward.

A Pakistani team will visit Delhi [Images] shortly to take up Kashmir-related matters, including cross-Line of Control trade, and Islamabad [Images] believes the long-standing Sir Creek boundary dispute and the military stand-off on the Siachen glacier could be resolved by the two countries, Foreign Minister Shah Mahmood Qureshi said.

"I do not think the peace process has come to a halt because our team is visiting Delhi shortly to discuss Kashmir-related issues, particularly cross-LoC trade. We are also keen to send a delegation from our side of Kashmir to Srinagar [Images] to discuss with business circles there the tradable items," he told reporters in Islamabad.

"That I would not call a stalling of the (peace) process," said Qureshi, who will be part of the Pakistani delegation that Zardari will lead to the UN General Assembly.

Zardari's meeting with Dr Singh on the sidelines of the UN meet will be important as it will give the two sides an opportunity to exchange views on outstanding issues, he said.

"The meeting in New York is required because we have to continue to pursue the peace process which is in our mutual interest," Qureshi added.

Though there had been "hiccups" in the peace process, both countries have to "remain steadfast and keep moving in the right direction," he said.

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Coverage: Indo-Pak Peace Talks