TEHRAN The Foreign Minister of Belgium, Louis Michel - whose country currently holds the presidency of the European Union - says he hopes negotiations can be started before the end of the year on a trade agreement between the EU and Iran.

The two countries have already set up joint working groups in fields such as trade and investment, energy, drugs and refugees.

Mr Michel was speaking on Tuesday during talks with the Iranian Foreign Minister, Kamal Kharrazi, in New York, where both men were attending a United Nations conference on the illegal trade in small arms.

Mr. Michel said the EU countries had already taken steps to broaden relations, with political talks due to open in Tehran at the end of summer Shahrivar.

(BBC World Service)