World powers strike accord on Iran

Major world powers struck what Britain called a far reaching agreement yesterday on a so-called "carrots and sticks" package for Iran to halt sensitive nuclear fuel work.

"We believe (the proposals) offer Iran the chance to reach a negotiated agreement based on cooperation," British Foreign Secretary Margaret Beckett told a news conference, adding the major powers were prepared to suspend UN Security Council action if Tehran halted uranium enrichment.

Earlier, Iran rejected a US condition for direct talks on its nuclear programme, which the West fears includes plans to build atomic weapons. Iran says its nuclear programme is solely for power generation. The major powers' accord was reached at a Vienna meeting of foreign ministers from the United States, Britain, France, Russia and China - all UN Security Council permanent members - as well as Germany and EU foreign policy chief Javier Solana.

"We have agreed a set of far reaching proposals as a basis for discussions with Iran," said Ms Beckett.

In the past Russia and China have opposed punitive measures, but Ms Beckett did not go into details about the package.

"We are prepared to resume negotiations should Iran resume suspension of all enrichment-related and reprocessing activities as required by the (UN nuclear watchdog) and we would also suspend action in the Security Council," said Ms Beckett.

"We have also agreed that if Iran decides not to engage in negotiation, further steps would have to be taken in the Security Council... We urge Iran to take the positive path and to consider seriously our substantive proposals which would bring significant benefits."