Indian Prime Minister Manmohan Singh and Prime Minister Taro Aso agreed Wednesday to cooperate on several issues, including regional safety, but fell short of signing an economic partnership agreement due to differences on trade.

While both sides remain eager to reach a deal on the free-trade agreement, the two could not see eye to eye on lowering barriers, including tariffs and customs procedures on certain imports.

"The agreement is still under negotiation," Aso told reporters after the meeting.