"Of course, it has been agreed that the peace and tranquillity agreement which we signed in '95 and then again in '96 which has good impact and substantially we have been able to create a tension free border. It has been decided that wherever there are certain problems or certain things come in-between, we should resolve the issues through dialogue," Mukherjee told reporters in Beijing.
India's Foreign Secretary Shivshankar Menon said special representatives from both sides would soon hold a meeting to find a mutually acceptable settlement of the boundary issue.
"On boundary issue, they discussed questions of settling of the boundary or finding a mutually acceptable settlement, a task that the special representatives on both sides are undertaking. They express satisfaction on the progress that they have made so far and look forward to further progress they will be making. Both sides are hoping to arrange meeting in next few months of the special representatives," said Shivshankar Menon, Foreign Secretary.
Indian officials in border areas complain of more aggressive Chinese patrolling and encroachment along the Himalayas in the past year, although the Central Government and senior generals have been at pains to play down the incidents. Tension also rose after Tibetan protests broke out in India earlier this year.
China, however, appreciated India's support in giving a safe passage to the Olympic torch. "The Chinese side naturally mentioned their concern about the activities by Tibetan refugees in India. The Chinese side expressed appreciation for what has been done for making it possible for the Olympic torch to pass through India," Menon added.
Mukherjee is on a maiden four-day official visit to China in order to enhance bilateral strategic and diplomatic ties.