Some progress was made during the talks between Iran and the world powers held in Baghdad on Wednesday, Haaretz reports.

Both sides reportedly discussed their proposal packages and, according to the Iranian state news agency IRNA, Iran’s five-point proposal included ideas for dealing with the nuclear issue as well as other issues.

Haaretz reports that the talks will probably continue tomorrow, Thursday. Tonight, meanwhile, Iranian chief negotiator Saeed Jalili will probably meet separately with EU foreign policy chief Catherine Ashton as well as the Chinese representative.

Haaretz quoted blogger Laura Rosen saying that the world powers are reportedly calling for Iran to suspend uranium enrichment at the 20-percent level and also to send abroad 100 kilograms of the 20-percent-enriched uranium already in its possession.

The report adds that Iran has been offered incentives, such as a shipment of nuclear fuel for the Tehran nuclear research reactor as well as upgrades to the aging reactor itself. Other incentives reportedly on offer in return for Iran’s co-operation are upgrades to the Bushehr nuclear power plant reactor and replacement parts for Iran’s civilian aviation fleet.

Reuters reports, however, that the two sides are still at odds regarding the easing of international sanctions against Iran.
IRNA reports that the United States is still planning to go ahead with its unilateral sanctions, while the Russian representatives have expressed their opposition to the U.S. plans.

Iranian Foreign Minister Ali Akbar Salehi has told a press conference in Tehran that the unilateral U.S. sanctions are detrimental to reaching an agreement in Baghdad, saying: “They should assume a policy that bears signs of good faith towards resolving this issue. Of course, we are altogether optimistic, and the ideas expressed so far reveal that the other party is also interested in making the Baghdad talks a success, and we believe that we will hear good news from the Baghdad talks in the next couple of days.”

Victoria Nuland, spokeswoman for the U.S. State Department, said the world powers “have put forward a detailed proposal, which includes confidence-building measures that can pave the way for Iran to demonstrate that its nuclear program is for peaceful purposes,” Reuters reports.

She added: “This approach would also include step-by-step reciprocal steps aimed at near-term action on our part if Iran takes its own steps.”

AFP reports that the G5+1’s proposal comes with incentives that include a moratorium on any further sanctions on Iran and the annulment of sanctions on the sale of airplane parts, and the EU might even cancel sanctions on insuring Iranian ships.