ST. PETERSBURG, June 9 (RIA Novosti) - Russian President Vladimir Putin told his Georgian counterpart Mikheil Saakashvili that Russia could lift restrictions on trade and transport depending on progress in bilateral relations.
Russia introduced the restrictions following a furious diplomatic row that broke out between the ex-Soviet neighbors in September amid an espionage scandal, further souring relations already marred by Georgia's new West-oriented policy, Russia's presence in Georgia's conflict zones and a Russian ban on Georgia's key imports, mineral water and wine.
A Kremlin spokesman, Alexei Gromov, said Saakashvili, who had shown an interest in lifting the restrictions, and Putin had instructed their foreign ministers to work to repair bilateral ties.
Gromov said the situation in Georgia's unrecognized South Ossetia was also highlighted during the negotiations, and the Georgian leader said Russia should step up efforts to ease the situation. "Russia's more active efforts aimed at resolving the situation in South Ossetia would definitely have a positive effect," Saakashvili said.
Russian peacekeepers have been deployed in Georgia's two breakaway republics, Abkhazia and South Ossetia, since the early 1990s but Georgia has been seeking to expel them and bring in an international contingent.
In an attempt to reinstate control over the breakaway regions, Georgia has appointed its own "alternative governments" on their territory. The latest argument between Georgia and South Ossetia led to blocked water supplies.
The Kremlin press secretary also said Saakashvili, who arrived in St. Petersburg following talks with his Ukrainian ally Viktor Yushchenko, praised the ongoing withdrawal of the Russian military from Georgia under the 2004 agreement.
West-educated Saakashvili, who has been seeking to join the European Union (EU) and NATO, considers Russia's military presence an obstacle.
Under the agreement between the former Soviet allies, Russia must complete the removal of its bases in Batumi and Akhalkalaki in the south by the end of 2008.
Moscow pulled out its military garrison from the Georgian capital, Tbilisi, in December, handing over control of its headquarters to Georgia's Defense Ministry.
