No breakthrough yet in Cyprus talks

Greek Cypriot President Tassos Papadopoulos (L) waves to reporters as U.N. Secretary General Special Representative Michael Moller (rear R) watches at the U.N. buffer zone in Nicosia September 5, 2007. The leaders of Cyprus's divided communities met on Wednesday for the first time in a year but hopes were slim they would relaunch stalled peace talks harming Turkey's EU accession bid, diplomats said. The United Nations was hosting the rare encounter between Papadopoulos and Turkish Cypriot leader Mehmet Ali Talat in an airport compound abandoned in fighting in 1974.

NICOSIA (Reuters) - The leaders of Cyprus's divided communities failed to make progress on Wednesday in relaunching stalled peace talks harming Turkey's EU accession bid.

Greek Cypriot President Tassos Papadopoulos and Turkish Cypriot leader Mehmet Ali Talat left the three-hour meeting hosted by the United Nations in an airport compound abandoned in fighting in 1974, without making any statements to the media.

The meeting reaffirmed the gap between the two sides. Later each leader accused the other of either seeking changes to a deal brokered by the U.N. last year on an incremental approach to talks, or balking at negotiations.

"The Greek Cypriot side is not psychologically ready to start fully fledged negotiations," said Talat. "I can't say whether there is a sea between us or an ocean."

Papadopoulos told reporters: "Mr Talat wanted changes to the (deal) ... which could not expedite the process, but would on the contrary expedite the realization of deadlocks."

Diplomats had said they did not expect a major breakthrough because of Greek Cypriot elections in February and disputes on the peace talks agenda.

The United Nations said the two agreed to continue contacts and meet again if necessary.

"They agreed on the need for the earliest start of the process, and discussed other issues, leading to a comprehensive settlement," UN representative in Cyprus Michael Moeller said.

The conflict is a source of tension between NATO allies Greece and Turkey, which invaded the Mediterranean island in 1974 after a brief Greek inspired coup.

Turkey's EU entry hopes are complicated because Cyprus is already a member of the bloc, with veto rights over Ankara.

A July 2006 deal outlining a two-track process of discussions on confidence building, and tackling harder subjects related to the conflict itself was never carried through because of disputes over the agenda.

Papadopoulos led Greek Cypriot rejection of a U.N. power-sharing blueprint in 2004 which the Turkish Cypriots accepted. He is seeking re-election, and is slightly ahead of his two main contenders in opinion polls.

Cyprus is represented in the EU by its internationally recognized Greek Cypriot government, headed by Papadopoulos. Turkey supports a breakaway Turkish Cypriot state in north Cyprus headed by Talat.

(Additional reporting by Evren Mesci in Ankara)