On his first visit to the front, he addressed Pakistani troops seated cross-legged on the ground, just 6km away from the Line of Control that divides the disputed province.

Owen Bennett-Jones reports: "Pakistan is playing down fears of war"

Mr Sharif warned of "irreparable" losses to both countries if war broke out. But he also called on India to hold fresh talks.

"The fundamental issue of Kashmir (must) be resolved," Mr Sharif said.

His remarks came as a senior United States general met Pakistani officials to try to defuse the tension in the region.

(Click here to see a map of the area)

General Anthony Zinni, Commander-in-Chief of US Central Command, flew into Pakistan to hold talks with senior military officials. He was accompanied by Deputy Assistant Secretary of State Gibson Lanpher.

General Zinni met Pakistan military officials

The visit follows a controversial statement by US President Bill Clinton last week, in which he urged Pakistan to withdraw the Islamic militants fighting in Kashmir. Pakistan says it does not have the ability to carry out the request.

Islamabad Correspondent Owen Bennett-Jones travelled with Nawaz Sharif

Pakistan's news agency reported that the US delegation would be briefed on what it described as India's military escalation in the region.

But a report in Pakistan's Dawn newspaper quotes a US state department official as saying that General Zinni would put pressure on Pakistan to withdraw the infiltrators.

War of words

On Wednesday, Pakistan accused India of trying to push Pakistani troops back from the ceasefire line.

Pakistan's military spokesman, Brigadier Rashid Qureshi, said Indian forces have launched 11 attacks on Pakistani posts since early May.

But they had been unsuccessful, he said. Brigadier Qureshi also cast doubt on Indian claims that its troops had won victories over militants described by Delhi as infiltrators and by Islamabad as freedom fighters.

Brigadier Qureshi briefed journalists

The accusations from Islamabad followed a warning by India that its army was prepared to cross the Line of Control to cut off supply lines to the infiltrators.

Indian Chief of Army Staff General Ved Prakash Malik said: "We review the situation all the time and I believe that, if it becomes necessary to cross the Line of Control in the supreme national interest, the matter will be taken up in the cabinet."

India continued to attack enemy positions overnight and on Thursday. Heavy artillery bombardment and air strikes continued in the mountains near the towns of Kargil and Drass.