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By Sushil Sharma
BBC News, Kathmandu
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The PM has said the government is ready to discuss key rebel demands
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Maoist rebels in Nepal have rejected a two-month deadline set by the government to begin peace talks.
The chairman of the Maoist Communist Party, Prachanda, said the rebels were keen to enter into talks but feared the government's move was a conspiracy.
The Maoist response came three days after Prime Minister Sher Bahadur Deuba gave a deadline of 13 January for the rebels to return to discussions.
The government says it will discuss all issues and ensure negotiators' safety.
In a statement, Prachanda said the government had not created a favourable atmosphere for negotiations.
Mediation call
He argued the government's deadline had further diminished the prospect of talks.
The rebel leader repeated the group's longstanding demand for credible international mediation - something the government has rejected in the past.
On Thursday, Mr Deuba appeared to suggest the government might be willing to discuss a key rebel demand for a constituent assembly to draw up a new constitution.
That demand was responsible for the collapse of the previous round of talks held over the past three years.
Mr Deuba also promised to lift the terrorist tag on the rebel negotiators and guarantee their safety.
The prime minister had also indicated that if the rebels ignored the deadline, the government would step up its security offensive and call elections for Parliament.
Violence in Nepal has increased since the talks between the Maoists and the government broke down last year.
Mr Deuba was appointed by Nepal's King Gyanendra in June with a twin mandate of restoring peace and holding national elections by April 2005.
Communist republic
But the Maoist rebels have been refusing to negotiate with the government, saying it does not have full executive powers.
They have insisted on direct talks with the king who, they say, holds control over the administration and the army.
The rebels have also been opposing parliamentary elections, which have remained suspended for two years for security reasons.
They first want elections for a constituent assembly to draw up a new constitution, believing it will pave the way for a communist republic.
The government has been defending the present constitution, however, which guarantees a constitutional monarchy in a multi-party democracy.
About 9,500 people have died since the Maoist insurrection began in 1996.