The meeting came as the two Koreas were united in outrage over Japan's suggestions of a theoretical pre-emptive strike on the North, with Pyongyang warning an attack would lead to the former colonial power's "destruction."

Opening ministerial talks, South Korea told the North in strong terms that it must not repeat its July 5 missile launches which sparked an international uproar, and should instead return to stalled six-way disarmament talks.

"We have made it very clear that the situation would get out of control if the North fires off more missiles," said Lee Kwan-Se, spokesman for the South Korean delegation to the talks in the southern port of Busan.

"We also urged the North to return to six-party talks at the earliest possible date in order to prevent an escalation of tension and to resolve the issue through dialogue," he said after the first full session.

South Korea's spy agency, National Intelligence Service, told parliament Wednesday that there were no signs of the North preparing the launch of a second long-range missile which could theoretically reach the United States.

South Korea has walked a fine line since North Korea launched the seven missiles, hoping to use its warming ties with its communist neighbour to apply pressure while lashing out at Japanese-led moves for sanctions.

The Busan talks, scheduled to run until early Friday, are the highest-level standing dialogue between the two Koreas initiated as part of the South's "sunshine policy" of reconciliation.

The talks had been in doubt until the last minute Tuesday as South Korea has made clear it will refuse to discuss the North's requests for further fertilizer and food aid.

The North Koreans, however, renewed their request for a half million tonnes of rice aid, Lee said. The South, the biggest donor to the impoverished state, has suspended humanitarian aid in response to the missile tests.

The North Koreans also demanded the South "stop all kinds of joint military exercises with foreign forces starting from next year in order to prevent a war and to maintain peace on the Korean peninsula," according to Lee.

North Korea has tried to drive a wedge between South Korea and its Western allies such as the United States, with whom Seoul holds exercises.

Kwon Ho-Ung, the North's chief cabinet councilor, at the start of talks here called for Korean solidarity in the spirit of the landmark June 2000 summit that aimed to reconcile the longtime adversaries.

"In the era of June 15, the North and South must join forces to protect our own nation. This is a lesson we have been taught by history," he said.

But Kwon's South Korean counterpart, Unification Minister Lee Jong-Seok, criticized the missile tests. At a dinner with Kwon on Tuesday, he said the launch had "caused instability in the region and damaged inter-Korean ties."

While South Korea is not on the Security Council, veto-wielding powers China and Russia have opposed the Japanese draft resolution on sanctions, which is backed by the United States and European powers.

Foreign Minister Ban Ki-Moon said South Korea opposed the Japanese draft resolution's reference to Chapter Seven of the UN Charter, which can authorize sanctions or even military action.

"Discretion is required (for the international community) to invoke the Chapter Seven, given negative impacts on the situation in the Korean peninsula and in the region," Ban said.

Both Koreas have also denounced in strong terms talk by Japanese officials of a theoretical pre-emptive strike against North Korea in case of an immediate threat. Japan stressed Wednesday there were no plans to strike North Korea.

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