This is indicative of a climbdown on Pawar's part after three days of intense haggling over the issue of chief ministership.

The NCP state unit chief Chagan Bhujbal told reporters that talks with Congress should cover a whole package including allocation of portfolios and heading of various corporations.

Pawar, who came back to Mumbai after a brief visit to New Delhi, said that the Congress should show a conciliatory gesture in the formation of a coalition government as it comprises various parties in the state. Pawar's statement has come in the wake of the Congress hardening its stand on not conceding NCP's demand for the chief ministership.

Pawar's statement assumes importance especially when rumour-mongering is in full swing in the state. The principal rumour is that Pawar would be sworn in on Wednesday as a minister in the Atal Behari Vajpayee government in return for the NCP's support to the Sena-BJP government led by the chief minister Narayan Rane.

Interestingly, the BJP, which is believed to have shown an eagerness in seeking cooperation from NCP, was insisting on NCP opposing Rane's chief ministership.

Bhujbal said that the post of chief minister, on which Congress was adamant, was not the only issue, whereas several larger issues needed to be discussed. He informed that NCP would resume talks with the Congress on Wednesday and added that the negotiations would be possible on seven issues including chief ministership, deputy chief ministership, speakership, sharing of key portfolios, chairman of corporations, representation in gram panchayats and by-elections also needed to be discussed extensively to facilitate formation of a secular government.

Notably, Sangma and former chief minister Sudhakar Naik have opposed any truck with the Congress and have instead opted for an alliance with the Sena-BJP for the formation of a government.

In a related development, Rane and Munde met here to finally end the reported confusion prevailing in ruling Sena-BJP alliance for last few days. Munde, leader of BJP legislature party, said that the question of holding talks with NCP on formation of government in the state did not arise as long as that party was engaged in negotiations with the Congress. Munde said the Shiv Sena-BJP alliance was currently busy with mustering support of 145 MLAs to claim majority.

The Sena youth leader Raj Thackeray also heaved a sigh of relief and said that the Maharashtra BJP has accepted the outgoing chief minister Narayan Rane as a joint leader of Shiv Sena-BJP legislature party. Raj, who came back here after meeting senior BJP leader LK Advani in the capital on Tuesday, said that the announcement of Rane's name by Shiv Sena chief Bal Thackeray was in keeping with the agreement that the chief minister would be chosen from the party which had greater number of seats in the assembly.Shiv Sena and BJP have won 69 and 56 seats respectively.

Asked about the possibility of the alliance having a tie-up with NCP, Raj said , "Any decision in this regard will be taken by the Shiv Sena Chief."

Smaller parties to form separate bloc

A group of 11 legislators of smaller parties in the newly-constituted Maharashtra assembly has decided to form a separate bloc and would discuss their future strategy at a meeting here, Samajwadi Party (SP) general secretary Amar Singh said in Mumbai. Singh told reporters that filmstar-turned-politician Raj Babbar would be the observer for the meeting.

The group of 11 MLAs comprise five of the Peasants and Workers Party, and two each from SP, Janata Dal (S) and CPM, he said, adding his party would be happy if Nationalist Congress Party, an ally of SP, and the Congress struck an alliance to form the next government in the state keeping the Shiv Sena-BJP out of power.

Singh said the Congress, being the largest party, should show magnanimity and offer the NCP chief ministership. "Petty political differences and fight for posts should not lead to the formation of Sena-BJP government in the state," he said.