Sharif had on Wednesday invited India to engage in a "comprehensive, sustained and result-oriented" dialogue with Pakistan to resolve the Kashmir issue.
"I invite India for a comprehensive, sustained and result-oriented" dialogue for the resolution of the Kashmir issue, Sharif had said while addressing a joint session of Pakistan-occupied Kashmir's assembly.
Noting that circumstances had led India to suspend dialogue with Pakistan, Khurshid said, "Circumstances must be befitting to be revived".
Though relations have improved "undoubtedly", there is still a lot of work to be done, he said.
"I believe my colleague Anand Sharma is going to Pakistan on trade talks. Let me see what happens," Khurshid said.