The Congress on Tuesday indicated forward movement in removing irritants in ties with the NCP which has threatened to pull out from the government soon if the issues raised by it were not resolved.
"We have always considered the NCP to be an important component of the UPA. They are also our allies in Maharashtra. In coalition politics, certain differences of opinion arise, but they are solved through dialogue and mutual understanding," Congress General Secretary Janardan Dwivedi told reporters.
Another senior leader, who declined to be identified, said that there was forward movement in talks with the NCP.
The leader downplayed the development in Mumbai where Maharashtra chief minister Prithviraj Chavan, who has been facing flak from the NCP, has come under friendly fire from Congress MLAs with over 40 of them writing to the state party chief voicing their grievances.
Chavan will be in New Delhi on Wednesday apparently for talks with central leaders.
Meanwhile, DMK leader TR Baalu had a meeting with NCP chief Sharad Pawar but sources suggested that it was not political in nature.