European Union leaders reassured candidate countries Saturday they are "determined" to conclude membership talks by a December deadline despite fears a fight over farm spending could derail the historic expansion into the former communist east.

The 15 leaders said they would have to resolve key financial issues over payouts to farmers and poor regions in the new members by November in order to meet the deadline.

"If the present rate of progress in negotiations and reforms is maintained, the EU is determined to conclude negotiations ... by the end of 2002," the leaders said in a statement drafted on the final day of the two-day meeting.

Fears that internal fighting over how to extend the EU's 80 billion euro (dlrs 77.6 billion) annual farm and regional aid budgets to the new members could delay expansion have grown in recent months among the 10 leading candidates.

"We can stick to the timetable ... there is no delay," said Denmark's Prime Minister Anders Foch Rasmussen, whose country assumes the EU presidency in July and will be responsible for wrapping up the talks.

The EU head office has proposed spending 40 billion euros (dlrs 38.8 billion) on farmers and poor regions in the new member countries from 2004 to 2006.

Poland, Hungary, the Czech Republic, Slovakia, Slovenia, Latvia, Lithuania, Estonia, Malta and Cyprus are hoping to conclude negotiations by the end of this year and become full members in 2004.

The EU leaders planned to meet on Saturday with their counterparts from the 10 countries, plus Romania and Bulgaria, whose bid for membership is lagging behind, and Turkey, which wants to join but has yet to start negotiations.

Spain raised the possibility of offering Turkey a date to open membership talks, but other EU nations are wary because of its human rights record, weak economy and disputes with Greece.

The leaders delayed the resumption of the summit for an hour to allow delegates to watch telecasts of Spain playing South Korea in a World Cup quarterfinal.

Leaders also pledged to get tough on illegal immigration and drew up a series of measures, including help for poor nations to stop migrants from leaving, beefed up border controls and preparations for common rules on handling asylum seekers.

EU leaders said action was necessary in the wake of election successes by anti-immigrant parties, most recently in France, Denmark and the Netherlands.

EU leaders decided they would seek to reward nations that curb the movement of illegals to Europe and would only revert to sanctions as a last resort against those countries that refuse to cooperate.

The leaders also issued a declaration on the Middle East, calling for the early convening of an international peace conference.

"A settlement can be achieved through negotiation, and only through negotiation," they said.

On the Kashmir crisis, the EU called on Pakistan to stop the movement of Islamic militants into the disputed territory, and to close their training camps. It also called on India to respond to Pakistan by agreeing to hold talks.