<p>Azerbaijan said Wednesday it had agreed with Iran to resolve a diplomatic crisis through dialogue weeks after ties soured over allegations Israel's military was active in Azerbaijan.</p>.<p>Iran last month protested against what it said was the presence of its sworn enemy Israel in Azerbaijan and vowed to take any necessary action.</p>.<p>It staged military exercises near its border with Azerbaijan, sparking criticism from officials in Baku, which has denied Iranian claims.</p>.<p>Azerbaijan said Wednesday its Foreign Minister Jeyhun Bayramov had spoken by phone with Iranian counterpart Hossein Amir-Abdollahian and the pair had agreed to resolve differences through dialogue.</p>.<p>"The sides noted that recent rhetoric has harmed bilateral relations and that any differences should be settled through dialogue," Azerbaijan's foreign ministry said in a statement.</p>.<p>Israel is a major arms supplier to Azerbaijan, which late last year won a six-week war with neighbour Armenia for control over the disputed Nagorno-Karabakh region.</p>.<p>Azerbaijan and Iran have long been at loggerheads over Tehran's backing of Armenia in the decades-long Karabakh conflict.</p>.<p>Last year's brief war ended with a Russian-brokered ceasefire that saw Yerevan cede swathes of contested territories, including a section of Azerbaijan's 700-kilometre (430-mile) border with Iran which for decades had been under Armenian control.</p>.<p>Azerbaijan's decision to impose customs duty on Iranian truck drivers transiting to Armenia through that territory also fuelled tensions.</p>.<p>The statement Wednesday from Azerbaijan's foreign ministry said the two sides had agreed it was "necessary to establish direct dialogue between government agencies of both countries on transit issues."</p>.<p>Tehran has long been wary of separatist sentiments among ethnic Azerbaijanis, who make up around 10 million of Iran's 83 million people.</p>.<p><strong>Check out DH's latest videos:</strong></p>
<p>Azerbaijan said Wednesday it had agreed with Iran to resolve a diplomatic crisis through dialogue weeks after ties soured over allegations Israel's military was active in Azerbaijan.</p>.<p>Iran last month protested against what it said was the presence of its sworn enemy Israel in Azerbaijan and vowed to take any necessary action.</p>.<p>It staged military exercises near its border with Azerbaijan, sparking criticism from officials in Baku, which has denied Iranian claims.</p>.<p>Azerbaijan said Wednesday its Foreign Minister Jeyhun Bayramov had spoken by phone with Iranian counterpart Hossein Amir-Abdollahian and the pair had agreed to resolve differences through dialogue.</p>.<p>"The sides noted that recent rhetoric has harmed bilateral relations and that any differences should be settled through dialogue," Azerbaijan's foreign ministry said in a statement.</p>.<p>Israel is a major arms supplier to Azerbaijan, which late last year won a six-week war with neighbour Armenia for control over the disputed Nagorno-Karabakh region.</p>.<p>Azerbaijan and Iran have long been at loggerheads over Tehran's backing of Armenia in the decades-long Karabakh conflict.</p>.<p>Last year's brief war ended with a Russian-brokered ceasefire that saw Yerevan cede swathes of contested territories, including a section of Azerbaijan's 700-kilometre (430-mile) border with Iran which for decades had been under Armenian control.</p>.<p>Azerbaijan's decision to impose customs duty on Iranian truck drivers transiting to Armenia through that territory also fuelled tensions.</p>.<p>The statement Wednesday from Azerbaijan's foreign ministry said the two sides had agreed it was "necessary to establish direct dialogue between government agencies of both countries on transit issues."</p>.<p>Tehran has long been wary of separatist sentiments among ethnic Azerbaijanis, who make up around 10 million of Iran's 83 million people.</p>.<p><strong>Check out DH's latest videos:</strong></p>