U.S. President George W. Bush, in a speech opening the Annapolis conference on the Middle East here on Tuesday, said Israelis and Palestinians reach an agreement to launch immediate, bilateral talks aimed at reaching a comprehensive peace deal by the end of 2008.

Reading the joint statement by the Israelis and Palestinians, Bush said the two sides agree "to engage in vigorous, ongoing and continuous negotiations and shall make every effort to conclude an agreement before the end of 2008."

Bush also dismissed suggestion that this is not the right time to re-launch the Middle East talks.

"I believe that now is precisely the right time to begin these negotiations," Bush said.

However, the path of the talks will be difficult, Bush said.

"The task begun here at Annapolis will be difficult. This is the beginning of the process, not the end of it, and much work remains to be done," Bush added.

Bush urged Israel and Palestine to fulfill their commitment under the "Roadmap" plan drafted by the Quartet, or the United States, the United Nations, the European Union and Russia, in 2003.

For the Palestinian leaders, they "will create opportunity for all its citizens and govern justly and dismantle the infrastructure of terror," Bush said, adding that Israeli leaders must "show the world that they are ready to begin to bring an end to the occupation that began in 1967, through a negotiated settlement."

"Israel must demonstrate its support for the creation of a prosperous and successful Palestinian state by removing unauthorized outposts, ending settlement expansion, and finding other ways for the Palestinian Authority to exercise it's responsibilities without compromising Israel's security," Bush said.

For the United States, "America will do everything in our power to support their quest for peace, but we cannot achieve it for them. The success of these efforts will require that all parties show patience and flexibility and meet their responsibilities," Bush said.

Nearly 50 countries and international organizations attended the Annapolis conference, the first such conference since the Bush administration took office in seven years.

Editor: Donald