Describing the almost hour-long meeting as "substantial" and "forward looking", foreign secretary Vijay Gokhale said both leaders made a very positive assessment of developments since they last met in the central city of Wuhan during April 28-29.
About the SCO summit, officials said India will pitch for evolving effective ways to deal with the growing challenge of terrorism and enhancing security cooperation among SCO countries.
The summit in this Chinese port city is taking place under the shadow of Washington's pull out from the Iran nuclear deal, its sanction regime against Russian Federation and frictions with China over the trade tariff dispute and diplomats said all these issues may figure at the summit as well as during deliberations on its sidelines.
"Further strengthening the positive momentum in the bilateral relationship generated at the Wuhan informal summit, Narendra Modi had a warm and forward-looking meeting with Chinese President Xi Jinping on the sidelines of the SCO summit", tweeted Ministry of External Affairs Spokesperson Raveesh Kumar.
The SCO is a permanent intergovernmental worldwide organisation that focuses on strengthening mutual trust and neighbourliness among the member states and promoting their effective cooperation in politics, trade, the economy, research, technology and culture, and making joint efforts to maintain and ensure peace, security and stability in the region.
"One of the important outcomes of today's meeting was that the Chinese side conveyed that they accepted (Modi's) invitation to President Xi Jinping to have a similar informal summit in India in 2019", he said.
The SCO leaders are also expected to review the situation in the Korean peninsula, Afghanistan and Syria. The leaders are also supposed to focus on the issues of global trade and counterterrorism.
The latter's meeting is supposed to focus on cooperation in various areas and prospects for the development of an economic corridor connecting the three countries.
The United Nations Food and Agriculture Organisation estimates that China will buy 6.4 million tonnes of rice in 2018, while India will export a total of 11.9 million tonnes.
The president also plans to hold bilateral meetings with the leaders of Uzbekistan, Tajikistan and Pakistan, and a tripartite meeting with the presidents of China and Mongolia.
However, there is no official word on whether there will be any interaction between Modi and Pakistan President Hussain, who is scheduled to attend the meeting in China.
China may, however, be hindered from gaining robust support for its project at this summit due to India, the only SCO member that does not endorse it, she noted.
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