Iranian negotiators on Thursday rejected proposals by six world powers to curb Tehran's nuclear program, and demanded answers to their own counteroffer meant to alleviate concerns about Iran's ability to build atomic weapons, according to AP. The stance underscored the difficulties facing the nuclear talks as both sides stake out their terms and agendas for a second day in the Iraqi capital. Still, the negotiations did not appear in danger of collapse as envoys convened again in Baghdad. The talks were expected to wrap up later Thursday. Saeed Jalili, Iran's top nuclear negotiator, demanded an overhaul to the plan put forward by the world powers after the Baghdad talks began Wednesday. An Iranian diplomat involved in the discussions said the package falls far short of a compromise. Iran went into the talks seeking that the West scale back on its sanctions, which have targeted Iran's critical oil exports and have effectively blackballed the country from international banking networks. Jalili conveyed his concerns in a private meeting Thursday with the European Union's foreign policy chief Catherine Ashton, who is formally leading the talks. At the heart of the issue are two different proposals. On one side is an incentive package by the six-nation group - the United States, Russia, China, Britain, France and Germany - that seeks to halt the most sensitive part of Iran's nuclear fuel production. Iran, in turn, wants the U.S. and Europe to ease harsh economic sanctions on its oil exports in return for pledges to give wider access for U.N. inspectors and other concessions. The West and allies fear Iran's nuclear program could eventually produce atomic weapons. Iran insists its reactors are only for energy and research.