"Demolish all the walls which hinder the prosperity and progress of both the states," Sharif said.
He said Punjab on both the sides should learn from the countries of the European Union, who have buried past and now joined hands to usher progress in their respective countries despite the fact that there is not much common among them.
Sharif, who is currently on an India visit, said that on the contrary Punjabis have almost everything in common.
"So, the need of the hour is to identify the area of friendliness and peace to herald a new era of unprecedented development across the border," he said.
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"In the past, we have moved slowly towards this goal but it was the time to run so that an atmosphere of warmth and affection in the region could be created," he added.
A high level committee of officers and Vice Chancellors of Punjab Agricultural University (PAU) Ludhiana and Faisalabad besides Guru Angad Dev Veterinary Sciences University has been constituted by both the Chief Ministers to finalise the terms and conditions of the agreement.
Sharif, mooted the proposal of a protocol agreement during deliberations held at the PAU here to which Parkash Singh Badal responded positively.
Both governments agreed to encourage people-to-people contact as part of this protocol exercise besides cooperating with each other in agriculture, animal husbandry, agro processing and industrial and trade ventures.