BERLIN, Jan 21 - Diplomatic progress was made during four-way talks on the Ukraine crisis and an agreement was reached on establishing security zones between pro-Russian fighters and Kiev's forces, German Foreign Minister Frank-Walter Steinmeier said.

"Finally there was an agreement reached today that the demarcation line, mentioned in the Minsk protocol, will be the line from which the withdrawal of heavy weaponry should start now," Steinmeier said late on Wednesday after talks with his counterparts from France, Russia and Ukraine, Reuters reported.