Nov. 23 (Bloomberg) -- Brazilian President Luiz Inacio Lula da Silva plunged into Middle East conflicts today, saying Iran has a “decisive role to play” in the region after a three-hour meeting with its president, Mahmoud Ahmadinejad.

With Ahmadinejad seated beside him in the Foreign Affairs Ministry in Brasilia, Lula said Iran can help heal divisions among Palestinians, as he expressed support for a “viable and dignified Palestinian state” to be established alongside a “secure and sovereign Israel.” Ahmadinejad has called for the destruction of Israel and questioned the Holocaust.

“I work for the building of peace in the world,” Lula said. “I defend peace in the Middle East. I defend the Palestinian state and that all may live in harmony.”

The visit by Ahmadinejad is showcasing Brazil’s push for a broader role in the world to match its growing economic clout and Lula’s drive for a permanent seat on the United Nations Security Council. Lula this month hosted Israeli President Shimon Peres and Palestinian Authority President Mahmoud Abbas.

“There is a need for a profound reform of the Security Council at the United Nations so that all continents are represented,” Lula said.

Enrich Uranium

Ahmadinejad said he backs Brazil’s bid for a seat on the council and added that the council’s members shouldn’t have the right to exercise a unilateral veto.

Lula also said he supports Iran’s right to enrich uranium for peaceful purposes, while saying any nuclear program must abide by international rules.

At a separate news conference, Ahmadinejad said that although Iran is able to enrich its own uranium, it would be willing to buy the fuel abroad. The session was disrupted by the president of a group representing gay, lesbian, bisexual and transgender people, who unfurled a rainbow flag.

Lula said earlier today on his weekly radio program that he plans to visit Israel, the Palestinian territories and Jordan in March. Ahmadinejad said he’d come to Iran on the same trip.

“It won’t work to leave Iran isolated,” Lula said. “If Iran is an important actor in this strife, it’s important for someone to sit with Iran, to talk with Iran.”

Lula reiterated that the UN should lead peace negotiations in the Middle East after saying last week that the U.S. is responsible for the crisis.

In his radio address, Lula said he’ll seek to stage a soccer game between Brazil’s national team and a joint Israel- Palestine team to help further the peace process.

“I’ve had a dream for the past three years, to organize a peace game in a neutral stadium, of a mixed team,” Lula said. “This would be an extraordinary achievement for Brazil and, above all, a very important sign for peace.”

To contact the reporter on this story: Andre Soliani Costa in Brasilia at asoliani@bloomberg.net

Last Updated: November 23, 2009 18:40 EST