BANGKOK - Thailand's premier said Wednesday the situation has returned to normal after fighting broke out on the border and insisted Thai troops did not start the deadly firefight.

Prime Minister Somchai Wongsawat said fighting in disputed patches of land near the ancient Preah Vihear temple was "small scale".

He confirmed that the clashes had subsided by late afternoon.

"We are not the ones who ignited the violence," Somchai told reporters.

"The situation has returned to normal now and this evening the foreign ministry will hand over an aide memoir to a Cambodian diplomat," he said.

"It is not serious and I am convinced there will be resolution," he added.

Cambodian army officials have insisted that Thai troops fired first after they strayed into Cambodian territory.

But Thailand says its was the Cambodians who shot first, echoing accusations made after an armed clash earlier this month near the temple.

Tensions between the neighbours flared this week after talks on Monday failed to cool a months-long stand off over disputed border land.