Foreign Affairs Minister Peter MacKay expressed concerns about the route of Israel's security barrier Sunday as he continued his tour of the Middle East.

MacKay said he raised the issue with his Israeli counterpart Tzipi Livni.

"The barrier itself came about borne from concerns of protecting Israeli citizens. I understand that," MacKay said. "Where Canada has concerns, which I expressed today to foreign minister Livni, is over the route, the location, in some instances."

"And she has given me assurances the route, the borders are issues that have to be discussed in the broader context of peace negotiations."

Israel has defended the barrier, a 640-kilometre system of walls, fences and ditches, saying it's a security buffer against suicide bombers.

But Palestinians fear that the barrier, which cuts into the West Bank, is just a land grab.

MacKay also said he came to the region with the message that Canada has come to help and play the role of an honest broker for peace.

Many Palestinians have accused Canada of adopting a pro-Israeli bias over the past year.

Canada can be a 'bridge'

"We can be a bridge. We're not coming here with baggage, with hidden intent," MacKay said. "We're coming here with goodwill that I've expressed to both Palestinian people and Israeli colleagues and friends here."

Livni said she would like to see Canadian support for Israel's position on the controversial issue of the right of Palestinian refugees to return to the homes they lost as a result of the Arab/Israeli war.

Palestinian officials have insisted the right of return as a condition for peace. But Israel opposes the idea, fearing a Palestinian population influx would threaten Israel's Jewish identity as a state.

Livni said a "two-state solution", with Palestinians and Israelis living side-by side, means there can be no right of return of refugees to Israel, "which is the Jewish state out of these two states."

"This is the understanding when the world is using the terms of two-state solutions," Livni said.

Canada is on record as supporting the right of return or compensation for those who choose not to return.

MacKay wouldn't say directly whether Canada's position had changed, instead offering praise to Livni.

"Foreign minister Livni, I believe, is going to be the central actor in bringing about the type of change that will bring a lasting and secure peace to the region."

MacKay visited the Yad Vashem Holocaust Memorial in Jerusalem on Sunday and laid a wreath inside.

He also toured the Bethlehem area Sunday, touring a refugee camp and talking to residents.

"These are very difficult conditions people are living in. Clearly, very tragic conditions they're living in," MacKay told CBC News.

Earlier on his Mideast tour, MacKay met separately with Jordan's prime minister and Palestinian President Mahmoud Abbas.

With files from the Canadian Press