Beat butter and sifted icing sugar in small bowl with electric mixer until light and fluffy; transfer to large bowl.

Stir sifted flours into butter mixture, in two batches. Knead dough on floured surface until smooth. Divide dough in half; roll each half into 20cm log. Cover with plastic wrap; refrigerate about 45 minutes or until firm.

To remove the pomegranate seeds, cut in half crossways. Hold one half over a bowl, firmly tap on the skin with a wooden spoon or rolling pin, the seeds should fall out into the bowl.

Combine seeds and caster sugar in small saucepan. Blend cornflour with the water in small bowl; add to sugar mixture. Cook, stirring, 2 minutes or until mixture boils and thickens. Cool to room temperature.

Preheat oven to 180°C (160°C fan-forced). Grease oven trays.

Cut logs into 1cm slices; place 2cm apart on oven trays. Using thumb, make a slight indent, about the size of a 10 cent piece, in top of each cookie. Spoon 1 rounded teaspoon of the pomegranate mixture into each indent. Bake cookies about 12 minutes; cool on trays.