The war between Russia and Georgia in South Ossetia sparked rampant looting in villages in the conflict zone, a European human rights envoy said on Friday, and he urged both sides to pay attention to humanitarian needs.

Russia recognised Georgia's rebel regions as independent states this week after repelling a Georgian attack on pro-Moscow South Ossetia on August 8 and sending forces deep into Georgia.

The fighting displaced thousands of civilians, with ethnic Ossetians fleeing to Russia and ethnic Georgians fleeing from South Ossetia.

Thomas Hammarberg, the Council of Europe's Human Rights Commissioner, said after a visit to South Ossetia and Georgia proper that the recognition of South Ossetia was "complicating humanitarian efforts and the (refugees') right to return".

"Have political moves disturbed human rights efforts? The answer is 'yes'. I felt throughout the mission that human rights issues have been secondary to other considerations," he told a news conference in Moscow.

He said that authorities must calm conditions on the ground so people in hiding and those who fled their homes would feel safe returning.

Hammarberg, who will report on his findings and make recommendations to the governments of Russia and Georgia, said widespread looting remained a significant problem.

"There is what I call a policing vacuum, not least around Tskhinvali and Gori, which makes it possible for thugs to roam the streets and use this disruption for bad purposes," he said.

Tskhinvali, South Ossetia's capital, was badly damaged by Georgian bombardment and fierce street fights which followed, leading to an exodus of its civilian population.

There was also a stream of refugees from the nearby Georgian town of Gori which was briefly captured by Russian forces.

"There are refugees and displaced people on both sides in the tens of thousands," Hammarberg said. "My main mission is for all displaced people to have the right to return to where they lived before the conflict."

Nobody really knew how many people had died in the conflict as many were still posted as missing, Hammarberg said.

Hammarberg, who helped broker the handover of 89 prisoners by South Ossetian and Georgian authorities earlier this week, said the fact that his intervention was required showed the complete lack of mutual trust that had to be addressed.