uppili11 - sorry, it's me again.
Firstly can I recommend two text books on brushless DC:
D Hanselman "Brushless Permanent-Magnet Design"
and
JR Hendershot, TJE Miller "Design of Brushless Permanent-magnet Motors"
I don't think the type of magnet material will have a very strong influence on cogging torque, except of course that high energy rare-earth types may appear worse simply because they have higher flux.
Hanselman describes the following 5 techniques on cogging torque reduction:
1. Make the tooth tips thick enough so they don't saturate.
2. Use a fractional pitch winding (ie number of slots per magnet pole per phase should not be an integer)
3. Increase the airgap (though to compensate the magnet volume must be increased to maintain flux constant)
4. Skew the stator slots
5. Shape the rotor magnets - make them thinner near the pole transitions.
Of course the ultimate method to eliminate cogging torque is to go slotless i.e. and airgap winding.