Bhutan will build the Gelephu Smart City Project in the Gelephu Special Administrative Region to facilitate more foreign investment for the country.

Mr. Tipu Munshi, Commerce Minister of the Government of Bangladesh, invited Bhutan to build an economic zone in Bangladesh to boost the trade relationship between the two countries. He also encouraged businesses from Bangladesh and Bhutan to lead the trade expansion by establishing strong relationships with each other to reap the benefits of their preferential trade and transit agreements.

Construction of the mega dry port at Pasakha, Phuentsholing, is on track, amid challenges faced during the COVID-19 pandemic. Work on the dry port began in 2020 and has achieved almost 45% completion. The aim is to complete the dry port by mid-2026.

The Government of Bhutan has approved the country’s accession to the World Trade Organization (WTO) on 28 April 2023. By joining the WTO, Bhutan will be able to take advantage of benefits, including special and differential treatment provisions for countries newly graduated from least developed country (LDC) status. Bhutan is set to graduate from LDC status in December 2023.

The Government of India is constructing an Integrated Checkpost (ICP) at Alay, Pasakha, Bhutan, to ease the movement of goods and people between Bhutan and India. Located between the busy trading points of Jaigaon, India, and Phuentsholing, Bhutan, the ICP aims to promote further trade between the two countries.

The Governments of Bangladesh and Bhutan signed the "Agreement on the Movement of Traffic-in-Transit and Protocol" on 22 March 2023 in Thimphu, Bhutan. This will open multimodal transit facilities to landlocked Bhutan, providing them access to Mongla, Payra, and Chattogram ports of Bangladesh for the movement of their imported and export-oriented goods.

Two new formal trade points between Bhutan and India have been approved—in Bhutan's Lhamoidzingkha, Dagana, and in Chhuchungsa, Samtse. These would be operational after their official inauguration. Bhutan also recently inaugurated a new north-south road corridor with links to Lhamoizingkha.

The 8th Commerce Secretary Level Meeting (CSLM) between Bangladesh and Bhutan endorsed the Agreement on Movement of Traffic-in-Transit and its Protocol for signing; the renewal of the memorandum of understanding on the use of inland waterways; and the signing of the amended Standard Operating Procedure (SoP) with regard to the MoU on the use of inland waterways.

The potential of the Siliguri corridor and its surroundings to be developed as a logistics hub for India’s northeastern region, and Bangladesh, Bhutan, and Nepal, was emphasized by the CII at Logi Connect 2022. Developing Siliguri as a logistic hub would facilitate movement of goods to other states of India and its neighboring countries.

The Governments of Bhutan and India agreed to open seven more entry and exit points to further increase trade and connectivity. The two countries formalized the agreement through Letters of Exchange, forming an addendum to the 2016 Protocol of India-Bhutan Agreement on Trade, Commerce, and Transit.

Bhutan’s Houses of Parliament, the National Council (Upper House) and the National Assembly (Lower House), have passed the Customs Bill 2021.

A webinar organized by CUTS International on 30 October 2020 deliberated the findings of the project, ‘Gender Dimensions of Trade Facilitation in the Bangladesh, Bhutan, India and Nepal (BBIN) Subregion.’ The work undertaken by CUTS reveals that the absence of gender responsive trade facilitation measures helps exacerbate gender inequality.

The Government of India has opened an additional Land Customs station at Ahlay, Pasakha, in response to a request from the Government of Bhutan. The temporary alternate trade route hopes to decongest vehicular traffic along the Jaigaon-Phuentsholing route, and boost bilateral trade and commerce between the two nations.

The 9th Annual Ministerial Meeting of Landlocked Developing Countries (LLDCs) on Trade and Transport was held to discussed key issues in transport, transit cooperation, trade, and trade facilitation among LLDCs. Bhutan and Nepal sent delegations to the Meeting. They highlighted initiatives being taken to connect their countries to the global market, including bilateral agreements in the Bangladesh-Bhutan-India-Nepal subregion and the SASEC Trade Facilitation Program.

Nepal has decided to join the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) grid interconnection, a move meant to help facilitate trade in electricity and take full advantage of available energy sources. Nepal is expected to sign an MOU to join the grid interconnection at the Third BIMSTEC Energy Ministers' Meeting.

Mr. Prabir De, Professor at the Research and Information System for Developing Countries, discusses how the Bangladesh-Bhutan-India-Nepal (BBIN) subregional grouping’s focus to bridge connectivity gaps is crucial to reducing poverty in the region. He highlights the pressing need to begin implementing comprehensive trade facilitation and connectivity measures in the BBIN subregion, and remarks how success of the BBIN initiative is important to move broader regional integration initiative

Bangladesh has the potential to become a transport hub for India, Bhutan, Nepal, Maldives, Sri Lanka, and Myamar, according to Mr. AMA Muhith, Finance Minister, Bangladesh. Turning Bangladesh into a regional and transshipment hub would enhance economic cooperation and result in collective economic growth for the countries, Mr. Muhith said at the SASEC Finance Ministers’ Meeting in New Delhi, India.

A railway network linking India and its neighboring countries, Bangladesh, Bhutan, Myanmar, and Nepal, is being considered by the Government of India, according to India Railway Minister Suresh Prabhu. Developing railway connectivity will increase employment, interaction, trade, and tourism.

The interactive session “Harnessing Regional Cooperation in South Asia” held at the Annual Meeting of the World Economic Forum discussed how regional economic cooperation is helping accelerate growth and development. Bangladesh Prime Minister Sheikh Hasina emphasized continuous initiatives, in economic cooperation in South Asia, including SAFTA and SASEC. India Minister of State for Commerce and Industry Nirmala Sitharaman lauded initiatives to boost connectivity.

India is set to join the Transports Internationaux Routiers (TIR), or International Road Transport Convention in its bid to establish seamless trade connectivity with Southeast Asia and Eurasian countries. Through the TIR Convention, India could access Eurasia via the International North-South Transport Corridor. TIR would also give India an advantage in trade with fellow signatories of the Bangladesh, Bhutan, India, Nepal (BBIN) Motor Vehicles Agreement.

The Second India-Bhutan Joint Working Group on Customs highlighted the possibility of facilitating bilateral trade in select land Customs stations along Bhutan-India borders; and discussed streamlining Customs procedures and document requirements at entry and exit points. It also agreed to open three more trading points between Bhutan and India, and discussed issues including development of Goods and Service Tax in India.

The Directorate of Revenue Intelligence under the Central Board of Excise and Customs organized the 4th Regional Customs Enforcement Meeting in New Delhi, India, as part of its Founding Day celebrations. The Heads of Customs Enforcement from Sri Lanka, Myanmar, Bangladesh, Nepal, Bhutan, Mauritius and Maldives were invited to participate in the said Meeting, which discussed issues of mutual concern, noted the need to share information and activate channels of coordination.

The SASEC project portfolio has surpassed the $9 billion mark with the December 2016 approval of Nepal’s SASEC Roads Improvement Project, worth $256.5 million. There are now 44 SASEC investment projects worth a cumulative $9.13 billion. During 2016, seven projects have been approved for a total of $2.37 billion.

The new India-Bhutan Trade, Commerce and Transit Agreement was signed on 12 November 2016 in Thimphu, Bhutan. The bilateral Agreement focuses on promoting trade between the two countries through trade facilitation, improving trade procedures, and adding exit and entry points to facilitate Bhutan's third-country trade.

EPing, an online alert system for updates on the latest information on regulatory requirements for international trade, was launched by the United Nations Department of Economic and Social Affairs, the World Trade Organization, and the International Trade Centre. The system enables access to WTO member notifications on TBT and SPS measures, and facilitates dialogue among the public and private sector in the early stages of potential trade issues.

A new Agreement on Trade, Commerce, and Transit between India and Bhutan, enabling a free trade regime between the two countries, and providing for duty-free transit of Bhutanese merchandise for trade with third countries, has been approved by the Cabinet of India, in a meeting chaired by India Prime Minister Narendra Modi.

In recent years, countries in South Asia have shown increasing commitment to deepening regional cooperation through bilateral agreements and regional initiatives, including the Bangladesh-Bhutan-India-Nepal Motor Vehicles Agreement. This commentary by Ms. Nahela Nowshin of the Centre for Policy Dialogue discusses the importance of regional initiatives in South Asia, as well as the need to promote dialogue on matters of regional cooperation and connectivity.

The Asian Development Bank is helping countries in the SASEC subregion harmonize two technical non-tariff measures, Sanitary and Phytosanitary (SPS) Measures and Technical Barriers to Trade (TBT), to enhance intraregional trade. Under this initiative, a national diagnostic study on SPS and TBT will be conducted in the six SASEC member countries, to be led by core committees formed by the six governments, in consultation with trade experts.

A new chapter in trade relations and people-to-people contact between Bangladesh, Bhutan, India, and Nepal (BBIN) began on 5 September 2016, as a Bangladeshi cargo truck rolled into the Customs Inland Container Depot, Patparganj, Delhi. Though the vehicle entered India through Petrapole Land Customs Station, Customs clearance was done at the ICD, Patparganj, as part of a trial run of the BBIN Motor Vehicles Agreement.

Finance Ministers from the eight South Asian Association for Regional Cooperation (SAARC) member states are pushing for the formation of a South Asian Economic Union (SAEU) to ensure larger inflow of investments, higher trade volumes, and energy generation. The ministers highlighted the need to fast-track the formation of the SAEU to help boost the inflow of investments and trade volumes.

The Bangladesh-Bhutan-India-Nepal (BBIN) Motor Vehicles Agreement (MVA) is set to boost infrastructure development in the BBIN subregion. Bangladesh will see significant increase in cargo movement, enabling India to access its Northeast region, and helping facilitate third-country trade of landlocked Bhutan and Nepal. However, major investments in infrastructure are needed to maximize Bangladesh’s potential to become a transport and transshipment hub.

South Asia Subregional Economic Cooperation (SASEC) investment projects increased to a cumulative $7.66 billion in the areas of transport, energy, trade facilitation, and ICT with the recent approval of India’s Bihar New Ganga Bridge Project. To date, 40 SASEC-supported projects are helping member countries strengthen regional connectivity infrastructure, promote economic growth, and foster regional cooperation. In addition, there are now 71 technical assistance projects worth $66.14 mi

Implementation of the Bangladesh, Bhutan, India and Nepal (BBIN) Motor Vehicle Agreement (MVA) may start in December, according to Bangladesh Road Transport and Bridges Minister Obaidul Quader, while speaking at a closing ceremony of a drivers' training on road safety.

Bangladesh, Bhutan, India and Nepal (BBIN) signed a landmark Motor Vehicles Agreement (MVA) meant to allow smooth passage of goods and passenger vehicles in each other’s territories. In this blog post, Sanjay Kathuria, Lead Economist and Coordinator, South Asia Regional Integration, Trade and Competitiveness Global Practice, World Bank, asks if South Asia is truly ready for such a regional agreement.

Mr. Hun Kim, Director General, South Asia Department, ADB, describes how partnership of 6 South Asian countries through the ADB-supported South Asia Subregional Economic Cooperation (SASEC) Program is helping propel economic growth in South Asia, amidst an uncertain regional and global economic climate, by working to increase trade volumes to reduce the number of impoverished people in the region.

The interactive SASEC Corridor Map on the SASEC Program website and SASEC Mobile App is your gateway to SASEC projects. View projects by sector—energy, transport, trade facilitation, and ICT—or by corridor using the interactive map, to learn how the SASEC program is helping promote regional prosperity in South Asia. The map also includes project information and links to SASEC project pages.

Meetings between Customs officials from SASEC member countries reaps benefits for the SASEC subregion and beyond, providing a platform for officers to decide the next steps in improving cross-border coordination and cooperation to resolve bottlenecks for trade at the borders. An Asian Development Bank (ADB) blog post by Ms. Rose McKenzie, Senior Regional Cooperation Specialist, Regional Cooperation and Operations Coordination, South Asia Regional Department, ADB, is shared.

Bhutan's National Assembly ratified the Bangladesh-Bhutan-India-Nepal Motor Vehicle Agreement (BBIN MVA) on 21 June 2016 with 28 votes. Bhutan Prime Minister Tshering Tobgay reiterated that the BBIN MVA would regulate cross-border movement of vehicles in the subregion through formulation of protocols. Implementation of the BBIN MVA will help strengthen Bhutan's existing ties with India, and boost cooperation and integration within the subregion.

The Bangladesh-Bhutan-India-Nepal (BBIN) Motor Vehicles Agreement is a landmark framework agreement signed by the transport ministers of the BBIN countries last June 2015 in Thimphu, Bhutan. Mr. Ronald Butiong, Director, Regional Cooperation and Operations Coordination, South Asia Regional Department, Asian Development Bank (ADB), describes how it is paving the way for a more integrated and more prosperous South Asian region in an ADB blog entry.

Bhutan, Nepal, and Sri Lanka have expressed interest in adopting best practices of the Indian Trade Portal in setting up their own trade portals to promote international trade. Trade portals to be set up by Bhutan and Nepal will also be useful for cargo being routed through India, and will contribute to the common documentation system needed to implement the World Trade Organization's Trade Facilitation Agreement.

The Bhutan Standards Bureau received accreditation from the National Accreditation Board for Certification Bodies, India to certify three products, including grade 43 ordinary Portland cement, bitumen emulsion, and thermomechanically treated reinforcement bars, for export. This reduces technical barriers to trade, facilitating free movement for these three types of products across Bhutanese borders.

A workshop on harmonizing standards in the South Asian Association for Regional Cooperation (SAARC) region was held by the South Asian Regional Standards Organization (SARSO) in Bhutan. Mr. Tashi Wangchuk, Deputy Director, SARSO, emphasized the importance of Bhutan Standards Bureau's technical committees participating in SARSO's Sectoral Technical Committees.

A World Customs Organization (WCO) Subregional Workshop on Transit Corridors in South Asia considered improvement of regional transit regimes in the region. Progress of the Bangladesh, Bhutan, India and Nepal (BBIN) Motor Vehicle Agreement, as well as national experiences of Japan, Switzerland and Malawi in implementing efficient transit regimes, was discussed.

Dr. Selim Reihan notes that drivers of political economy can impact the region's integration agenda. In this essay, Dr. Raihan highlights the importance of exploring the political economy of regional integration to generate a better assessment of the factors driving and constraining regional integration, and create broader awareness among stakeholders to stimulate a more realistic and effective regional policy design and processes.

Bhutan's Department of Revenue and Customs observed the International Customs Day at the Regional Revenue and Customs Office, Samtse. Customs officials with outstanding contribution to the organization were awarded World Customs Organization Merit Certificates. Senior officials from the Ministry of Finance, border enforcement agencies and cross-border Customs officials from neighbouring towns of India joined the celebration.

The third meeting of the Joint Working Group on Subregional Cooperation between Bangladesh, Bhutan, India and Nepal (BBIN) on Connectivity and Transit and Water Resources Management and Power/Hydropower deliberated new initiatives for deepening cooperation. Discussion centered around progress made under the BBIN Motor Vehicle Agreement and the proposed BBIN Rail Agreement.

South Asia is set to play a strategic role in Asian integration. This commentary by Mr. Ganeshan Wignaraja, Advisor in the Asian Development Bank’s Economic Research and Regional Cooperation Department, shares how linking emerging South Asia with the more developed member countries of the Association of South East Asian Nations will transform regional economies through development of regional connectivity, and create a huge regional market of 2-3 billion people.

A 2-day meeting between Bangladesh and Bhutan headed by Commerce Secretaries discussed several bilateral concerns, including increasing products on the duty-free import/export list of both countries, potential hydropower imports from Bhutan to Bangladesh, Customs cooperation, and road and water transport agreement.

The exchange of export-related data between designated adjacent border crossing points in the SASEC subregion commenced on 30 November 2015. This SASEC Customs Subgroup Subregional Project promotes the exchange of documents at five major border-crossing points between Bangladesh, Bhutan, India and Nepal, to promote future electronic exchange of data and build a better risk profile of traders.

Accession to the World Trade Organization (WTO) was discussed during a workshop on Bhutan's graduation from least developed country (LDC) status, held on 17-18 November 2015. The Workshop clarified how membership to the WTO will benefit Bhutan, including enjoying the benefits of a multilateral trading system with WTO member countries, and discussed wider implications of WTO membership.

Bhutan Finance Minister Namgay Dorji presented the Customs Bill 2015 at the country's National Assembly on 5 November. The Bill aims to modernize Bhutan's Customs administration and was drafted in accordance with standards of the Revised Kyoto Convention. Aligning Bhutan with international standards and practices will lead to economic and non-economic gains, such as increased transparency and predictability of Customs actions, as well as added revenue.

West Bengal Chief Minister Mamata Banerjee encouraged private sector delegates to explore a business corridor concept for tourism, small industries and joint venture projects at an India-Bhutan Business Conclave, held in Bhutan. Making West Bengal a gateway to the North East will open up further business opportunities for Bhutan.

Bhutan Prime Minister Tshering Tobgay promotedpartnerships as a way to help landlocked developing countries (LLDCs) become land-linked to global opportunities, saying it is possible to ensure a country is not landlocked economically with its neighbors' full trust and confidence. The Prime Minister was attending a high-level forum for landlocked developing countries on the sidelines of the UN General Assembly.

A Meeting of the Joint Group of Customs of Bangladesh and Bhutan held in Thimphu, Bhutan on 26-27 July agreed to share export-import data from Phuentsholing and Burimari Customs stations. The Meeting also decided to consider opening Bangladesh's Chilmari and Roumari river routes to increase access between the two countries.

Customs officials from Bangladesh and Bhutan met on 27 July 2015 in Thimphu, Bhutan to discuss removal of barriers that restrict bilateral trade, and the sharing of import and export data between the two countries. As important trading partners, Bangladesh and Bhutan are working to resolve non-tariff barriers to enhance trade efficiency and boost the exchange of goods.

Construction to improve Pasakha Access Road in Phuentsholing, Bhutan will start in September, said officials from Bhutan's Department of Roads, Ministry of Works and Human Settlement. This road section—a key output of the SASEC Road Connectivity Project in Bhutan—will access a bypass road from Bibarey near Manglabarey, providing trucks and other vehicles an alternate route to industrial sites in Pasakha. Once constructed, it is expected to decongest traffic in Bhutan's Phuentsholing and India

Asian Development Bank Vice President Wencai Zhang reaffirmed ADB’s continuous commitment to Bhutan highway projects and the development of the country's wider road sector in discussions with Bhutan Prime Minister Tshering Tobgay and Finance Minister and ADB Governor Namgay Dorji focusing on current and future ADB operations in Bhutan during his visit to Thimphu on 15 June. Improvements in Bhutan's infrastructure will help improve and diversify the economy.

The Better Business Council High-Level Workshop on Improving National Competitiveness was held in Thimphu, Bhutan on 23 March 2015, providing a platform for Bhutan to learn from the experience of the Republic of Georgia and the Republic of Korea (ROK) how to improve their national business climate and international trade.

Works to improve road connectivity and facilitate trade between Bhutan and India are set to begin soon along the Phuentsholing-Jaigaon border. An Asian Development Bank-financed project under the South Asia Subregional Economic Cooperation (SASEC) program will construct a bypass road from Jaigaon, India to Pasakha in Bhutan and include a mini-dry port in Phuentsholing. A land customs station will also be constructed in Pasakha to monitor the bypass road.

Bhutanese trucks carrying import/export cargo are now able to enter Bangladesh via India, according to Bangladesh Commerce Minister Tofail Ahmed during a visit to Bhutanese Prime Minister Tshering Tobgay on 7 December 2014. The new agreement will allow trucks to carry products directly from Bangladesh for import to Bhutan.

In follow-up to the limited pilot run of United Nations Economic and Social Commission for Asia and the Pacific's Secure Cross-border Transport Model, officials from India and Bhutan Customs administrations participated in trial runs of 80 vehicles along the Kolkata-Jaigon-Phuentsholing transit corridor between Bhutan and India on 1—5 September 2014.

Mr. Nim Dorji, Joint Secretary, Ministry of Finance represented the Royal Government of Bhutan at the official launch of activities under a $1.5 million technical assistance project financed by the Japan Fund for Poverty Reduction (JFPR). The capacity development technical assistance will support trade facilitation initiatives carried out under the South Asia Subregional Economic Cooperation (SASEC) Trade Facilitation Program.

ADB is providing $48 million to help goods move more smoothly in and out of Bangladesh Bhutan and Nepal.

ADB's South Asia Regional Cooperation Divison and the World Customs Organization organized a workshop held in Thimpu Bhutan from 26-28 November to help prepare Bhutans accession to the Revised Kyoto Convention.

Trade facilitation and transport officials of SASEC countries reviewed planned priority sub-regional projects totaling over $4 billion over the next three years.