Bhutan, India Finalize MoU on Establishment of Rail Links on India Prime Minister Modi's Visit 

22 March 2024

The Governments of Bhutan and India exchanged multiple agreements across various sectors during India Prime Minister Narendra Modi's state visit to Bhutan, bolstering bilateral relations. The agreements encompass energy, trade, digital connectivity, space, and agriculture. They also finalized the memorandum of understanding (MoU) on the establishment of rail connectivity, marking a comprehensive enhancement of cooperation between the two nations. 

 

Key outcomes of the meeting include 

  • Finalization of the MoU on establishing rail connectivity, specifically through two proposed rail links–(i)Kokrajhar-Gelephu and (ii) Banarhat-Samtse, to facilitate ease of movement and trade. 
  • Recognition of the Bhutan Food And Drug Authority (BFDA) by the Food Safety and Standards Authority of India (FSSAI), aimed at promoting ease of doing business and reducing compliance costs on both sides. 
  • Exchange of the MoU on cooperation in the field of Energy Efficiency and Energy Conservation. The MoU focuses on assisting Bhutan in improving energy efficiency within the household sector. This includes promoting a star labeling programme by the Bureau of Energy Efficiency, formulating building codes based on India's experience, and creating a pool of energy professionals in Bhutan through the institutionalized training of energy auditors. 
  • MoU to share reference standards, pharmacopeia, vigilance, and testing of medicinal products to enhance cooperation in the regulation of medicines. It includes the acceptance of the Indian Pharmacopoeia by Bhutan as a standard for medicines and the supply of generic medicines at affordable prices. 
  • A Joint Plan of Action (JPOA) on Space Cooperation outlines a roadmap for advancing space cooperation through exchange programmes and training, further developing the space collaboration between the two nations. 
  • The renewal of the MoU on the Peering Arrangement between India's National Knowledge Network (NKN) and Bhutan's Druk Research and Education Network (DrukREN) to enhance digital connectivity. This agreement will benefit scholars and research institutions in Bhutan by renewing the peering agreement between NKN and DrukREN. 

These agreements, exchanged in the presence of both Prime Ministers, underscore the deep-rooted and exceptional ties between India and Bhutan, characterized by trust, goodwill, and mutual understanding.  

 

Related link 

India-Bhutan sign several pacts, finalise MoU on establishment of cross-border rail link 

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