INDIA-BHUTAN RELATIONS

During his visit to Bhutan, the Prime Minister of India was conferred the “Order of the Druk Gyalpo”, the highest civilian honor in Bhutan.

Later, The King and the Queen of Bhutan made an official visit to India.

Key Highlights of the Visit:

• India’s Prime Minister reassured Bhutan’s King of India’s continued support for the Gelephu Mindfulness City project, enhancing prosperity. 
  • The city is a 2500 Km zero-carbon, co-operative project that will offer space to businesses in finance, tourism, green energy, technology, healthcare, agriculture, aviation, logistics, education and spirituality.
• Expressed satisfaction over
  • Inauguration of first Integrated Check Post (ICP) along the India-Bhutan border at Darranga in Assam. 
  • The 1020 MW Punatsangchhu-II hydro power project was nearing completion.

     Key Facts in India- Bhutan Bilateral Relations:

• Political relationship: Highlighted by Treaty of Friendship, which was first signed in 1949 and renegotiated in 2007.
• Free trade regime: India-Bhutan Agreement on Trade, Commerce and Transit, first signed in 1972 (revised in 2016), establishes a Free Trade Regime between the two countries. 
  • It allows duty-free transit of Bhutanese exports to third countries.

• • Transboundary wildlife conservation: E.g., Both countries collaborate through Transboundary Manas Conservation Area (TraMCA) to protect the wildlife in Manas National Park in India and Royal Manas National Park in Bhutan.

• India as a net security provider: 

• • Doklam Standoff: India invoked the India-Bhutan Treaty of Perpetual 

Friendship 2007 to intervene on Bhutanese territory (which China claims) to prevent China from constructing a road to Gipmochi In 2017. 

• IMTRAT: The Indian Military Training Team (IMTRAT), established in 1961-62, provides training to Bhutanese forces. 

• • Infrastructure Development: India’s Border Road Organisation (BRO) has constructed the majority of roads in Bhutan under Project ‘DANTAK’.

• Other Areas of support from India: 

• • Scholarships for Bhutanese students to study in India. 
  • India contributes to 50% of Bhutan’s total FDI.
  • India provides financial support for ‘Digital Drukyul’ for establishing optical fibre in Bhutan etc.

• • Space Cooperation: The two countries jointly developed the India-Bhutan SAT satellite, which was launched in 2022.

• Fin-Tech Collaboration: This involved two major initiatives: 

• • Launch of RuPay Card in two phases (2019-2020) for cross-border payments 
  • Introduction of the BHIM app in 2021 to promote cashless transactions 

• e-Learning and Digital Connectivity: This focuses on integrating Bhutan’s Druk Research Network with India’s National Knowledge Network to enhance educational connectivity.

• Political Features: Landlocked country between India and China in Eastern Himalayas. Shares an open border of 699 kms with four Indian states (Assam, Arunachal Pradesh, West Bengal and Sikkim).

• • Geographical Features: All the rivers flow southward and join the Brahmaputra River in India.

• Other Key Facts: 

• • Bhutan is the world’s first carbon negative country 
  • Bhutan is best known for its philosophy of promoting Gross National Happiness (GNH) over GDP.

China’s rising influence in Bhutan 

• Territorial assertiveness: Chinese assertive claim on territories of Jakarlung and Pasamlung in north Bhutan and the Doklam plateau in west Bhutan highlights Bhutan’s vulnerability to external pressures. 
  • China has built a new village known as Pangda near Doklam. In 2020, China began claiming 650 sq. km of the Sakteng Wildlife Sanctuary in Bhutan’s eastern district of Trashigang.