India-Bhutan Rail Links and Trade Expansion: A Strategy with Implications for China
India-Bhutan Rail Links and Trade Expansion: A Strategy with Implications for China
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New Delhi: India and Bhutan are moving towards a border agreement, which raised concerns about potential tension with China. However, these discussions will not negatively impact the relations between India and Bhutan. The two countries have previously signed agreements on trade, technology, and cross-border transport, which will further strengthen their relationship. This development could pose a challenge to China.

King Jigme Khesar of Bhutan recently embarked on a week-long visit to India. Following his meeting with Prime Minister Narendra Modi, both leaders issued a joint statement emphasizing the significance of the new agreements. This comes in the wake of speculation about a possible shift in Bhutan's stance and attempts to resolve the border dispute with China. However, the growing ties between India and Bhutan suggest that Bhutan is unlikely to make any agreements with China that could harm India's interests.

Prime Minister Modi has assured King Jigme Khesar of India's commitment to supporting Bhutan's development. Discussions have also taken place regarding the final location survey for the rail link between Kokrajhar in Assam and Gelephu in Bhutan, with construction work expected to commence soon. Furthermore, there are plans for a rail link between Banarhat in West Bengal and Samtse in Bhutan, which will facilitate trade between Bhutan and Bangladesh.

Indian Railways has initiated work on the India-Bhutan rail link, completing the initial 57-kilometer route between Kokrajhar and Gelephu. Additionally, both countries have agreed to upgrade the Dadagiri Check Post to enhance trade. The joint statement highlighted India's commitment to providing bridge financing for Bhutan's 12th and 13th five-year plans. Bhutan is set to benefit significantly from the budget allocated in India's 2023-24 budget, with a substantial portion earmarked for Bhutan's development.

The two nations will also collaborate on skill development for Bhutanese citizens, increase the number of MBBS seats for Bhutanese students in Assam's medical colleges, and enhance cooperation in wildlife and environmental protection. King Jigme Khesar will continue his visit with meetings with prominent Indian business leaders in Mumbai.

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