Embassy of India

 I am delighted that two premier research and think-tank institutions in India and Bhutan – Asian Confluence and Centre for Bhutan & GNH Studies have joined hands to organize this Seminar on India-Bhutan ties today.

   Last November, during his visit to Thimphu, Prime Minister of India Shri Narendra Modi described India-Bhutan partnership as “a model for the entire region”. Over two weeks ago, the Prime Minister of Bhutan Dasho Tshering Tobgay referred to India at the UN General Assembly as Bhutan’s “closest friend and neighbour”. Relations as special, unique and steadily developing as those between India and Bhutan could generate a sense of contentment. In that context, this Seminar assumes particular significance to go beyond such contentedness, review the trajectory of India-Bhutan ties and re-energize endeavours for further collaboration at the level of the two governments, entrepreneurs, scholars, media and others.

   I also believe that this Seminar’s sectoral approach enables greater focus on specific subjects of India-Bhutan cooperation. Consequently, I would encourage participants to engage in productive, substantive and fruitful interactions at the Seminar.

   As per the Asian Development Bank, India and Bhutan are the two fastest growing economies in South Asia in the last year, this year and will be so in the next year. These growth rates in India and Bhutan are well above the average growth in South Asia.

   This economic dynamism in India and Bhutan at the national level and in the bilateral relationship generates two inferences. First, national economies of India and Bhutan, inherent policies and sound bilateral collaboration is working well and in my view, should be advanced energetically. Second, it suggests that this vibrant growth in both nations should be creating further opportunities for cooperation between us and we should reassess these areas to realize them for mutual benefit of both countries and our people.

   Connectivity is central to bilateral trade, business collaboration, development, tourism, education, investments, healthcare, pilgrimage and other synergies in bilateral cooperation. In recent years, there has been a new momentum in enhancing connectivity between India and Bhutan: one in terms of the two rail links under implementation between Gelephu, Bhutan-Kokrajhar, Assam; Samtse, Bhutan-Banarhat, West Bengal; two, improving road connections through four major trade and travel routes (Phuentsholing, Samtse, Gelephu, Samdrup Jongkhar); three, air links through the launch of Gelephu-Kolkata connectivity in December last year and ongoing construction of new international airport at Gelephu; four, expanding trading points between the two countries. Two months back, we operationalized 11 Land Customs Station between us at Samrang in Southeast Bhutan to enable smoother trade and travel with Assam. A few Land Customs Stations are being upgraded to Integrated Check Posts to provide comprehensive services for movement of people, trade, vehicles, etc.

   Bilateral trade has shown steady and visible growth in both directions in recent years. Last year, India-Bhutan trade grew by 12% and Bhutan’s exports to India increased by 18%. As the two economies expand, our bilateral trade flow is bound to increase. Hydro power generation and electricity trade reflect the vibrancy of India-Bhutan economic cooperation. Building upon 3,600 MW of existing installed power generation capacity in Bhutan, another 5,200 MW hydropower projects are under construction or have been signed as joint venture power plants with Indian power companies. This will increase by 2.4 times the existing generation capacity in Bhutan. Several additional projects between our companies are at advanced stages of discussion as bilateral joint venture projects. The two governments are facilitating business ties in new areas such as electronics, solar power, IT, engineering and satellite-imagery applications.

   Tourism has been recognized as an important growth sector in Bhutan. Indian tourists comprise about two thirds of all international tourists visiting Bhutan annually. In the first half of 2026, foreign tourist arrival into Bhutan went up by 48% and that from India increased by 65%. At least 41,000 Bhutanese were recorded to have traveled to India as per last data in 2025. The positive trend in tourism numbers in the last couple of years are also an indicator for further opportunities. We feel that synergy between eastern Bhutan and Assam for joint tourism packages will be mutually beneficial and we are planning greater coordination towards promoting this. We will welcome more ideas from this Conference.

   Education and healthcare cooperation are also displaying healthy trends and we are trying to promote them. In April this year, 19 universities from India came together with Bhutanese partners for Study in India mission. In August, 10 Indian medical value service providers were in Thimphu for discussions with the Royal Government of Bhutan and Bhutanese entrepreneurs to strengthen healthcare connections. Institution level arrangements have been signed over the last year between AIIMS, New Delhi and KGUMS, Thimphu, and between NIMHANS, Bengaluru and PEMA Secretariat, Thimphu, etc.

   Development cooperation is an important component of engagement at the level of the two governments. During the plan period 2024-2029, quantum of development partnership between India and Bhutan was doubled from that for the previous five year period 2019-2024. These programmes are identified and driven by Bhutan. We would continue to work with the Royal Government of Bhutan to maximize their delivery. For the benefit of the participants, let me mention the India-Bhutan Foundation support are a special facet of our relations where organizations such as CBS, Asian Confluence, South Asian University, Royal University of Bhutan, Chambers, Non-Government Organizations can get support for bilateral cooperation activities. These proposals are invited in March/April every year and we have now decided to increase quantum of these activities by 15%.

   Gelephu Mindfulness City (GMC) is a remarkable futuristic vision of His Majesty the King of Bhutan for economic prosperity and development which is located right at the border of Assam near Kokrajhar. His Majesty have mentioned the careful selection of its location next to India. As this development progresses, it will add new complementarity between GMC and nearby states of Assam, West Bengal and North East India for economic collaboration, trade, tourism, services and other areas.

   While India and Bhutan are making rapid strides, the wider global environment shows signs of uncertainty, volatility, turbulence and fragmentation. Many analysts and statesmen see these international trends to persist. This environment strengthens the rationale for India and Bhutan to pay greater attention to each other and collaborate even more closely in mutual interest. The increase in development cooperation, uninterrupted fuel supplies amid global crisis, expanding power generation, growing bilateral trade, rising tourist travel between the two countries are indicators of this mutually beneficial trajectory. The two governments are maximizing their efforts to realize fully our cooperation opportunities and draw upon enterprises, state governments, organizations and people in these efforts. I, therefore appreciate you all in participating in this Seminar to think together about progressing this collaboration further.

   I am confident that this Seminar will assess further opportunities in a deeper and more substantive way. I request all participants to convert their ideas into steps and modalities, which could facilitate the two governments, our businesses and organizations to translate them into action. I will keenly look forward to suggestions and recommendations emerging from all the four sessions of this Seminar.

   Thank you, Tashi Delek!