Bhutan Bangladesh Trade Agreement

Bhutan and Bangladesh have recently signed a trade agreement that is set to benefit both countries. The agreement aims to increase trade between the two nations and reduce trade barriers, resulting in economic growth for both countries.

The agreement was signed in Thimphu, the capital of Bhutan, by the Bhutanese Prime Minister Lotay Tshering and the Bangladeshi Foreign Minister Dr. A. K. Abdul Momen. This marks a significant milestone in the economic relations between the two countries, as it is the first time they have signed a bilateral trade agreement.

The trade agreement covers a wide range of sectors including agriculture, energy, tourism, and information technology. The deal will allow Bhutan to export goods such as agricultural products, textiles, and handicrafts to Bangladesh, while Bangladesh will be able to export pharmaceuticals, jute, and readymade garments to Bhutan.

According to the World Bank, Bangladesh is Bhutan’s second-largest trading partner, with total trade between the two countries reaching around $47 million in 2020. This trade agreement is expected to boost this figure, with both countries gaining greater access to each other`s markets.

One of the key benefits of the trade agreement is the reduction of trade barriers, such as tariffs, non-tariff barriers, and technical regulations. The deal aims to facilitate trade by simplifying customs procedures and making it easier for businesses to access each other`s markets.

The agreement is also expected to encourage investment between the two countries, with businesses able to benefit from the easier trade environment. This could lead to the creation of new jobs and economic growth in both Bhutan and Bangladesh.

In addition to economic benefits, the trade agreement is also expected to strengthen the bilateral relations between the two countries. The deal is a demonstration of the growing closeness between Bhutan and Bangladesh, and is likely to pave the way for greater cooperation in other areas such as security and education.

Overall, the Bhutan-Bangladesh trade agreement is a significant step towards strengthening economic ties between the two countries. The deal will not only boost trade and investment between the two nations but is also likely to improve their overall bilateral relations.