INDIA–BHUTAN RAIL CONNECTIVITY 2024 PROJECT

06.10.2025

1. INDIA–BHUTAN RAIL CONNECTIVITY 2024 PROJECT

Context
India and Bhutan have embarked on their first-ever railway connectivity initiative, marking a milestone in bilateral cooperation, trade, and regional integration. The project reflects India’s Neighbourhood First policy and Bhutan’s goal of improving access to global markets, reinforcing mutual trust and partnership.

About the Project
The India–Bhutan Rail Connectivity 2024 Project establishes the first railway link between the two nations. It demonstrates India’s commitment to regional connectivity and Bhutan’s pursuit of sustainable economic growth.
Key Highlights:

• Nature: First cross-border rail link connecting India and Bhutan.
• Objective: To enable smoother trade, tourism, and cultural exchange while deepening socio-economic ties.
• Length: Around 89 km, covering two critical routes across the border.

Proposed Rail Corridors

• Kokrajhar (Assam) – Gelephu (Bhutan): Connects Gelephu, Bhutan’s planned “Economic Hub,” with Kokrajhar. This corridor promotes trade and tourism in the northeast under India’s Act East Policy.
• Banarhat (West Bengal) – Samtse (Bhutan): Links Samtse with Banarhat in the Dooars region. It enhances Bhutan’s access to Indian trade routes and supports agriculture and forest product exports.

Strategic and Economic Significance

• For Bhutan:
  • Provides link to India’s vast rail network and global trade routes via Indian ports.
  • Cuts logistics costs, improving trade and tourism prospects.
• For India:
  • Reinforces strategic presence in the Himalayas.
  • Strengthens its role as Bhutan’s principal development partner.
  • Advances India’s Act East and Neighbourhood First agendas.

Financial and Development Cooperation
India continues to be Bhutan’s top development partner.

• Funding: ₹1,000 crore pledged for Bhutan’s 13th Five-Year Plan (2024–2029), focusing on connectivity and infrastructure.
• Capacity Building: Technical and logistical aid for railway and allied projects.

Complementary Connectivity Initiatives

• Jagighopa Inland Waterway Terminal (Assam): Enables Bhutan to access sea ports like Kolkata and Haldia.
• Road and Air Links: Ongoing projects under the Bhutan–India Friendship cooperation boost cross-border mobility and trade.

Hydropower Cooperation
Hydropower remains central to Indo–Bhutan relations.
Major joint ventures include:

• Chukha (336 MW), operational since 1988.
• Tala (1,020 MW), launched in 2006.
• Mangdechhu (720 MW), inaugurated in 2019.
• Kurichhu and Punatsangchhu projects further expand renewable energy ties.
  These ventures supply clean electricity to India and support Bhutan’s economy.

Geopolitical and Regional Importance

• Strengthens India’s strategic depth and counters external influence in the Himalayan region.
• Promotes regional cooperation through BIMSTEC and BBIN frameworks.
• Integrates eco-friendly practices, supporting Bhutan’s carbon-neutral goals.

Conclusion
The India–Bhutan Rail Connectivity 2024 Project represents a transformative partnership blending infrastructure, sustainability, and diplomacy. It embodies shared prosperity, regional stability, and long-term friendship, ushering in a new era of South Asian integration and growth.