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India-Bhutan Relations

India and Bhutan have a robust and long-standing bilateral relationship. This unique bond, built on trust, goodwill, and mutual understanding, has been consistently nurtured through regular visits and dialogues.

Key Points Of India-Bhutan Relationship

  • India and Bhutan established their diplomatic relations in 1968, strengthening an already profound relationship.
  • The India-Bhutan bilateral relationship is primarily guided by the Treaty of Friendship and Cooperation signed in 1949 and revised in 2007.
  • The year 2018 marked the Golden Jubilee of their formal diplomatic relations.
  • Prioritising Bhutan as a significant ally, Prime Minister Narendra Modi chose it for his maiden foreign visit as a prime minister. This decision bolstered the political ties between the two countries.
  • In May 2019, when Modi’s government came to power again, Bhutan, along with other BIMSTEC countries, was present at Modi’s swearing-in ceremony.

The Tibetan Factor

  • Bhutan and India share a long history of friendship and cooperation, a bond that strengthened after the Chinese annexation of Tibet in 1950.
  • This event prompted Bhutan to break away from its self-imposed isolation and forge a stronger alliance with India.
  • Even though Bhutan and Tibet share cultural and religious ties, their past is marred by conflict.
  • There were at least three confrontations between Bhutan and Tibet in the 17th century.
  • Despite their shared heritage, Bhutanese traders often faced exploitation in Tibet, leading to resentment.
  • When Tibet fell to China, Bhutan’s trade representative in Lhasa was withdrawn.
  • China’s destruction of religious sites in Tibet, the suppression of human rights, and the exodus of Tibetan refugees deeply angered Bhutan.
  • Bhutan, like India, offered refuge to hundreds of Tibetans out of compassion and goodwill.
  • While some refugees migrated to India, many settled in Bhutan and integrated into the local society.

Key Drivers For Extensive Cooperation Between India And Bhutan

Bhutan’s Geographical Locations

  • India and Bhutan have a strong alliance covered by the Friendship Treaty.
  • India supports Bhutan by enhancing its security, while Bhutan cooperates with India in territorial protection.
  • In 2003, Bhutan expelled Indian militants hiding in its territory.
  • Bhutan’s geographical layout is favourable for its relationship with India, making trade and communication easier than with its northern neighbour, China.
  • Being a landlocked country, Bhutan finds it more convenient to engage in trade with India and access the global market by utilising the ports in Kolkata for transit.
  • Being a newly established democratic nation, Bhutan shares a more amicable relationship with democratic India compared to China. In fact, India played a supportive role in Bhutan’s democratic transition back in 2008.

Mutual Benefits And Shared Goals

  • India has played a significant role in strengthening Bhutan’s independence and global presence, including backing Bhutan’s membership in international bodies like the United Nations.
  • India also provides development assistance to modernise Bhutan’s economy.
  • The border between Bhutan and India is 699 kilometres long and connects Bhutan with four Indian states.
  • Bhutan is pivotal to India’s Neighbourhood Policy and Act East Policy.
  • India prioritises Bhutan’s socio-economic development and territorial integrity in its foreign policy.
  • The two nations share a strategic partnership, with India aiding Bhutan in several sectors such as economic development, infrastructure, education, health, and security.

Indo-Bhutan Friendship Treaty

  • The Indo-Bhutan Friendship Treaty is the cornerstone of India and Bhutan’s bilateral relations.
  • The original treaty was signed in 1949, but it was revised in February 2007.
  • The focus of Article 2 in the treaty is on cooperation and security.
  • It states that both countries will work together on matters of national interest.
  • It also prevents either country from allowing harmful activities on its territory that could affect the other’s national security and interests.
  • In 2007, India’s UPA government amended the Treaty of Peace and Friendship from 1949.
  • The amendment allowed Bhutan to independently manage its foreign and defence affairs, emphasising equality in the bilateral relationship.

Economic Cooperations

India serves as both the transit route for landlocked Bhutan and the largest market for several of Bhutan’s exports, including hydroelectricity, semi-finished products, ferrosilicon, and dolomite.

Hydroelectric Power Projects In Bhutan

  • Four Hydroelectric Power Projects (HEPs) are already in operation in Bhutan, providing electricity to India.
  • The 720 MW Mangdechhu was launched in August 2019.
  • Two other HEPs – the 1200 MW Punatsangchhu-I and the 1020 MW Punatsangchhu-II – are being implemented in collaboration with the Government.
  • The 600 MW Kholongchhu HEP is being set up as a joint venture.
  • The 2585 MW Sankosh HEP is in the final stages of implementation planning, in consultation with the Ministry of Power/DoE.

Trade Relations Between Bhutan And India

  • India is Bhutan’s largest trading partner, with a total trade value of Rs. 9227.7 crores in 2018.
  • India’s major exports to Bhutan include mineral products, machinery, electrical equipment, base metals, vehicles, vegetable products, and plastic articles.
  • Bhutan’s key exports to India are electricity, ferro-silicon, portland cement, dolomite, calcium carbides, silicon carbides, cement clinkers, timber and wood products, potatoes, cardamom, and fruit products.

India’s Assistance To Bhutan

  • India’s support to Bhutan spans various sectors such as education, health, infrastructure, environmental protection, technology advancement, and social services.
  • According to Bhutan’s 12th Five Year Plan (2018-2023), India is providing a grant assistance of INR 4,500 crores.
  • There is also a transitional Trade Support Facility of INR 400 crores over five years to strengthen economic connections.

Cooperation In New And Emerging Areas

Space Cooperation

  • Space cooperation is a growing field of interaction between two countries.
  • On August 17, 2019, Indian Prime Minister Narendra Modi and Bhutanese Prime Minister Lyonchhen (Dr) Lotay Tshering inaugurated the Ground Earth Station of the South Asia Satellite (SAS) in Thimphu.
  • PM Modi gifted extra bandwidth from an additional transponder to the people of Bhutan.
  • Starting December 2020, the Indian Government has provided training opportunities to Bhutanese engineers at Bengaluru’s UR Rao Satellite Centre, ISRO.
  • A major collaboration is the India-Bhutan SAT, which was the first satellite co-developed by the two countries and launched on November 26, 2022.
  • This satellite was launched from ISRO’s Satish Dhawan Space Centre at Sriharikota.
  • The India-Bhutan SAT will provide Earth’s high-resolution images, aiding Bhutan in managing its natural resources.
  • The secondary payload, designed and built by Bhutan, will act as a digital space repeater for amateur radio users.
  • ISRO also worked with Bhutan to set up a ground station in Thimphu that will receive and process data from this satellite.

Fin-Tech Partnership

  • Fin-tech is a fresh area of cooperation between India and Bhutan.
  • The RuPay Card project was executed in two stages.
  • In 2019, Phase I was initiated, allowing the use of RuPay cards issued by Indian banks for payments in Bhutan.
  • Phase II was rolled out in 2020, which let RuPay cards from Bhutanese banks be used for payments in India.
  • This interoperability of the RuPay Card project is primarily designed to assist Indian visitors in Bhutan and Bhutanese citizens visiting India for purposes like education, tourism, and work.
  • Further fin-tech collaboration was seen in 2021 with the introduction of India’s BHIM app in Bhutan, aiming to encourage cashless transactions between the two nations.

India And Bhutan’s Knowledge Network

  • Bhutan’s DrukRen has successfully integrated with India’s National Knowledge Network.
  • This union has formed an information superhighway. It connects universities, research institutes, libraries, health care, and agricultural institutions across both countries.
  • The network is currently in use by 28 DrukREN members, including top universities, colleges, and a hospital in Bhutan.
  • Over 10,000 users are benefiting from this network.
  • With active network usage and Bhutan’s intent to include more institutions, India’s government enhanced the bandwidth.
  • The connectivity link’s bandwidth has increased from 1 GBPS to 5 GBPS since June 2022.

Cultural And Buddhist Links

  • Bhutanese pilgrims regularly visit several Indian Buddhist sites, including Bodh Gaya, Rajgir, Nalanda, Sikkim, and Udayagiri.
  • His Holiness the Je Khenpo, Bhutan’s head monk, visited Rajgir in November 2018. This visit was part of the 50th-anniversary celebrations of diplomatic relations between India and Bhutan.
  • During his visit, His Holiness presided over the ground-breaking ceremony for a Bhutanese Lhakhang (temple) and a World Peace Prayer in Rajgir, Bihar.
  • The Zhabdrung Statue is currently displayed at the Simtokha Dzong in Bhutan. This statue was loaned to the Royal Government of Bhutan by the Asiatic Society, Kolkata.
  • Zhabdrung, also known as Dharma Raja, is the title of Ngawang Namgyal, a 16th-century Buddhist monk. He is highly respected in Bhutan and considered the founder of the modern nation state of Bhutan.
  • On June 19, 2021, a 3.3 feet tall bronze cast statue of Lord Buddha in a lotus pose was given to the Royal Government of Bhutan. This was organised by the Indian Council for Cultural Relations (ICCR) and the event was attended by Foreign Minister Dr. Tandi Dorji.
  • The statue was consecrated and enshrined at the grand Kuenray of the Tashichhodzong on June 20, 2021. This event coincided with the birth anniversary of Guru Padmasabhava.

Strategic Relations

  • In 1961, India began to strengthen strategic ties with Bhutan by training Bhutanese security forces through its Military Training Team (IMTRAT).
  • This has established India’s responsibility for Bhutan’s security.
  • Both countries regularly engage in various activities related to security, border control, and threat assessment.
  • They coordinate their border entry and exit points and share real-time information.
  • The Doklam standoff in 2017, where Indian and Chinese forces clashed, highlighted the importance of security matters.
  • This incident led to increased coordination and partnership between the Indian and Bhutanese forces, particularly in securing strategic areas.

Bhutan’s Border Disputes With China

  • Bhutan has a neutral but non-diplomatic relationship with China.
  • China claims certain territories from Bhutan; in the north, Pasamlung and Jakarlung valleys, both of which are culturally vital for Bhutan; and in the west, Doklam, Dramana, and Shakhatoe, Yak Chu and Charithang Chu, and Sinchulungpa and Langmarpo valleys.
  • These lands are not only rich in pasture but also strategically located in the Bhutan-India-China trijunction, posing a significant concern in proximity to India’s Siliguri Corridor.
  • In 2020, China made new claims on Bhutan’s East in the Sakteng sanctuary.
  • In 2021, a Memorandum of Understanding (MoU) was signed between Bhutan and China to speed up their negotiations and resolve the border issues.
  • Bhutan, considering its geographical and strategic importance, has been defensive.
  • So far, they’ve held 10 expert group discussions and 24 rounds of border negotiations.
  • They agreed on primary principles to guide the negotiations in 1988, and confirmed their commitment to continue talks and maintain peace in 1998.
  • The first border talks between Bhutan and China began in 1984.
  • In 2020, China claimed the Sakteng sanctuary in eastern Bhutan.
  • These regions are culturally, strategically, and agriculturally valuable to Bhutan.

Bhutan-China Border Disputes And Concerns For India

  • Given the significance of the trijunction to India’s security, India continues to play a crucial role as a key stakeholder in the border dispute between Bhutan and China.
  • China proposes a territory swap with Bhutan, offering 495 sq km in the Jakarlung and Pasamlung valleys for 269 sq km in the Doklam trijunction.
  • If executed, this deal would allow China to control the Chumbi Valley, which could pose a security risk for India.
  • In 2019, China claimed 650 sq km in the Sakteng Wildlife Sanctuary, a move Bhutan protested.
  • Experts believe these claims are tactics by China to pressure Bhutan into settling the border dispute without considering India’s stance on the Doklam trijunction.
  • Such tactics by China, questioning India’s relationship with Bhutan under the 1949 Treaty of Peace and Friendship, have been common since China’s occupation of Tibet.
  • China has often used a mix of incentives and threats to negotiate with Bhutan.
  • In an attempt to win Bhutan over, China has made offers of support and promoted interpersonal connections. For example, in April 2022, China supplied Bhutan with medical supplies to combat COVID-19.
  • China’s forceful tactics have escalated in recent years. From the late 90s, it has encouraged its citizens to live in disputed and grazing areas.
  • In the years since, Beijing has constructed roads, infrastructure, and even permanent homes within Bhutanese territories.
  • Satellite images from 2020-2021 showed new villages being built in the North and West of Bhutan. These villages come with military or police outposts, settlements, and well-connected roads and bridges.
  • This increased aggression shows China’s rush to resolve border disputes with Bhutan and gain a strategic advantage over India.
  • Several factors motivate this urgency: Bhutan’s unique relationship with India, unresolved territorial issues, and a lack of diplomatic relations with China all threaten Beijing’s ambitions of becoming a dominant Asian power.
  • Competition with India has further driven Beijing to pressure Bhutan and try to control disputed regions in the West of Bhutan. This area could prove pivotal in giving Beijing a strategic advantage against India in relation to the Siliguri Corridor.

The Tri-Junction

  • The tri-junction between India, Bhutan, and China is an area of less than 90 sq km.
  • It’s part of the Doklam plateau, surrounded by Tibet’s Chumbi Valley, Bhutan’s Haa Valley, and India’s state of Sikkim.
  • The Haa town in Bhutan houses the IMTRAT (Indian Military Training Teams) base, making it strategically significant for India.
  • The exact location of the tri-junction is disputed. India and Bhutan place it at Batang La, 4 kms north of Doka La.
  • On the other hand, China asserts that the tri-junction is 2.5 km south of Doka La, at Mt. Gipmochi.
  • The 6.5 km discrepancy shifts strategic stakes for India as Mt. Gipmochi and the nearby Zompelri ridge overlook India’s Siliguri Corridor.
  • The Siliguri Corridor is a slim land strip linking mainland India with Northeast India.
  • In mid-2017, Indian troops and a PLA construction crew clashed in the Doklam area. The conflict occurred due to the crew’s attempt to build an unauthorised road from a point below Doka La to Mt. Gipmochi. This sparked the Doklam crisis, which lasted 73 days.
  • The Doklam standoff in 2017 between India and China lasted about two months. The dispute started when China began constructing a road towards the strategically important Jampheri ridge line.
  • While India views the Doklam plateau as Bhutanese territory, China insists it is an extension of its Chumbi Valley, which is located between Sikkim and Bhutan.
  • China’s road construction in Doklam infringes on Article 3 of the 1959 treaty between China and Bhutan. This action also violates an agreement reached between Delhi and Beijing in 2012 that stipulates the finalisation of the tri-junction between India, China, and a third country after obtaining consensus from the concerned nations.
  • After recent border talks with China, Bhutan stated that discussions on the tri-junction could only commence once India and China have settled their border disputes.
  • Doklam is very important to India for security reasons.
  • If China controls Doklam, it could threaten India’s Siliguri Corridor.

Siliguri Corridor

  • The Siliguri corridor, also known as the Chicken’s Neck, is crucial for India’s geo-strategy due to its role in connecting to the Northeast.
  • Its narrowest point is only 17 km wide.
  • This corridor borders three countries: Nepal, Bangladesh, and Bhutan, and extends from Darjeeling, Jalpaiguri, and the Terai to the Northeast.
  • The corridor’s narrow passage presents significant defence challenges.
  • China is seen as a consistent threat to the security of the Siliguri Corridor.
  • Concerns have been raised over intelligence reports indicating China’s development of an alternate axis in the Chumbi Valley, near the Siliguri corridor.
  • China is also reported to be constructing roads through Bhutanese territory, as confirmed by recent satellite images.
  • The Indian Army has been intensifying its military infrastructure and ensuring connectivity to the Northeast via the slim Siliguri corridor.
  • The Indian forces use rail networks in the Chicken’s Neck to access the Line of Actual Control with China.
  • Rail links from the New Jalpaiguri railway station are either in place or are being developed to connect to key military formations facing China.

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