Bangkok: Bhutan has called for early conclusion of the BIMSTEC free trade agreement to improve trade within the region which, at present, is one of the “least” integrated regions in the world, according to its foreign minister D.N. Dhungyel.
“When looking at trade and investment, the intra-BIMSTEC trade remains untapped. Our region remains one of the least integrated trade regions in the world. There has to be an early conclusion of the BIMSTEC free trade agreement,” Dhungyel said Wednesday, speaking at the 3rd BIMSTEC Dialogue 2025, organised by independent research centre India Foundation in association with the BIMSTEC Secretariat and Indian Studies Centre at Chulalongkorn University in Bangkok.
The idea of a BIMSTEC Free Trade Area was first agreed to in 2004, when the member-states signed a framework agreement in Phuket, Thailand. However, 21 years later, there has been no conclusion of a final agreement in goods and services.
Secretary General of BIMSTEC Indra Mani Pandey told ThePrint in an interview that six working groups have made progress in the constituent agreements of the overall free trade area.
Pandey said that an overall roadmap for the conclusion of negotiations is part of the ‘Bangkok Vision 2030’ document, set to be adopted at the BIMSTEC Summit Friday, which will be attended by Prime Minister Narendra Modi.
The leaders of the seven member-states of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation—Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand—will meet at the first in-person summit of the organisation in seven years.
Conversations surrounding the establishment of a BIMSTEC free trade area are significant given that US President Donald Trump imposed a set of reciprocal trade tariffs across the world late Wednesday evening. Indian exports to the nation are set to face 26 percent tariffs, which are expected to take effect by 9 April. India and the US are also amid intense negotiations to complete a bilateral trade deal at the earliest, with the latest round of negotiations occurring between 26 and 29 March.
For Bhutan, another challenge that requires collaboration among the BIMSTEC member-states is climate change.
“Climate change is not just an environmental concern but one of the most pressing challenges of our time,” said Dhungyel, as he called on the regional grouping to focus on creating platforms for “knowledge sharing, technologies and best practices”.
The valedictory session of the 3rd BIMSTEC Dialogue had foreign minister of Nepal Arzu Rana Deuba as guest of honour and Pandey giving the concluding address.
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Nepal bats for food security, women empowerment
Arzu Rana Deuba, foreign minister of Nepal and one of the few high-profile female leaders part of the delegations at the summit, called on BIMSTEC to sharpen its focus on areas where its member-states are successful, from peace building in Nepal to food security and health security.
“BIMSTEC could be a forum to take the best practices of a country and share it across the group. Nepal has a very successful peace process. We sit across the table and discuss our issues. Peace takes time, however, there could be a BIMSTEC peace institute where we can share our experiences,” said Deuba.
The ability to build peace is important for BIMSTEC, given that one of its member-states, Myanmar, has been in the grip of civil war following a coup by its military in February 2021. Its Senior General Min Aung Hlaing is set to travel to the summit Friday. Nepal had its own civil war, which ended in a comprehensive peace accord and the abolition of its monarchy. It has since made the transition to a democratic state.
On the larger economic notions of the grouping, Deuba pointed out that trade between the members is very little. “Why can’t we at least put our heads together to feed our region? We have the technology and the know-how,” said the Nepalese foreign minister.
Deuba also highlighted that with the US withdrawing from funding health projects, especially vaccination programmes, the onus is on the BIMSTEC members to step up. “Women’s mortality and morbidity and infant mortality and morbidity must also be on the table,” she said.
For Deuba, another area of collaboration is a conference on women leadership in BIMSTEC, which would add a gender lens to the regional grouping. To this, Pandey, pointed out that the secretariat has issued a circular to all member-states on the implementation of BIMSTEC projects with a look towards gender equality.
(Edited by Nida Fatima Siddiqui)
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