The government of Bhutan is actively seeking to upgrade its existing Preferential Trade Agreement (PTA) with Bangladesh into a full Free Trade Agreement (FTA), according to Bhutanese diplomatic statements in Dhaka.
At a seminar hosted by the Bangladesh Institute of International and Strategic Studies (BIISS), Bhutanese Ambassador Dasho Karma Hamu Dorjee emphasized that an FTA would expand economic opportunity, reduce tariffs, and deepen bilateral cooperation. Earlier, both nations had agreed to a PTA in December 2020, and recent reports suggest the PTA is undergoing a review to assess tariff cuts, non-tariff barriers, and trade facilitation reforms.
For Bhutan media, the drive to FTA is a strategic advancement in its trade diplomacy. For Bangladeshi and Indian platform, it highlights South Asia’s shifting economic relations and the potential positives (market access, investment) and challenges (risks to local producers) that an FTA would bring.