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Leveraging Indian Ocean for trade and economic growth

The Indian Ocean is pivotal in Bhutan’s economic landscape, acting as a gateway for international trade through India and Bangladesh. In a recent lecture in the capital, a visiting expert from the United States Institute of Peace stated that the Indian Ocean can enhance connectivity across South and Southeast Asia, including Bhutan. The lecture, hosted by the Centre for Research on Bhutanese Society, also addressed security issues in the Indian Ocean.

The economic influence of a vast waterway such as the Indian Ocean extends well beyond coastal nations.

It impacts landlocked countries such as Bhutan and Nepal, which depend on key ports for international trade.

Nilanthi Samaranayake, an expert on Indian Ocean security, said that seaports play a crucial role in Bhutan’s trade.

“So, for example, the ports in Kolkata and Haldia in India, Bhutan depends on those ports for its international trade. Bhutan has also worked with Bangladesh to expand its access to Bangladesh’s ports in Chittagong and Mangla. So Bhutan, even though it is landlocked, it clearly has interests in the maritime domain in the Indian Ocean.”

She praised Bhutan’s proactive stance in regional diplomacy to enhance its connectivity and maritime interests.

As a founding member of the South Asian Association for Regional Cooperation since 1985 and a participant in the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation since 2004, Bhutan actively seeks to strengthen its regional ties.

Nilanthi Samaranayake said “I think Bhutan’s partnership in multilateral organisations is very important, particularly as a smaller state. We see smaller states will often join multilateral groupings because it is a way for them to participate in the norm-making process and maintain norms, essentially.”

Participants at the lecture also stated that Bhutan should take advantage of its proximity to the Bay of Bengal and the Indian Ocean to advance the country’s developmental ambitions.

Lyonpo Om Pradhan, former DHI Chairperson and Minister said “With the upcoming Gelephu Mindfulness City and the fact that His Majesty has mentioned that Gelephu Mindfulness City is not only a city in Bhutan, but it is like an opening, a door to the rest of South Asia. So, if that is the case, then the Indian Ocean, and the Bay of Bengal play a very critical role.”

Sonam Tobden Rabgye, the President of the Centre for Research on Bhutanese Society said “We have very good political relations and, a long history with India and Bangladesh. Both these countries are willing and ready to give us the facilities. In fact, both India and Bangladesh, have said we can use the inland waterways also to get access to the seaports. It is very relevant and useful for Bhutan’s export of boulders.”

As Bhutan charts its course towards a future intertwined with the Indian Ocean, the discussions at this lecture serve as a reminder of the potential inherent in maritime connections.

Devika Pradhan 

Edited by Sherub Dorji 



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