(TibetanReview.net, Oct01’25) – Landlocked Bhutan wedged between India and Chinese occupied Tibet is to be connected by railway transport system for the first time following the signing of a Memorandum of Understanding (MoU) with New Delhi on Sep 29 for the building of two lines. The new railways are expected to boost commerce, expand people-to-people ties, and strengthen India’s presence in the eastern Himalayas amid growing Chinese regional influence, noted moneycontrol.com Sep 30.
The 69-km Kokrajhar (Assam)-Gelephu (Bhutan) line and the 20-km Banarhat (West Bengal)-Samtse (Bhutan) link will cost Rs 3,456 crore and Rs 577 crore respectively, the report said.
The announcement was made jointly by India’s Railway Minister Ashwini Vaishnaw and Foreign Secretary Vikram Misri. Later, Railway Board Chairman Satish Kumar and Bhutan’s Foreign Secretary Aum Pema Choden signed a formal MoU, cementing an agreement nearly two decades in the making, the report said.
The two projects could reshape connectivity and trade in the eastern Himalayas at a time when China’s presence in the region is steadily growing, the report said.
The two countries initially signed an MoU on Jan 25, 2005, when they agreed to explore five possible railway connections. Feasibility studies were stated to have been carried out in 2008. After that, progress stalled until Indian Prime Minister Narendra Modi visited Bhutan in Mar 2024 and the two sides agreed to move ahead with the Kokrajhar-Gelephu and Banarhat-Samtse lines.
The Kokrajhar-Gelephu rail line will connect Bhutan’s Sarpang district with Assam’s Kokrajhar and Chirang districts. Along the route, six stations are planned – Balagaon, Garubhasa, Runikhata, Shantipur, Dadgiri and Gelephu. The project will feature two major bridges, two viaducts, 29 large bridges, 65 small bridges, a goods shed, one overpass and 39 underpasses. Construction is expected to take four years.
The Banarhat-Samtse line, spanning 20 km, will connect Bhutan’s Samtse district with West Bengal’s Jalpaiguri. It will include two stations – Ambari and Samtse – along with one major bridge, 24 smaller bridges, an overpass and 37 underpasses. This project is projected to be completed within three years.
Work is set to begin in the financial year 2025-26, although timelines will hinge on how quickly land acquisition can be carried out. To fast-track implementation, the Kokrajhar-Gelephu line has already been classified as a “Special Railway Project,” the report said.
Both Gelephu and Samtse are stated to be among Bhutan’s most vital trade gateways. Located in the southern plains, Gelephu is being developed into an ambitious Mindfulness City, a 2,600 sq km smart city project envisioned by King Jigme Khesar Namgyel Wangchuck. Launched in Dec 2023, the city aims to blend Bhutan’s spiritual ethos with cutting-edge global commerce, innovation and sustainability.
Samtse is fast emerging as Bhutan’s industrial hub. With industries producing dolomite, ferro-silicon, quartzite and stone chips, the town is expected to benefit heavily from direct rail connectivity, which will support both freight and passenger traffic, the report said.
India is Bhutan’s largest trading partner, accounting for nearly 80% of its imports and exports. Under the 2016 bilateral trade agreement, Bhutan enjoys duty-free transit for goods moving through India to third countries, the report noted.
For Bhutan, these two projects are not just about connectivity – they represent a strategic leap forward, promising to integrate the country’s economy more deeply with the region while opening new opportunities for growth and cooperation, the report said.