B2B Cargo routes are not included in BBIN. The envelope remains the most economical mode of transit. Because most vehicles are empty. The BBIN routes are asymmetrical in favour of India, which connects the India-BD-India roads. For others, regional transit trades are insignificant and existing modes of transport remain the least expensive option…. Read more In December 2018, Bhutanese Foreign Minister Tandi Dorji said the new government would reconsider the auto agreement and indicate that Bhutanese trucks were having difficulty getting to Bangladesh, while trucks from India and Nepal provided easy access. [39] During the second consultations of the Ministry of Foreign Affairs (FOC) between Bangladesh and Bhutan in March 2019 in Dhaka, Bangladeshi Foreign Minister Shahidul Haque stressed the importance of Bhutan ratifying the agreement and declaring it “decisive” for the future development of the region. [40] The Bangladesh, Bhutan, India, Nepal (BBIN) initiative is a sub-regional architecture of countries in Southeast Asia, a sub-region of South Asia. It meets through the official representation of Member States to formulate, implement and review four-party agreements in areas such as water resource management, electrical connectivity, transport and infrastructure.

[1] In light of the above, Bhutan has already concluded a bilateral agreement on a smooth movement of vehicles with India, with which it shares 90% of the trade; there were concerns about vehicles in Bangladesh and Nepal. The agreement will enter into force after being ratified by the four Member States. The agreement was ratified by Bangladesh, India and Nepal. The lower house of the Bhutanese Parliament approved the agreement in early 2016, but was rejected by the House of Lords in November 2016. [31] Bhutan has requested that the number of vehicles entering its territory be capped. [34] In May 2017, the media reported that the Bhutanese government had ordered the Indian government to continue the agreement without Bhutan, as the Bhutanese government was unable to ratify the agreement in the House of Lords because of objections from opposition parties. [35] Opponents of the measure in Bhutan said the agreement would increase the movement of vehicles from other countries, affecting Bhutanese truck drivers and also causing environmental damage. A bilateral agreement between Bhutan and India already allows for smooth movement between the two countries.

Therefore, Bhutan`s decision not to ratify BBIN MVA would only affect its trade with Nepal and Bangladesh.