The Union Cabinet has approved the signing of several key agreements between India and Bhutan. These agreements span areas such as energy efficiency, food safety, and petroleum supply, reflecting the commitment of both nations to enhance cooperation across various sectors.
One of the agreements approved is the Memorandum of Understanding (MoU) between India and Bhutan on extending cooperation in the field of energy efficiency and conservation measures. Under this MoU, India will assist Bhutan in enhancing energy efficiency in the household sector through initiatives such as the promotion of star labeling programs developed by the Bureau of Energy Efficiency. Additionally, the formulation of building codes tailored to Bhutan’s climate conditions will be facilitated based on India’s experience. The agreement also aims to create a pool of energy professionals in Bhutan through the institutionalization of training programs for energy auditors and retailers. By promoting the use of energy-efficient appliances, both countries aim to optimize energy consumption and contribute to sustainable development.
Another significant agreement approved by the Union Cabinet is the cooperation between the Bhutan Food and Drug Authority (BFDA) and the Food Safety and Standards Authority of India (FSSAI) in the areas of food safety. This agreement will streamline trade between the two neighboring countries by facilitating the issuance of Health Certificates by BFDA, ensuring compliance with FSSAI requirements when exporting products to India. This move is expected to promote ease of doing business and reduce compliance costs for businesses on both sides, thereby enhancing trade relations.
In addition to energy efficiency and food safety, the Union Cabinet has also approved the signing of a Memorandum of Understanding between India and Bhutan on the general supply of petroleum, oil, lubricants (POL), and related products from India to Bhutan. This agreement aims to promote bilateral trade in the hydrocarbon sector and ensure a secured and long-term supply of petroleum products to Bhutan. By strengthening energy cooperation, this agreement aligns with India’s vision of Aatmanirbhar Bharat (Self-reliant India) and serves as a strategic fit within India’s Neighborhood First Policy.
With a focus on energy efficiency, food safety, and petroleum supply, these agreements are poised to further enhance bilateral cooperation and contribute to the overall growth and stability of the region.