India, Bhutan Agree on Two ₹4,000 Crore Cross-Border Rail Links

India announced plans on Monday to develop two cross-border rail connections with Bhutan, spanning a total of 89 kilometres and valued at over Rs 4,000 crore, to bolster trade, tourism, and regional connectivity. The projects, linking Banarhat in West Bengal to Samtse and Kokrajhar in Assam to Gelephu, were unveiled by Railway Minister Ashwini Vaishnaw and Foreign Secretary Vikram Misri during a media briefing. This initiative underscores the deepening bilateral ties between the two nations, rooted in mutual trust and shared economic interests.

The agreement was formalised during Prime Minister Narendra Modi’s visit to Bhutan last year, reflecting India’s commitment as Bhutan’s largest trading partner. Most of Bhutan’s exports and imports transit through Indian ports, making seamless rail infrastructure crucial for its economic expansion.

Vaishnaw emphasised that the lines will integrate with the Indian Railways network, facilitating both passenger and freight services. “This will provide economic benefits in tourism, industrial growth, people-to-people movement, and goods transport,” he said, noting that construction is set to commence soon after extensive preparatory work.

The flagship 69-km Kokrajhar-Gelephu line, with an estimated cost of Rs 3,456 crore, is slated for completion in four years. It will feature six stations, two key bridges, two viaducts, 29 major bridges, 65 minor bridges, two goodsheds, one road-over-bridge, and 39 road-under-bridges. Of this length, 2.39 km falls within Bhutanese territory. Samtse, with its substantial industrial potential, and the emerging Gelephu city will gain enhanced access to broader markets, supporting Bhutan’s development goals.

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The shorter 20 km Banarhat-Samse line, budgeted at Rs 577 crore, is expected to be operational in three years. It includes two intermediate stations, one major bridge, 24 minor bridges, one road-over-bridge, and 37 road-under-bridges, with 2.13 km on the Bhutanese side. Fully funded by the Indian government at a total of Rs 4,033 crore, these projects align with India’s neighbourhood-first policy and Bhutan’s aspirations for sustainable growth.

As the Himalayan kingdom navigates its economic diversification, the rail links promise to transform cross-border dynamics, fostering prosperity for communities on both sides of the frontier.

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