Bhutanese Prime Minister Thinley visits Bangladesh, discusses a number of issues relating to transit and trade; PM Thinley: Bhutan is currently over capacitated in producing hydro-power for Bangladesh;
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    • Bhutan’s Prime Minister Lyonchhen Jigme Y. Thinley was on a four day visit to Bangladesh from January 10-13, 2011. Bangladesh and Bhutan are expected to sign a fresh agreement that will allow Bhutan to use Mongla port of Bangladesh. It would be noteworthy that Bangladesh and Bhutan had earlier signed a transit agreement in 1980, but it did not come into effect, as Bangladesh and India failed to reach an agreement on giving Bhutan a corridor, and to allow it use a strip of the Indian territory. While now India has agreed to provide rail and road access to Bhutan through its territory to Bangladeshi ports, Bangladesh has agreed to give Bhutan access to its Chittagong and Mongla port facilities.1

    However, visiting Bhutanese Prime Minister Thinley noted that Bhutan is currently over capacitated in producing hydro-power for Bangladesh as Indian-financed 10 mega hydro-power projects in Bhutan are expected to be implemented by 2020. He stated, "We are now over capacitated in producing power to address the problem in the field of energy security of Bangladesh…”.2

    Meanwhile, Prime Minister Thinley assured Bangladesh of all cooperation in the power sector in which the land-locked Himalayan country has got huge potentials. Thinley also said that as an upstream country, Bhutan would protect the interests of downstream Bangladesh regarding free flow of river water. After the talks, Bangladesh and Bhutan signed an agreement on cultural exchange and a Memorandum of Understanding (MoU) on cooperation in health sector. It was decided that both the countries could jointly work towards the proper management of natural resources, biodiversity and ecology.3 The Prime Minister also expressed interest in increasing the bilateral trade between both countries, hoping that it could go up to US $ 100 million from current US$ 30 million in the next few years.4

    Meanwhile, Bhutanese refugees in Nepal were on a hunger strike in the refugee camps in East Nepal. The grievance primarily revolved around issues pertaining to status and identity. For instance, around 3190 refugees have been denied registration, refugee identity cards and ration in UN-monitored various seven camps of Jhapa and Morang districts. Agitating Bhutanese refugees finally agreed to withdraw their protest as the government assured them to meet their demands in the next 15 days.5

    According to the leaked diplomatic cables, former Foreign Minster of Nepal, Ramesh Nath Pande, expressed frustration towards the Bhutanese on the lack of progress in repatriating refugees. The cable states that the Minister claimed that lack of political will on part of Bhutan, would force him to internationalize the issue.6

    In other developments, reports noted that the violent clashes on January 16, 2011 between pro-Gorkhaland supporters and those opposed to the movement at Jaigaon could be of some security concern to Bhutan, as Jaigaon thrives on trade with Bhutan through its border town, Phuentsholing.7

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