Bangladesh asks Bhutan to propose a free trade agreement, review pending; Bhutan seeks expanded duty-free access and Chattogram port use.
Bangladesh has asked Bhutan to submit a proposal for a potential free trade agreement (FTA) following Bhutan’s interest in upgrading the existing preferential trade agreement (PTA), Commerce Secretary Mahbubur Rahman said on 12 March 2026.
Once received, the proposal will be examined by the government’s technical committee on trade before a final decision is made.
The development came on the last day of a two-day visit to Dhaka by a Bhutanese delegation led by Tashi Wangmo, secretary of Bhutan’s Ministry of Industry, Commerce and Employment. During a meeting at a hotel in Dhaka, Wangmo formally raised the FTA proposal and requested an expansion of the list of Bhutanese products eligible for duty-free access under the PTA.
Bangladesh and Bhutan signed their PTA in December 2020, granting duty-free entry for 34 Bhutanese products to Bangladesh and 100 Bangladeshi goods to Bhutan. The agreement was Bangladesh’s first bilateral trade deal.
Bhutan also proposed using Chattogram port for imports and exports to address its landlocked geography. Rahman said Bangladesh would allow Bhutan to access Pangaon port in Keraniganj and Khanpur river port in Narayanganj, and that Thimphu’s request for Chattogram port would be reviewed. A recent shipment from Thailand passing through Chattogram port served as a trial for the arrangement.
If approved, relevant authorities will determine the fee structure for Bhutan’s use of the port.
