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India To Build First Cross-Border Rail Links With Bhutan In ₹4,000 Crore Plan

The projects will connect Gelephu and Samtse with Assam and West Bengal, with construction expected to be completed in three to four years.

The Traveller Trails by The Traveller Trails
September 30, 2025
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India To Build First Cross-Border Rail Links With Bhutan
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India said on Monday it will build two railway lines into Bhutan, the first such projects with the Himalayan kingdom, in a move aimed at improving trade links and strengthening ties as China steps up outreach to Thimphu.

The projects, worth about ₹4,033 crore, will connect Kokrajhar in Assam with Gelephu in Bhutan and Banarhat in West Bengal with Samtse, officials said. Construction will cover 89 km of track, with work expected to finish in three to four years.

“This partnership has endured through trust and mutual respect,” Foreign Secretary Vikram Misri told reporters in New Delhi. “The links will help Bhutanese businesses gain smoother access to Indian ports and global markets.”

Railway Minister Ashwini Vaishnaw said the Kokrajhar–Gelephu line, at 69 km, would cost ₹3,456 crore and take four years to build. About 2.39 km of the track will fall inside Bhutan. The line will have six stations, two viaducts, 29 major bridges, 65 minor bridges, 39 underpasses, a road-over-bridge and two goods sheds.

The Banarhat–Samtse line will extend 20 km with two intermediate stations, and is expected to be completed in three years at a cost of ₹577 crore.

India has already committed ₹10,000 crore in aid for Bhutan’s current five-year plan, double the amount pledged in the previous plan. Much of Bhutan’s trade passes through India, and the new lines are expected to reduce transport costs and open new export routes.

The agreements were signed during Prime Minister Narendra Modi’s visit to Bhutan last year. Bhutan, which has no railway of its own, has so far relied on roads for cross-border trade.

Bhutan has faced pressure in recent years as Beijing pursues boundary talks and closer ties, raising concern in New Delhi.

Tags: BanarhatBhutanCross-Border RailGelephuIndiaIndian RailwaysKokrajharRailway ProjectsSamtse
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