Thailand and Bhutan have concluded the fourth round of negotiations for a free-trade agreement (FTA), running from Feb 17-19 in Bangkok.
Commerce Minister Pichai Naripthaphan said the two nations finalised the discussions over nine months.
This FTA marks Thailand's 17th trade agreement and the second completed during Mr Pichai's tenure as commerce minister.
Both countries plan to sign the FTA during the Bimstec Leaders' Summit, which Thailand is hosting from April 2-4.
The agreement primarily focuses on trade in goods and enhancing economic cooperation.
Thailand and Bhutan have committed to providing high-level market access, covering almost the entire trade value between them.
Bhutan has expressed interest in importing a variety of Thai products, including vehicles, agricultural goods, processed foods like dried fruits and instant noodles, textiles, chemicals and electrical appliances.
The FTA also aims to strengthen collaboration in sectors such as tourism, agriculture, education, vocational training, and renewable energy.
Mr Pichai said Bhutan represents a promising long-term market for Thai exports.
Despite its small size, Bhutan's economy holds significant growth potential, and its consumers have shown a preference for the quality of Thai products, indicating a strong willingness to import.
To further prepare for the FTA signing, the Department of Trade Negotiations plans to hold meetings in March to gather input from various sectors. The feedback will be presented to the Cabinet for approval.
In 2024, trade between the two countries reached 460 million baht, with Thai exports to Bhutan valued at 457 million, while Thailand imported goods worth 3.47 million baht.
Key Thai exports include vehicles, ready-to-eat meals, electrical appliances, and processed fruits.
Major imports from Bhutan comprise vegetables, fruit, timber products, and beverages such as mineral water and soft drinks.