Seeking to push further the relationship with Bhutan, India on Monday announced a number of measures and concessions including the exemption of Bhutan from any ban on export of milk powder, wheat, edible oil, pulses and non-basmati rice.
The two sides also reaffirmed their commitment to their cooperative partnership and agreed to further promote trade and investment.
In a joint statement issued at the end of Prime minister Narendra Modi's two-day visit to that country, the two sides also noted that security was of mutual interest and "agreed not to allow each other's territory to be used for interests inimical to the other."
The two sides recalled the free trade arrangement between them and the expanding bilateral trade and its importance in further cementing their friendship.
India conveyed its decision to exempt Bhutan from any ban or quantitative restrictions on export of milk powder, wheat, edible oil, pulses and non-basmati rice.
On the issue of security, the two countries agreed to continue with their close coordination and cooperation on issues relating to their national interest and not allow each other's territory to be used for interests inimical to the other.
The two sides expressed satisfaction at the excellent state of bilateral relations and reaffirmed their commitment to further strengthen their special friendship.
Bhutanese Prime Minister Tshering Tobgay conveyed his appreciation to the government and people of India for the generous development assistance since the 1st Five Year Plan in 1961.