A Bilateral Trade Agreement is a contract between two countries that outlines the terms of trade between them. This agreement typically aims to reduce or eliminate tariffs, quotas, and other trade barriers, making it easier for goods and services to flow between the two nations. By fostering trade, both countries can benefit from increased economic growth and access to each other's markets. These agreements can cover various aspects, including investment, intellectual property rights, and labor standards. Countries often negotiate these agreements to strengthen their economic ties and enhance cooperation in areas like technology and environmental protection, benefiting both parties involved.