diff --git a/docs/dnd-protocol.rst b/docs/dnd-protocol.rst
index f1ca3e955..f4023d749 100644
--- a/docs/dnd-protocol.rst
+++ b/docs/dnd-protocol.rst
@@ -271,6 +271,40 @@ POSIX error code. If it determines that the image data after conversion to
 display format is too large, it must respond with ``t=R ; EFBIG``. If the drag
 operation is successfully started, it must respond with ``t=R ; OK``.
 
+As the drag progresses, status changes are reported using the ``t=e`` escape
+code. The variants are listed in the table below:
+
+.. list-table:: Drag offer events
+
+   * - Code
+     - Description
+   * - ``t=e : x=1 : y=idx``
+     - The drag has been accepted by a client. ``idx`` is a zero based index into the list of MIME types
+       pointing to the MIME type the client is likely to want
+   * - ``t=e : x=2 : o=O``
+     - The action the client is likely to perform has changed to the value indicated by the ``o`` key
+   * - ``t=e : x=3``
+     - The drag offer has been dropped onto a client, there are likely to be requests for data in the near future
+   * - ``t=e : x=4 : y=0 or 1``
+     - The drag is finished. If ``y=1`` then the drag was canceled by the user.
+   * - ``t=e : x=5 : y=idx``
+     - Request data for the MIME type at the zero based index ``idx`` in the list of MIME types
+
+The client program should respond to data requests with escape codes of the
+form::
+
+    OSC _dnd_code ; t=e:m=0 or 1 ; base64 encoded data ST
+
+This, is the data for requested MIME type. The data should be chunkedusing the
+``m`` key. End of data is denoted by ``m=0`` and an rmpty payload. If an error
+occurs the client should send::
+
+    OSC _dnd_code ; t=E; ERR_CODE ST
+
+Where ``ERR_CODE`` is a POSIX error code such as ``ENOENT`` if the MIME type is
+not found or ``EIO`` if an IO error occurred and so on.
+
+
 Multiplexers
 -----------------
 
@@ -302,6 +336,7 @@ Key      Value                 Default    Description
                                           ``O`` - stop offering drags
                                           ``p`` - present data for drag offers
                                           ``P`` - Change drag image or start drag
+                                          ``e`` - a drag offer event occurred
 
 ``m``    Chunking indicator    ``0``      ``0`` or ``i``
 
diff --git a/gen/apc_parsers.py b/gen/apc_parsers.py
index cf0532edb..4214397fc 100755
--- a/gen/apc_parsers.py
+++ b/gen/apc_parsers.py
@@ -331,7 +331,7 @@ def parsers() -> None:
     write_header(text, 'kitty/parse-multicell-command.h')
 
     keymap = {
-        't': ('type', flag('aAmMrRsdoOpP')),
+        't': ('type', flag('aAmMrRsdoOpPeE')),
         'm': ('more', 'uint'),
         'i': ('client_id', 'uint'),
         'o': ('operation', 'uint'),
diff --git a/kitty/dnd.c b/kitty/dnd.c
index da4629211..8c9e2c848 100644
--- a/kitty/dnd.c
+++ b/kitty/dnd.c
@@ -1052,6 +1052,52 @@ drag_start(Window *w) {
     }
 }
 
+void
+drag_notify(Window *w, DragNotifyType type) {
+    char buf[128];
+    size_t sz = snprintf(buf, sizeof(buf), "t=e:x=%d", type + 1);
+    switch(type) {
+        case DRAG_NOTIFY_ACCEPTED:
+            for (size_t i = 0; i < ds.num_mimes; i++) {
+                if (strcmp(ds.items[i].mime_type, global_state.drag_source.accepted_mime_type) == 0) {
+                    sz += snprintf(buf + sz, sizeof(buf) - sz, "y=%zu", i); break;
+                }
+            }
+        case DRAG_NOTIFY_ACTION_CHANGED:
+            switch (global_state.drag_source.action) {
+                case GLFW_DRAG_OPERATION_MOVE:
+                    sz += snprintf(buf + sz, sizeof(buf) - sz, "o=2"); break;
+                default:
+                    sz += snprintf(buf + sz, sizeof(buf) - sz, "o=1"); break;
+            }
+        case DRAG_NOTIFY_DROPPED: break;
+        case DRAG_NOTIFY_FINISHED:
+            sz += snprintf(buf + sz, sizeof(buf) - sz, "y=%d", global_state.drag_source.was_canceled ? 1 : 0); break;
+    }
+    queue_payload_to_child(w->id, w->drag_source.client_id, &w->drag_source.pending, buf, sz, NULL, 0, false);
+}
+
+int
+drag_free_data(Window *w, const char *mime_type, const char* data, size_t sz) {
+    (void)w; (void)mime_type; (void)data; (void)sz;
+    return 0;
+}
+
+const char*
+drag_get_data(Window *w, const char *mime_type, size_t *sz, int *err_code) {
+    *err_code = ENOENT; *sz = 0;
+    for (size_t i = 0; i < ds.num_mimes; i++) {
+        if (strcmp(ds.items[i].mime_type, mime_type) == 0) {
+            char buf[128];
+            size_t sz = snprintf(buf, sizeof(buf), "t=e:x=%d:y=%zu", DRAG_NOTIFY_FINISHED + 2, i);
+            queue_payload_to_child(w->id, w->drag_source.client_id, &w->drag_source.pending, buf, sz, NULL, 0, false);
+            *err_code = EAGAIN;
+            return NULL;
+        }
+    }
+    return NULL;
+}
+
 #undef img
 #undef abrt
 #undef ds
diff --git a/kitty/dnd.h b/kitty/dnd.h
index 6bb059f92..1b77e390b 100644
--- a/kitty/dnd.h
+++ b/kitty/dnd.h
@@ -8,6 +8,7 @@
 
 #include "state.h"
 
+
 void drop_register_window(Window *w, const uint8_t *payload, size_t payload_sz, bool on, uint32_t client_id, bool more);
 void drop_move_on_child(Window *w, const char **mimes, size_t num_mimes, bool is_drop);
 void drop_left_child(Window *w);
@@ -23,9 +24,13 @@ void drop_finish(Window *w);
 void dnd_set_test_write_func(PyObject *func);
 
 
+typedef enum { DRAG_NOTIFY_ACCEPTED, DRAG_NOTIFY_ACTION_CHANGED, DRAG_NOTIFY_DROPPED, DRAG_NOTIFY_FINISHED } DragNotifyType;
 void drag_free_offer(Window *w);
 void drag_add_mimes(Window *w, int allowed_operations, uint32_t client_id, const char *data, size_t sz, bool has_more);
 void drag_add_pre_sent_data(Window *w, unsigned idx, const uint8_t *payload, size_t sz);
 void drag_add_image(Window *w, unsigned idx_, int fmt, int width, int height, const uint8_t *payload, size_t sz);
 void drag_change_image(Window *w, unsigned idx);
 void drag_start(Window *w);
+void drag_notify(Window *w, DragNotifyType type);
+int drag_free_data(Window *w, const char *mime_type, const char* data, size_t sz);
+const char* drag_get_data(Window *w, const char *mime_type, size_t *sz, int *err_code);
diff --git a/kitty/glfw.c b/kitty/glfw.c
index 708617e74..90efff5bd 100644
--- a/kitty/glfw.c
+++ b/kitty/glfw.c
@@ -1084,42 +1084,59 @@ cancel_current_drag_source(void) {
 
 static void
 drag_source_callback(GLFWwindow *window UNUSED, GLFWDragEvent *ev) {
-#define finish \
+#define finish { \
     call_boss(on_drag_source_finished, "OOsiOO", \
-            ds.was_dropped && !global_state.drop_dest.os_window_id ? Py_True : Py_False, ds.was_canceled ? Py_True: Py_False, \
-            ds.accepted_mime_type ? ds.accepted_mime_type : "", \
-            ds.action, ds.drag_data ? ds.drag_data : Py_None, ds.needs_toplevel_on_wayland ? Py_True : Py_False); \
-    free_drag_source();
+        ds.was_dropped && !global_state.drop_dest.os_window_id ? Py_True : Py_False, ds.was_canceled ? Py_True: Py_False, \
+        ds.accepted_mime_type ? ds.accepted_mime_type : "", \
+        ds.action, ds.drag_data ? ds.drag_data : Py_None, ds.needs_toplevel_on_wayland ? Py_True : Py_False); \
+    free_drag_source(); \
+}
+    Window *w = NULL;
+    bool is_client_drag = false;
+    if (ds.from_window && (w = window_for_window_id(ds.from_window)) && w->drag_source.state) {
+        is_client_drag = true;
+    }
 
     switch (ev->type) {
-        case GLFW_DRAG_DATA_REQUEST: // we currently pre-provide all data so this should never happen
-            if (ev->data_sz) {
-                // previously returned data is consumed, free it
-            } else {
-                ev->err_num = ENOENT;
+        case GLFW_DRAG_DATA_REQUEST:
+            ev->err_num = ENOENT;
+            if (is_client_drag) {
+                ev->err_num = 0;
+                if (ev->data_sz) {
+                    ev->err_num = drag_free_data(w, ev->mime_type, ev->data, ev->data_sz);
+                } else {
+                    ev->data = drag_get_data(w, ev->mime_type, &ev->data_sz, &ev->err_num);
+                }
             }
             break;
         case GLFW_DRAG_ACCEPTED:
             free(ds.accepted_mime_type);
             ds.accepted_mime_type = ev->mime_type ? strdup(ev->mime_type) : NULL;
+            if (is_client_drag) drag_notify(w, DRAG_NOTIFY_ACCEPTED);
             break;
         case GLFW_DRAG_ACTION_CHANGED:
             ds.action = ev->action; break;
+            if (is_client_drag) drag_notify(w, DRAG_NOTIFY_ACTION_CHANGED);
         case GLFW_DRAG_DROPPED:
             ds.was_dropped = true;
             // On Wayland, we cant trust the value of ev->action as it is zero
             // when dropping outside any application which is a case we want to
             // handle.
-            if (global_state.drop_dest.os_window_id && ds.drag_data) {
-                Py_CLEAR(global_state.drop_dest.self_drag_data);
-                global_state.drop_dest.self_drag_data = Py_NewRef(ds.drag_data);
+            if (is_client_drag) {
+                drag_notify(w, DRAG_NOTIFY_DROPPED);
+            } else {
+                if (global_state.drop_dest.os_window_id && ds.drag_data) {
+                    Py_CLEAR(global_state.drop_dest.self_drag_data);
+                    global_state.drop_dest.self_drag_data = Py_NewRef(ds.drag_data);
+                }
+                finish;
             }
-            finish;
             break;
         case GLFW_DRAG_CANCELLED:
             ds.was_canceled = true;
             /* fallthrough */
         case GLFW_DRAG_FINSHED:
+            if (is_client_drag) drag_notify(w, DRAG_NOTIFY_FINISHED);
             finish
             break;
     }
diff --git a/kitty/parse-dnd-command.h b/kitty/parse-dnd-command.h
index 9c77b4d5c..a79dbfa52 100644
--- a/kitty/parse-dnd-command.h
+++ b/kitty/parse-dnd-command.h
@@ -86,9 +86,10 @@ static inline void parse_dnd_code(PS *self, uint8_t *parser_buf,
 
       case type: {
         g.type = parser_buf[pos++];
-        if (g.type != 'A' && g.type != 'M' && g.type != 'O' && g.type != 'P' &&
-            g.type != 'R' && g.type != 'a' && g.type != 'd' && g.type != 'm' &&
-            g.type != 'o' && g.type != 'p' && g.type != 'r' && g.type != 's') {
+        if (g.type != 'A' && g.type != 'E' && g.type != 'M' && g.type != 'O' &&
+            g.type != 'P' && g.type != 'R' && g.type != 'a' && g.type != 'd' &&
+            g.type != 'e' && g.type != 'm' && g.type != 'o' && g.type != 'p' &&
+            g.type != 'r' && g.type != 's') {
           REPORT_ERROR("Malformed DnDCommand control block, unknown flag value "
                        "for type: 0x%x",
                        g.type);