Is Afghanistan Relying on Chabahar for Trade Amid Tensions with Pakistan?
Synopsis
Key Takeaways
- Afghanistan is diversifying its trade routes amidst rising tensions with Pakistan.
- Chabahar port offers a crucial link to the Arabian Sea, bypassing Pakistan.
- Trade with Iran has seen a significant increase, reaching $1.6 billion.
- Border closures are causing major economic losses for traders.
- Afghanistan's agricultural exports are gaining momentum despite economic difficulties.
Kabul, Nov 15 (NationPress) As border tensions with Pakistan escalate, Afghanistan is increasingly turning to trade routes through Iran and Central Asia to lessen its reliance on its eastern neighbor, according to reports from Afghan media.
The prominent news outlet Ariana News cited a report from Reuters, indicating that Abdul Salam Jawad Akhundzada, a spokesperson for the commerce ministry, confirmed that in the last six months, Kabul's trade with Iran has soared to $1.6 billion, surpassing the $1.1 billion exchanged with Pakistan.
Akhundzada mentioned that the facilities at Chabahar — the port developed by India in southeastern Iran — have helped reduce delays and assured traders that shipments will continue even when borders close.
As previously reported by IANS, the uncertainties at the Afghanistan-Pakistan border have compelled the Taliban regime to pursue alternative trade routes.
Traders from both nations reportedly incur losses of around $1 million daily due to the closure of border crossings, as stated by Khan Jan Alokozai, President of the Afghanistan-Pakistan Joint Chamber of Commerce, in a recent statement to Pajhwok Afghan News.
Alokozai noted that previously, approximately 2000 vehicles crossed the border daily, but all routes have been shut for weeks, significantly impacting the trade of perishables such as fruits and vegetables.
This border closure occurs at a time when Afghanistan's agricultural exports are witnessing a rare upswing against a backdrop of economic challenges, with dried fruits like almonds, pistachios, raisins, dried apricots, and walnuts being among the country's most lucrative export commodities.
Last month, Afghanistan's Foreign Minister, Amir Khan Muttaqi, while speaking to the media in New Delhi, highlighted the Chabahar port as a viable trade route, emphasizing Afghanistan's shift towards alternative pathways amid strained relations with Pakistan.
The Iranian port provides the landlocked nation with a direct connection to the Arabian Sea and beyond, effectively bypassing Pakistan.
"Chabahar is a beneficial trade route. Afghanistan and India should work together to overcome obstacles stemming from US sanctions. Through negotiations among Afghanistan, India, and the US, we can address these issues," urged Muttaqi, highlighting its potential to facilitate exports of dried fruits, saffron, and handicrafts to India and beyond.