Business
Pakistan’s export volume to Afghanistan increases
Pakistan’s Central Bank has announced a 2.65% increase in the country’s exports to Afghanistan during the third quarter of this year.
The bank stated in its latest report that from July to October, Pakistan’s export volume to Afghanistan was about $186.7 million dollars, against $176.2 million in the same period last year.
However, the report indicated that Pakistan’s imports from Afghanistan dropped by 81.3% for July to October period this year.
Afghanistan mostly exports dry and fresh fruits and coal to Pakistan, but the export of coal has significantly dropped.
According to the Afghanistan Chamber of Commerce and Investment (ACCI), a large percentage of the country’s food, including rice and flour, is imported from Pakistan, along with other items such as cement, plastic, and spices.
Khan Jan Alkozai, a member of the board of directors of the Afghanistan Chamber of Commerce and Investment, confirmed that the level of Pakistan’s trade with Afghanistan has decreased greatly and said: “We used to trade three billion dollars [a year] with Pakistan, which has now decreased to one billion dollars. On the other hand, Afghanistan’s exports to Pakistan have also decreased a lot.”
Alkozai said that Afghanistan has already found alternative trade partners including Iran, which is now sitting at $2.5 billion dollars a year.
He said Afghanistan’s trade with China and India has also increased and Afghanistan’s trade with Central Asia now totals $800 million dollars.
According to the latest World Bank report published on December 4, despite the 19% decrease in Afghanistan’s exports to Pakistan, this country is still Afghanistan’s largest export market.
The report states that Afghanistan exports 54% of its commercial goods to Pakistan, of which 73% of exports include food and coal.
The World Bank also stated that Afghanistan’s total exports to Pakistan decreased by 19% this year. Afghanistan meanwhile imports 18% of consumer goods from Pakistan and the rest from Iran, China and the United Arab Emirates.
Business
Russia eyes trans-Afghan railway to expand regional trade corridors
Uzbekistan, which already has a direct rail connection with Afghanistan, has positioned itself as a regional logistics hub linking Russia, Central Asia and South Asia.
Russia has expressed strong interest in constructing a railway through Afghanistan as part of broader efforts to strengthen transport and trade links with countries in the Global South, Russian Deputy Prime Minister Alexei Overchuk said.
Speaking to Russia 24 television, Overchuk noted that expanding connectivity with southern markets would help diversify Russia’s transport and logistics routes. He said various options for building a railway across Afghan territory are currently under discussion, with a focus on both western and eastern corridors.
Overchuk added that Russian specialists are actively studying the feasibility of the project and are involved in technical consultations related to the proposed railway.
His remarks follow earlier statements by Russian Industry and Trade Minister Denis Manturov, who said last year that Russia and Uzbekistan were jointly preparing a feasibility study for the Trans-Afghan railway, aimed at developing international transport corridors.
Subsequently, the transport ministers of Russia and Uzbekistan signed agreements to move into the development phase of the Trans-Afghan railway project, which is expected to extend southward to Pakistan.
Uzbekistan, which already has a direct rail connection with Afghanistan, has positioned itself as a regional logistics hub linking Russia, Central Asia and South Asia.
In November 2024, during a visit to Kabul, Overchuk told officials of the Islamic Emirate that Moscow was keen to participate in the Trans-Afghan railway project, describing it as a key initiative to enhance connectivity across Central Asia and the broader Eurasian region.
Business
Pakistan’s kinno exports falter as tensions with Afghanistan continue
Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.
Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.
Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.
Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.
Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.
Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.
Business
Pezeshkian pledges to facilitate Iran-Afghanistan trade
Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.
He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.
Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.
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