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Afghanistan urges major Iranian companies to boost investment and trade ties

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Afghanistan has called on major Iranian companies to increase their presence in the country, stressing that deeper economic cooperation is essential to unlocking the full potential of bilateral trade and investment.

The appeal came during a meeting in Kabul between a visiting delegation from Iran’s Chamber of Commerce and senior officials from the Afghanistan Chamber of Commerce and Investment (ACCI), attended by Iran’s ambassador to Afghanistan.

The discussions centered on three core pillars of economic cooperation — investment, exports, and transportation — areas in which both sides acknowledged progress has been limited despite longstanding cultural and commercial ties. Afghan officials said that while companies from other countries have invested robustly in Afghanistan, Iran’s private sector engagement remains “disappointingly low,” particularly considering the two nations’ shared borders and historical links.

Participants noted that major export opportunities remain untapped, largely due to infrastructure gaps, especially in logistics and transport. Strengthening cooperation between the private sectors of both countries, they said, is essential to addressing these weaknesses.

Officials urged the chambers of commerce to take a more proactive role in solving issues “online and in real time” to prevent economic initiatives from stalling.

Iran’s ambassador in Kabul, Alireza Bigdeli, highlighted the cultural, historical, and religious commonalities between the two nations and urged the business communities to use their geographical proximity to build a strong, mutually beneficial economic partnership.

Niloofar Asadi, Director-General for Asia and Oceania at Iran’s Chamber of Commerce, said Tehran is drafting a strategic roadmap to elevate economic ties with Afghanistan, calling the strengthening of this relationship a top priority.

Other Iranian officials pointed to specific opportunities. Alireza Khamehzarr, head of the Birjand Chamber, urged an expansion of Iranian imports from Afghanistan—particularly agricultural products—while addressing the legal hurdles that continue to impede trade. Mahmoud Siyadat, head of the Iran–Afghanistan Joint Chamber, stressed the need for mechanisms that ensure agreements lead to measurable results.

Hamidreza Salehi, chairman of Iran’s Energy Federation, warned that insufficient infrastructure remains a major barrier to growth. He cited Iran’s strong LPG production and Afghanistan’s high demand as a clear opportunity that requires better planning and coordination. Salehi and others advocated for joint investment structures that bring together private-sector partners from both countries.

Afghan commerce and investment officials presented details of major development plans, including roughly $10 billion worth of projects currently under preparation. They urged established Iranian companies to take advantage of these opportunities, especially as both governments review border issues and prioritize improving conditions in adjacent provinces to ease movement of goods and investment.

Karim Hashimi, president of the Afghanistan Chamber of Commerce and Investment, said Afghanistan’s government strongly supports private-sector activity and emphasized that both ACCI and the Chamber of Industries and Mines operate independently and actively.

Building trust, he said, is essential for future cooperation. He proposed that partnerships between companies introduced through the chambers of commerce of both countries be given priority, describing this as a reliable safeguard for secure and productive business engagement.

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Kazakhstan grain exports to Afghanistan jump sharply

Shipments to Afghanistan reached 302,000 tons during the period, marking a 4.2-fold increase compared to the same timeframe last year.

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Grain exports from Kazakhstan to Afghanistan surged more than fourfold in the first quarter of 2026, according to a report by Kazinform International News Agency.

Shipments to Afghanistan reached 302,000 tonnes during the period, marking a 4.2-fold increase compared to the same timeframe last year.

Kazakhstan’s overall grain exports also recorded solid growth, rising 18 percent to 3.2 million tonnes. Domestic grain shipments increased by 8 percent, totaling 0.9 million tonnes.

Looking ahead, Kazakhstan plans to expand its agricultural processing capacity, with new grain facilities expected to handle a combined 5.8 million tonnes annually by 2028.

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Afghan economic commission approves 12 major development projects across key sectors

In the infrastructure sector, projects include connecting the eastern Kandahar substation to the new central substation in Tarinkot, as well as a major electricity transmission project from Kajaki dam to New Tarinkot.

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The Economic Deputy Office of the Prime Minister says 12 major development projects have been approved in the latest meeting of the Economic Commission and referred to relevant departments for implementation.

According to the statement, the approved projects include the transfer of imported electricity to the province of Paktika, construction of a double-circuit transmission line from Ghazni, completion of remaining substation works, and expansion of the national power network.

The package also includes extension of electricity lines from the Nurul-Jihad substation to the provinces of Herat, Farah, and Nimroz, as well as supplying electricity to Seydan village in the Grishk district of Helmand.

In the infrastructure sector, projects include connecting the eastern Kandahar substation to the new central substation in Tarinkot, as well as a major electricity transmission project from Kajaki dam to New Tarinkot.

Other approved projects include irrigation schemes in Faryab, upgrading and activating the 350-bed Aino Mina hospital in Kandahar, construction of a grand mosque with a capacity of 40,000 worshippers in Nimroz, and expansion of the Torghundi–Herat and Andkhoy–Shiberghan–Mazar-i-Sharif railway lines.

Officials say these projects aim to strengthen infrastructure, improve public services, and support economic growth across the country.

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Afghanistan, Iran sign 23-point MoU to expand border trade

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Local authorities in Iran’s Sistan and Baluchestan province say a 23-point memorandum of understanding (MOU has been signed with Afghan officials following a recent visit by an Iranian delegation to Nimroz, aimed at deepening economic cooperation and boosting cross-border trade.

Mojib Hassani, Deputy for Economic Coordination and Regional Development in Sistan and Baluchestan, said the visit produced significant outcomes, particularly in expanding small-scale trade, activating border markets, and strengthening bilateral economic ties, IRNA news agency reported.

He noted that Iran is fully prepared to launch local border markets in Shahgol, Milak, and Gomshad, but implementation will depend on readiness from the Afghan side. According to Hassani, the necessary infrastructure has already been completed on Iran’s side of the border.

Trade through official crossings remains ongoing, he said, with livestock imports among the key commodities exchanged—especially ahead of Eid al-Adha, when demand typically rises.

Hassani added that the 23-point framework was developed following the Afghan Minister of Commerce’s visit to Iran, with a strong focus on improving and expanding infrastructure to facilitate trade.

Among the early outcomes of the agreement is the construction of a temporary road linking two border markets, completed within a short timeframe and already contributing to increased trade flows.

He also confirmed Iran’s readiness to build a second border bridge, noting that some equipment has already been deployed. However, further progress on the project—currently around 30 percent complete—will require coordination with Afghan authorities.

Plans are also underway to install an X-ray scanning system at the border, with the process accelerated and expected to be finalized by the end of Jawza (June).

In addition, Hassani said broader infrastructure projects, including road expansion and rail development in the region, are being considered, though they will take time to implement.

He further highlighted efforts in Iran’s Chabahar Free Zone to facilitate Afghan traders, including the development of commercial storage facilities and the allocation of land for business use.

Iranian officials say these initiatives are part of a broader strategy to transform the shared border into a hub for sustainable economic cooperation between the two countries.

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