Business
Afghan minister calls for new Khaf-Herat railway line to link with Chabahar
Afghan Minister for Commerce and Industry Nisar Ahmad Faizi Ghoryani on Wednesday said the Khaf-Herat railway project was a great achievement for the people of Afghanistan and said he hoped this railway line would eventually be connected to the Chabahar-Zahedan rail network,
Speaking to Iran’s IRNA agency on the sidelines of the 8th round of Afghanistan-Pakistan Transit Trade Agreement (APTTA) meeting in Islamabad, also noted that Afghanistan’s banking-related challenges around trade and transit from Iran’s Chabahar port had been resolved.
He told IRNA that problems in receiving money related to the exports of Afghanistan to China and India through the port of Chabahar, had caused a slowdown in transit activities.
Ghoryani said: “Afghanistan raised the banking issue in the port of Chabahar with the American parties.”
“The port of Chabahar is excluded from Washington’s sanctions list, which is why the banking issue has been raised with the United States several times, and we have managed to get a 100 percent promise to lift it,” he said.
“The banking problem in Chabahar will be solved in the next few days and there will be no more obstacles or reasons for sabotaging Afghanistan’s transit trade through this important Iranian port.”
Ghoryani also told IRNA that Chabahar was a strategic port and an easy route to ensure the interests of Afghanistan and the region and said “we hope the Khaf railway will be connected to the Chabahar-Zahedan railway project.”
He also again lauded Iran for the new Khaf-Herat railway line and said: “Khaf railway is a great project that connects Afghanistan to Europe through the Islamic Republic of Iran.”
He also invited Iranian investors to participate in Afghan industries.
“Afghanistan imports stand at $7 billion a year, and we can work harder with Iranian investors to meet the needs of industry inside Afghanistan,” Ghoryani said.
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.
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.
A Kazakh delegation led by the Deputy Minister of Finance of Kazakhstan met with Sediqullah Khalid, First Deputy Governor of Da Afghanistan Bank, to discuss ways of strengthening banking and economic cooperation between the two countries.
According to a statement issued by Da Afghanistan Bank, Khalid said the central bank is keen to establish regular and effective banking relations with Kazakhstan as part of broader efforts to expand bilateral trade.
He noted that enhanced banking cooperation would help facilitate trade, investment, and wider economic interaction between Afghanistan and Kazakhstan, while also contributing to financial stability at the regional level.
Members of the Kazakh delegation also emphasized the importance of developing banking and economic ties and expressed their readiness to expand joint cooperation.
The two sides further agreed to establish technical committees from both countries to hold expert-level discussions and advance practical steps for cooperation.
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