Afghanistan shifts trade to Iran route to avoid Pakistan closures

Landlocked Afghanistan is leaning more heavily on trade routes through Iran and Central Asia to reduce dependence on Pakistan, officials said, as tension between the neighbours escalates, with the Durand Line crossings closed in recent weeks, Reuters reported.

“In the past six months, our trade with Iran has reached $1.6 billion, higher than the $1.1 billion exchanged with Pakistan,” Abdul Salam Jawad Akhundzada, a spokesman for the commerce ministry, told Reuters.

“The facilities at Chabahar have reduced delays and given traders confidence that shipments will not stop when borders close.”

Traders have three months to settle contracts in Pakistan and shift to other routes, said Mullah Abdul Ghani Baradar, Afghanistan’s deputy prime minister for economic affairs.

Accusing Islamabad of using “commercial and humanitarian matters as political leverage”, he said Afghanistan would not mediate disputes after the deadline and ordered ministries to stop clearing Pakistani medicines, citing “low-quality” imports.

The biggest shift is to Chabahar, used since 2017 under a transit pact with Iran and India. Afghan officials say incentives from tariff cuts and discounted storage to faster handling are drawing more cargo south.

Iran has installed updated equipment and X-ray scanners, while offering Afghan cargo a 30% cut in port tariffs, 75% off storage fees and 55% off docking charges, said Akhundzada, the commerce ministry spokesman.