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Afghanistan to Use Chabahar Port in Near Future

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(Last Updated On: October 24, 2022)

The Ministry of Transport and Civil Aviation has said that Afghanistan has taken all preparations and will use the Chabahar port as transit and trade route in the nearest time.

According to officials, the inauguration of Chabahar port will be started after the formation of a joint committee by the transport ministries of Afghanistan, Iran and India.

Afghanistan in the near future will also have trade transit route through Central Asia that will connect the country with Europe.

“We are completely ready to use the Chabahar port and India is also trying to access the central Asia through this port,” said Fawzia Ehsani, deputy minister of commerce and industry.

Afghanistan Chamber of Commerce and Industry (ACCI) also welcomed the inauguration of Chabahar port, saying the government should make further efforts to use this port.

“We call on the government to start this program as soon as possible that the private sector can increase activities,” said Sayam Pesarlay, the spokesman of ACCI.

Chabahar Port, located in the Sistan-Balochistan province on the energy-rich Persian Gulf nation’s southern coast, lies outside the Persian Gulf and is easily accessed from India’s western coast, bypassing Pakistan.

The port is likely to ramp up trade between India, Afghanistan and Iran in the wake of Pakistan denying transit access to New Delhi for trade with the two countries.

India has been closely working with Afghanistan to create alternate and reliable access routes, bypassing Pakistan.

Easier connectivity to Afghanistan is key for India to step up its economic engagement with Kabul, which Washington has called for as part of its new policy to stabilize the war torn country.

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Afghanistan’s Turkey-bound goods via rail cross Tehran

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(Last Updated On: May 6, 2024)

Ten wagons of Afghanistan’s goods bound for Turkey have passed through Tehran and are now on the way to the Razi border in northwest Iran, local media reported on Monday.

IRNA news agency, citing the Ministry of Roads and Urban Development of Iran, said that Afghanistan Rail Development Consortium dispatched the consignment without going through legal procedures, including obtaining permits from border guards and customs, as well as without obtaining permission from the Iranian Railway Authority.

It said that Iran allowed the passage of the consignment considering its national interests and with goodwill.

Iranian officials announced that they will allow the next trade consignment from Afghanistan to transit through the country only after the necessary permits from relevant authorities have been obtained.

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Turkmenistan business delegation visits Herat

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(Last Updated On: May 5, 2024)

Nokerguly Atagulyev, the head of the Union of Industrialists and Entrepreneurs of Turkmenistan, has visited Herat province for trade talks, the Ministry of Industry and Commerce announced on Saturday.

The ministry said in a statement that the purpose of the Turkmen delegation’s visit is to help reduce Afghanistan’s trade deficit, to foster commercial and economic cooperation, examine Afghanistan’s proposal for the supply of construction materials, especially marble and iron bars and for the growth of trade and transit between the two countries.

The delegation is also expected to meet with officials and private sector representatives, and visit commercial and industrial sites of Afghanistan, especially in Herat province.

The visit comes after Nooruddin Azizi, Acting Minister of Industry and Commerce’s trip to Turkmenistan. The aim is to open the first Afghan-Turkmen Business Forum and discuss the import of construction materials, especially marble and iron bars from Afghanistan.

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IEA plans regional energy trade hub with Russian oil in mind

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(Last Updated On: May 3, 2024)

The Islamic Emirate of Afghanistan (IEA) has agreed with Kazakhstan and Turkmenistan to build a logistics hub in western Afghanistan aimed at making the war-torn nation a major logistics point for regional exports, including oil from Russia to South Asia, the country’s commerce minister said.

Following a meeting between representatives of the three countries in the Afghan capital last week, IEA’s acting commerce minister Nooruddin Azizi told Reuters that technical teams would draw up a written agreement within two months on the formal plans for the hub, which all three countries would invest in after six months of talks.

As foreign aid to Afghanistan falls and the predominantly agricultural economy is marred by persistent drought, its officially unrecognised IEA government has faced questions over how to fund development and avoid economic stagnation, Reuters reported.

Azizi said the new hub was part of broader efforts to take advantage of Afghanistan’s strategic location, once a thoroughfare for the ancient Silk Road trade route, lying between South and Central Asia and sharing borders with China and Iran.

“Based on our discussions, a logistics centre is going to be established in Herat province, which can connect the north to South Asia,” Azizi said, adding that the Taliban (IEA) was eyeing the millions of tons of oil they expected Russia would be selling in coming years to South Asian countries, particularly Pakistan, to pass through the new hub.

“The three countries have done their best to prove Afghanistan’s claim as a connectivity point,” he said.

“Reaching Pakistan through Afghanistan will be the best option,” Azizi added, saying they were focused on Russia’s petroleum exports and that Kazakhstan was also planning to export goods through Herat into South Asian markets.

Kazakhstan’s trade ministry said in a statement to Reuters that it wanted to develop roads and a railway through Afghanistan to connect with South Asia and the Gulf, with the hub serving as an important logistics point.

“The creation of the hub will allow for the development of multi-modal services by consolidating truck shipments in the dry port where they will be sorted and sent along railroads on the North-South corridor to sea ports in the Gulf, Pakistan, and Indian Ocean, towards India,” the statement said.

Azizi said the logistics hub’s initial capacity would be one million tons of oil but he did not give a date for when it would be operational.

Turkmenistan’s government did not immediately respond to a request for comment and the Russian government did not respond to a request for comment during a national holiday.

Pakistan’s foreign office and energy minister did not respond to a request for comment. Pakistan is a major trading partner with Afghanistan and has signed on to regional energy connectivity agreements, Reuters reported.

However, Islamabad has had strained relations with the IEA in recent years over accusations Afghanistan is harbouring anti-Pakistan militants, which Kabul denies.

Cash-strapped Pakistan last year became Russia’s latest customer, snapping up discounted crude that has been banned from European markets due to Russia’s war on Ukraine.

Afghanistan also buys oil, gas and wheat from Russia at discounted rates.

Azizi said that the IEA was also speaking with Chinese authorities on building a road through the remote, narrow Wakhan corridor that connects Afghanistan with China and that they hoped Afghanistan would eventually develop into a route for trade between China and Iran. He said Afghan commerce ministry officials had been recently been sent to China for training.

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