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Khaf-Herat railway line looks set to start in early solar new year

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Afghanistan Railway Authority (ARA) says the process of shipping goods via the Khaf-Herat railway line will begin in the first month of the new solar year, which starts on March 20.

Bakht-ur-Rahman Sharafat, head of Afghanistan Railway Authority, said Sunday that the construction of this railway line, which is 62 kilometers long, is underway.

“The project we are working on is the Khaf-Herat railway project. It is 62 km long and is connected to Iran,” said Sharafat.

“Inshallah, the work will be finished in a month and the shipment from Iran will start next year.”

ARA officials had already announced their plans to develop railway lines in different parts of the country with the aim of increasing accessibility for exports to regional countries and to countries further afield.

Economic experts meanwhile have emphasized the importance of railways in Afghanistan, saying that investment in this sector is important and will help reduce unemployment, increase exports, production and domestic revenues.

“Currently, the railway is a key means of transporting goods and the means of transportation to get goods from one place to another, and the railway is important for economic growth,” said Sayed Massoud, an economic analyst.

ARA meanwhile also announced a delegation of officials from Afghanistan and Iran will visit the Khaf-Herat railway line.

According to ARA, the Ghorian station has been officially handed over to Iran so that they can activate their technical offices and finish work on technical issues regarding the railway.

According to an ARA newsletter, the Iranian delegation has made a written commitment to send the first train carrying goods to Afghanistan before the new year begins.

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Pakistan’s kinno exports falter as tensions with Afghanistan continue

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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.

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Pezeshkian pledges to facilitate Iran-Afghanistan trade

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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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Afghanistan-Kazakhstan banking ties discussed in Kabul meeting

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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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