Business
Price hike adds to humanitarian crisis in Afghanistan
Grain prices in Afghanistan have kept soaring due to the sanctions imposed by the United States and the ongoing conflict between Russia and Ukraine, adding to the aggravated humanitarian crisis suffered by the Afghan people, CCTV reported.
Abdul Shukoor is a vegetable vendor who has been living at a hillside settlement named Demazang north of downtown Kabul for 20 years with his family.
Resulting from the poor living conditions on the hill, the local residents are suffering severe water shortage and therefore are forced to carry drinking water uphill with donkeys each day, read the report.
Frequent power outage is another issue upsetting the locals.
A China Central Television (CCTV) reporting crew has recently paid a visit to Abdul Shukoor’s home — a room measuring less than 10 square meters which houses 10 family members.
“I have two sons and six daughters. One of my sons died from illness. I can only make 5,000 to 6,000 Afghanis (around 56 to 67 U.S. dollars) each month, which is far from being enough to support the livelihood and subsistence of my family and to taking good care of my kids,” said Shukoor.
His late son passed away one month ago from cancer as a result of lacking money.
“My son who died was 18 years old this year. He was diagnosed with cancer a year ago and I don’t have enough money to take him to Pakistan or India for treatment. I lost my son because I don’t have money,” said Shukoor.
He said he borrowed a total of 300,000 Afghani (around 3,375 U.S. dollars) to take his son to doctors and now he has not paid the house rent for months. And the food price hike has added to the family’s hardship.
Some 19.7 million people, almost half of Afghanistan’s population, are facing acute hunger, according to the Integrated Food Security Phase Classification (IPC) analysis conducted in January and February 2022 by Food Security and Agriculture Cluster partners, including the Food and Agriculture Organization of the United Nations (FAO), the United Nations World Food Program (WFP) and many NGOs.
The analysis also pointed out that the Russia-Ukraine conflict continues to put pressure on Afghanistan’s wheat supply, food commodities, agricultural inputs, and fuel prices.
According to a grain ship owner named Shafi, the prices of rice and flour have more than doubled compared with six months ago.
“The rice price was some 70 to 100 Afghanis (around 0.8 to 1.1 U.S. dollars) per kg and it has now surged to about 150 to 200 Afghanis (around 1.7 to 2.2 U.S. dollars) per kg. The best quality rice is now sold at 180 to 200 Afghanis (about two to 2.2 U.S. dollars) per kg,” Shafi told the CCTV.
Following the withdrawal of U.S. troops from Afghanistan in August last year, the U.S seized seven billion U.S. dollars worth of frozen assets of the Afghan central bank, which has aggravated the humanitarian crisis in the country.
“The money frozen by the U.S. government belongs to the Afghan people. They should not have done that because the money is property of our people. What the U.S. cares about is only to maximize interests for itself, and it has done nothing conducive to the Afghan people. If they were here to help us, then why have we still been living in shabby houses like this and seeing nothing improved in our lives. The U.S. came here to pursue their own interests instead of helping the poor here,” said Shukoor.
Business
Afghanistan eyes direct Basmati rice imports from India amid tensions with Pakistan
Afghanistan is exploring direct imports of Basmati rice from India as it seeks to diversify its supply sources amid ongoing tensions with Pakistan, according to a report by The Hindu.
The report said Indian exporters and Afghan importers are expected to meet next month to discuss expanding direct trade in Basmati rice, following preliminary talks between officials from both countries held last week with the facilitation of the PHD Chamber of Commerce and Industry.
Afghanistan consumes nearly 500,000 tonnes of Basmati rice annually and has traditionally relied on imports from neighboring Pakistan. However, industry sources told The Hindu that recent strains in Afghanistan-Pakistan relations have encouraged Kabul to seek alternative suppliers, including India.
Representatives of Afghanistan’s diplomatic mission in New Delhi reportedly took part in the discussions and expressed interest in increasing purchases of Indian Basmati rice. At present, some Indian rice reaches Afghanistan indirectly through traders in Iran and Dubai, a route that adds to transportation and transaction costs.
One proposal under consideration is to transport rice through Iran’s Bandar Abbas Port, subject to agreements between the two governments. The discussions are also expected to cover logistics, payment mechanisms, and the possibility of barter trade, with Afghanistan’s dried fruit exports to India seen as a potential component of future trade arrangements.
According to The Hindu, a direct trade arrangement could help India expand its share of Afghanistan’s Basmati market, which has historically been dominated by Pakistani suppliers.
Business
Afghanistan, Kyrgyzstan establish trade council to boost economic cooperation
The two sides signed a memorandum of understanding to establish the Afghanistan-Kyrgyzstan Trade Council.
The Embassy of the Islamic Emirate of Afghanistan in Kyrgyzstan says the Afghanistan-Kyrgyzstan Business Forum has been held with the participation of officials from both countries.
According to a statement issued by the embassy, Acting Ambassador Abdul Shakoor Haqqani said Afghanistan supports strengthening bilateral trade relations and promoting joint economic initiatives between the two countries.
The statement added that the two sides signed a memorandum of understanding to establish the Afghanistan-Kyrgyzstan Trade Council. The council aims to strengthen ties between business communities, coordinate joint initiatives, and expand and support economic projects.
Meanwhile, Sayed Karim Hashemi, Chairman of the Afghanistan Chamber of Commerce and Investment, arrived in Kyrgyzstan on Saturday at the head of a trade delegation to participate in the forum.
Business
Afghanistan invites Turkish investors to expand joint investments
Participants stressed the importance of increasing private sector cooperation and creating new opportunities to boost trade and investment between Afghanistan and Türkiye.
A high-level Afghan business delegation, led by the Chairman of the Balkh Chamber of Commerce and Investment, Mohammad Ibrahim Ghazanfar, participated in the Afghanistan–Türkiye Joint Business Council meeting in Istanbul, calling for expanded joint investment and stronger economic cooperation between the two countries.
According to a statement from the Balkh Chamber of Commerce and Investment, Ghazanfar invited Turkish investors and industrialists to explore investment opportunities across various sectors in Afghanistan, emphasizing the country’s potential for mutually beneficial partnerships.
The meeting brought together business leaders, investors, and private sector representatives from both Afghanistan and Türkiye to discuss ways to strengthen bilateral trade and economic ties.
During the event, several cooperation agreements were signed between Afghan and Turkish economic institutions. The agreements are aimed at expanding commercial relations, promoting joint investment projects, and enhancing economic cooperation between the two countries.
The meeting was chaired by Süleyman Güllü, Chairman of the Türkiye–Afghanistan Joint Business Council, and was attended by Mohammad Akbar Azimi, the Islamic Emirate of Afghanistan’s Consul General in Istanbul, along with a number of businessmen and investors from both countries.
Participants stressed the importance of increasing private sector cooperation and creating new opportunities to boost trade and investment between Afghanistan and Türkiye.
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