Trade Imbalance: Afghan Exports to Pakistan Drop by 31%

The Ministry of Industry and Commerce reports that trade with Pakistan from January to June of the current year amounted to $1.82 billion, with Afghanistan’s exports accounting for $329 million.

According to the ministry’s data, exports to Pakistan in the first six months of the year decreased by 31% compared to the same period last year, while imports increased by 11%.

This highlights Afghanistan’s ongoing challenge of maintaining a balanced trade relationship, as the disparity between exports and imports continues to widen.

Khanjan Alokozai, a board member of the Chamber of Commerce and Investment, said: “Our trade with Pakistan, including imports, exports, and transit, does not conform to international trade norms. Unfortunately, it is influenced by politics, and the worse the political situation, the worse the trade.”

Afghanistan’s exports are mostly directed to South Asian countries, with Pakistan being one of Afghanistan’s key economic partners. However, trade challenges with Pakistan have caused a decline in exports.

Traders say that to increase exports to Pakistan, the existing challenges need to be addressed.

Omid Haidari, a trader, said: “We request the leadership of the Islamic Emirate to resolve our problems. It is the export season, farmers have suffered losses, and we need alternative routes for trade to process and export agricultural products.”

Zadran Naseri, another trader, said: “Pakistan has repeatedly promised to reduce tariffs but has not done so yet. We urge the government to either create alternative routes or increase tariffs on goods imported from Pakistan.”

Earlier reports from Pakistani media indicated that imports from Afghanistan to Pakistan decreased by 40% in the 2024 fiscal year compared to 2023.

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