Af-Pak border tension hits India-Afghan trade

Amritsar: The closure of the Chaman and Torkham borders between Afghanistan and Pakistan for days together has had a detrimental impact on Afghanistan-India trade, with just one truck carrying mulethi reaching the Integrated Check Post (ICP) at Attari on Tuesday, in stark contrast to the usual volume of 20 truckloads per day.The closure has forced importers to resort to importing Afghan commodities via Dubai, resulting in elevated prices for these goods in the Indian market even as there are indications that discussions are underway on reopening at least one of the two closed borders, to facilitate trade operations.The closure has forced importers to resort to importing Afghan commodities via Dubai, resulting in elevated prices for these goods in the Indian market even as there are indications that discussions are under way to potentially reopen at least one of the two closed borders, aiming to facilitate smoother trade operations.However, reports are that the Afghan-Pakistan border opened late Tuesday resuming the trade between two countries but goods are yet to arrive in Amritsar.R S Sachdeva, chairman of the PHD Chamber of Commerce and Trade, Punjab, said the trade between India and Afghanistan, through the Attari land border, had hit its lowest point, primarily due to the prevailing tensions between Afghanistan and Pakistan.Sachdeva informed that Pakistan only allowed transit routes for Afghan trucks engaged in trade activities with India. “Despite India’s substantial investment on infrastructure at the Attari ICP, its potential remains underutilised due to the closure of the border between Afghanistan and Pakistan. This has resulted in significant financial loss for Indian traders,” he said.He also said the current mode of importing Afghan goods via Dubai had led to a noticeable increase in their prices in the Indian market. Indian imports from Afghanistan include various herbs like mulethi, braham jasu, and rattan jot (alkanet); dry and fresh fruits; anardana (dried pomegranate seeds); vegetables, including onion; and pulses.“Yesterday, only one truckload of mulethi arrived at Attari ICP from Afghanistan as against the daily inflow of 15-20 truckloads of Afghan imports. We believe there may not be any more trucks arriving in near future unless the Pakistan-Afghan borders at Chaman and Torkham open for trade,” said a source.According to reports, a long queue of Afghan trucks carrying perishable goods and waiting to enter Pakistan was witnessed at Chaman and Torkham borders.Significantly, the repeated exchange of fire between the Pakistan army and Afghan Taliban, coupled with the expulsion of Afghan refugees from Pakistan, has strained the relations between the two nations, resulting in imposition of various restrictions and the closure of some crucial Afghan-Pakistan borders.According to sources, there had been an import of goods worth Rs 3,115.99 crore from Afghanistan via the ICP at Attari during the financial year 2023-24 (up to December 2023) as against imports of Rs 2,210.79 crore in the FY 2022-23.Chybul Singh, an Afghan trader, expressed concern over the impact of the closure of Chaman and Torkham borders on the trade between Afghanistan and India. He said the forced shift in trade route was not only inconvenient but also financially unviable.“This change in logistics has resulted in overpricing of Afghan goods due to elevated input costs and has disrupted the usual trade channels, creating challenges for businessmen like us,” said Chybul Singh.Sources, however, informed that deliberations were going on for the opening of the two borders, at least to facilitate the trade.
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