Tuesday, 02 January 2024 12:17 GMT

Border Shutdown Cuts Pakistan-Afghanistan Trade By $1 Billion: Pakistan Chamber


(MENAFN- Khaama Press) Pakistan-Afghanistan trade has dropped by nearly $1 billion due to prolonged border closures, the Pakistan Chamber of Commerce and Industry warned, urging immediate government intervention.

The Pakistan-Afghanistan Joint Chamber of Commerce and Industry has called for the immediate reopening of border crossings, warning that prolonged closures have drastically reduced bilateral trade.

The chamber said annual trade between the two countries could exceed $5 billion, but repeated disruptions at key crossings have reduced commerce to less than $1 billion.

Junaid Maqda, head of the chamber, sent a letter to Pakistan's Ministry of Commerce, Federal Revenue Board, customs authorities, and transit officials, urging Islamabad to address the worsening crisis and restore trade flows.

The border closures, triggered on Oct. 11 following clashes with the Taliban, have halted transit of thousands of shipping containers carrying goods for Afghanistan and Central Asian countries, causing mounting losses for traders and logistics companies.

Pakistani businesses face steep financial burdens, with truck owners reportedly paying up to $200 per day in storage fees due to stalled shipments at crossings including Torkham, Chaman, and Ghulam Khan.

The Taliban's deputy minister recently banned medicine imports from Pakistan, urging traders to find alternative routes. Meanwhile, Afghan authorities signed an agreement with Uzbekistan to export agricultural products by air to Central Asia, South Asia, and Europe.

Maqda stressed that while the chamber fully supports Pakistan's national security concerns, the economic pressure on traders, transport companies, and workers has reached a critical level, calling for urgent government intervention.

The chamber has urged Islamabad to prioritize Afghanistan-bound shipments, implement mechanisms to aid exporters, and provide immediate relief on container fees, warning that the prolonged blockade threatens livelihoods of millions dependent on cross-border trade.

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Khaama Press

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