Delegates from Afghanistan and India during trade talks.
Kabul, Afghanistan – In a significant move to reshape its economic future, Afghanistan’s top trading body has formally urged India to expand and deepen trade and investment ties, emphasizing the critical need for easier business visas, improved logistics, and streamlined business procedures. This outreach comes as Afghanistan strategically seeks alternative trade routes and robust business access, particularly in light of a dramatic decline in transit trade through Pakistan.
During high-level talks held recently in Kabul, Sayed Karim Hashemi, Chairman of the Afghanistan Chamber of Commerce and Investment (ACCI), met with Indian Ambassador to Afghanistan Yatin Patel. Hashemi underscored the urgency of removing administrative obstacles and facilitating business visas to invigorate bilateral commerce. The context for this push is stark: transit trade through Pakistan has plummeted from a robust USD 5 billion in fiscal year 2021 to a mere USD 367 million in fiscal year 2026, forcing Afghanistan to pivot towards new partnerships.
India is actively supporting this strategic shift. A key enabler is the enhanced connectivity offered by Iran’s Chabahar port, which provides Afghanistan direct access to the sea, effectively bypassing Pakistan. This infrastructure, coupled with India’s prior investment in the 218-km Zaranj-Delaram highway, is crucial for facilitating both trade and humanitarian aid.
Hashemi specifically highlighted potential areas for sustained cooperation, including agricultural exports, handicrafts, mining, and mineral resources. He proposed expanding market access and further improving logistics to boost these sectors. Ambassador Patel welcomed these proposals, reaffirming India’s commitment and outlining plans for joint trade exhibitions, business forums, and delegation exchanges. Both nations expressed a shared vision to foster long-term economic, political, and cultural ties built on transparency, efficiency, and mutual benefit.
Bilateral trade between India and Afghanistan stood at USD 907.85 million in 2025-26, consistently hovering around the USD 1 billion mark over the past five years. These latest discussions are poised to elevate that figure, signaling a renewed focus on expanding trade, improving connectivity, and solidifying a deep, long-term economic partnership that could redefine regional commerce.
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