Traders urge Pakistan, Afghanistan to resolve border issues for trade revival

Estimated losses could reach $10 billion, worsening economic strain on businesses reliant on cross-border trade, say business leaders at joint webinar

Pakistani and Afghan traders have urged Islamabad and Kabul to negotiate directly to resolve border closures and trade disruptions, emphasising that business should remain separate from political disputes. The appeal was made during a webinar jointly organised by the Sarhad Chamber of Commerce and Industry (SCCI) and the Pak-Afghan Joint Chamber of Commerce and Industry (PAJCCI) to discuss ongoing trade challenges.

Participants highlighted that the prolonged closure of the Torkham border, spanning 17 to 18 days, resulted in significant financial losses, with nearly 6,000 trucks carrying perishable goods such as fruits, vegetables, meat, and other food items stranded on both sides. 

The estimated losses to traders have reached $10 billion, adding to the economic strain on businesses dependent on cross-border commerce.

The conference brought together key stakeholders from both countries, including SCCI and PAJCCI officials, business leaders, and representatives from the Afghanistan Chamber of Commerce and Investment (ACCI). 

PAJCCI Pakistan Chapter Vice President Ziaul Haq Sarhadi and other speakers emphasised the need for immediate diplomatic engagement to restore trade and prevent further economic setbacks.

During discussions, a proposal was put forward for a joint flag march to the border, symbolizing a commitment to peaceful trade relations. SCCI officials stated that they would deliberate on the proposal before making a final decision.

Traders also raised concerns over the frequent closures of Torkham, Ghulam Khan, and Kharlachi trade routes, pointing out that while other trade borders in Pakistan remain operational, those with Afghanistan are frequently shut over minor disputes, adversely affecting bilateral trade.

SCCI officials further criticized the imposition of an infrastructure development cess on exports from Khyber Pakhtunkhwa (KP), which forced traders to shift between 4,000 to 5,000 containers to the Chaman border in Balochistan, affecting customs clearing agents and reducing export volumes. Although the KP government reduced the cess from 2% to 1%, traders complained that the new rate had yet to be implemented in the system, causing continued difficulties.

Traders from Afghanistan, including PAJCCI Vice President and ACCI Chairman Younas Mohmand, echoed similar concerns, calling for joint measures to ease trade restrictions and ensure smooth cross-border movement of goods.

The business community on both sides emphasized that economic stability in the region depends on uninterrupted trade flows, urging governments to implement a structured mechanism for conflict resolution that prevents recurrent disruptions.

Monitoring Desk
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