Taliban have stopped the imports and exports with India and sealed two significant terminals after entering Kabul on Sunday, August 15. Director-General of the Federation of Indian Export Organisation (FIEO), Dr Ajay Sahai, confirmed the development.
The Islamist organisation has halted the land-border trade route, and prohibited all cargo movements from the transit routes of Pakistan, NDTV reported. The trade route through Dubai, however, is operational.
India is one of the largest trade partners of Afghanistan. Sahai informed that the exports were worth USD 835 million this year, and goods imported were worth USD 510 million.
The country exports sugar, tea, coffee, medicines, apparel, spices and transmission towers. Imports majorly include dry fruits (85 percent), vegetable extracts, onions and gum. Afghanistan's largest market in South Asia is in New Delhi.
The prices of items imported might arise due to this, given that Afghanistan was the primary source. Sahai said the FIEO is keeping a close watch on the developments in Afghanistan.
"Some of the goods are exported from international north-south transport corridor route which is fine now. Some of the goods go through the Dubai route also, which is working," Sahai was quoted as saying.
Investment In Afghanistan
The country has invested millions in the past, and about 400 various projects are presently ongoing in the country. So far, India has invested nearly USD 3 billion over the past two decades.
- The new Parliament building of Afghanistan was gifted by India six years ago as a gesture of cordial relationship.
- Transmission Line: 202 km-long Pul-e-Khumri to Kabul transmission line.
- Kabul: Stor Palace, Habibia High School, Chimtala substation, Indira Gandhi Insititute For Child Health, and 218km-long road from Delaram to Zaranj, Shahtoot Dam in the Char Asiab District.
- Herat Province of Western Afghanistan: Afghan-India Friendship Dam (formerly known as Salma Dam) in the Chishti Sharif district.
- Kandahar: Afghan National Agricultural Science and Technology University and Kandahar Cricket Stadium.
The Director-General said they hope to maintain cordial trade relations with Afghanistan, as economic development is the best way forward. "I think the new regime will like to have political legitimacy, and for that, India's role will become important for them also," he added.