Hamidullah Khan, a fruit trader from Kandahar, is a worried man. Last year, he suffered losses as his trucks were stranded for days on Afghanistan-Pakistan border. This year, as the season of fruits peaks, Pakistan has increased taxes on Afghan exports from 3,000 Rs to 13,000 rupees.
Like many other Afghan traders, Mr. Khan exports fruits from Afghanistan to India through Wagah and Karachi ports of Pakistan. But most of the time, his trucks are forced to halt on the border on various flimsy pretexts. This year, with the increase in taxes on exports, his woes have compounded further.
Najlla Habibyar, Chief Executive Officer of
Export Promotion Agency of Afghanistan (EPAA), says Pakistan always creates hurdles for Afghan traders in this peak season, which affects the export of fresh fruits from Afghanistan.
Afghanistan Chamber of Commerce and Industries (ACCI) has also raised similar concerns, saying Afghan traders face losses due to these hurdles created by authorities in the neighboring country.
For landlocked Afghanistan, the transit route through Pakistan is the only lifeline for trade.
According to a report, about 50 trucks carrying pomegranates were stopped by Pakistani authorities on the border and the fruits perished.
The officials in Ministry of Commerce and Industries say they have raised the matter with their Pakistani counterparts on several occasions but nothing has happened.
Presently, the major problems in exporting fresh fruits include lack of processing, absence of cold storages and packaging system.
According to Ms. Habibyar, bureaucracy in Customs department is another huge concern for traders. She says they are looking for alternatives routes to exports their products to other countries.
Currently, Afghanistan has 30 percent trade with India and 44 percent trade with Pakistan. According to Ms. Habibyar, best opportunities await Afghan traders in central Asia, especially in Kazakhstan and they plan to pay more attention there now.
Mohammad Osman Omari, owner of Osman Sahil Company, says the government has not taken initiatives to boost exports. “There is problem of cold-storage, processing and packaging and nothing has been done to address those issues.”
Ms. Habibyar acknowledges that problems exist. “We are trying to provide land to potential investors, and establish a bank so that traders can have access to all kinds of financial facilities,” she says.
According to Ms. Habibyar, the foreign aid should be pumped into infrastructural projects. “We need investment in agriculture, mines and natural gas and if that happens, the volume of exports will jump substantially.” -
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More woes for fruit traders as Pakistan increases tax on Afghan exports | Afghan Zariza