Afghanistan starts trade with China via air link

Published November 7, 2018
Afghan airport workers load a cargo plane. ─ AFP
Afghan airport workers load a cargo plane. ─ AFP

KABUL: An aircraft on Tuesday flew 20 tonnes of pine nuts from Afghanistan to China, officials said, inaugurating their first air cargo link as the landlocked South Asian nation turns to overseas markets to offset its trade deficit.

Worth about $500,000, the cargo sent to the commercial hub of Shanghai went by the first of what both countries’ officials hope will be many flights, allowing Afghan companies to expand international trade.

By improving links with markets abroad, the service aims to boost prospects for the growth of the farming and carpet-making industries while Afghanistan battles a deadly Taliban insurgency.

As many as 50 Afghan companies have partnered with Chinese firms to export pine nuts for the next three months, said Naseem Malekzai, chairman of the Afghanistan-China Busi­ness Council in Kabul, the capital.

“It’s our first air cargo consignment to Shanghai, but soon we will be sending Afghan products to Beijing and Quanzhou,” he added.

Afghanistan’s economy is heavily reliant on imports. Imports from China in 2017 stood at $1.09 billion, a commerce ministry official said.

“Our aim is to change Afghanistan to an exporter country. Pine nuts will be exported to China and to other markets,” President Ashraf Ghani said at the launch of the inaugural flight.

The government has given subsidies of $2 million to exporters since Afghanistan launched air corridors to various countries, said a senior adviser to Ghani, who sought anonymity as he was not authorised to speak to media.

“Afghan businessmen have achieved more than $10m in profit by exporting their products through air corridors since 2017,” he said. “China is a great market for our niche products.”

India is by far the biggest destination, taking 87 per cent of exports shipped by air to bypass its arch-rival Pakistan, which limits overland shipment between its neighbours and often engages in border disputes with them.

Since 2017, 153 flights have carried 3,344 metric tonnes of Afghan fresh fruit, dry fruit, medicinal herbs, asafoetida and saffron to three Indian cities.

Published in Dawn, November 7th, 2018

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Hasty transition
Updated 05 May, 2024

Hasty transition

Ostensibly, the aim is to exert greater control over social media and to gain more power to crack down on activists, dissidents and journalists.
One small step…
05 May, 2024

One small step…

THERE is some good news for the nation from the heavens above. On Friday, Pakistan managed to dispatch a lunar...
Not out of the woods
05 May, 2024

Not out of the woods

PAKISTAN’S economic vitals might be showing some signs of improvement, but the country is not yet out of danger....
Rigging claims
Updated 04 May, 2024

Rigging claims

The PTI’s allegations are not new; most elections in Pakistan have been controversial, and it is almost a given that results will be challenged by the losing side.
Gaza’s wasteland
04 May, 2024

Gaza’s wasteland

SINCE the start of hostilities on Oct 7, Israel has put in ceaseless efforts to depopulate Gaza, and make the Strip...
Housing scams
04 May, 2024

Housing scams

THE story of illegal housing schemes in Punjab is the story of greed, corruption and plunder. Major players in these...