Cross-Border Trade Halt Between Afghanistan and Pakistan Takes Heavy Economic Toll

Cross-Border Trade Halt Between Afghanistan and Pakistan Takes Heavy Economic Toll
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Nearly a month after cross-border trade between Afghanistan and Pakistan came to a standstill, economic losses are mounting on both sides as thousands of commercial trucks remain stranded, the news was reported by Amu TV.

All five major border crossings — Torkham, Spin Boldak, Ghulam Khan, Angoor Adda, and Dand-e-Patan — remain closed to commercial traffic following heightened tensions between the Taliban and Pakistani authorities. The shutdown has severely disrupted trade and transit, with thousands of businesses affected and the flow of goods between the two countries reduced to zero.

According to the Afghanistan-Pakistan Joint Chamber of Commerce and Industry, around 2,000 trucks used to cross daily, but up to 8,000 containers are now stuck on both sides of the border, including at Pakistan’s Karachi port, where traders face heavy demurrage fees.

The World Food Program reports a surge in Afghanistan’s food prices, with the cost of flour and rice rising sharply despite a stronger afghani. In Pakistan, shortages of Afghan exports have led to higher prices for fruits and vegetables, key imports during peak harvest season.

Economists warn that Afghanistan, which depends heavily on Pakistan as a primary export destination for perishable goods, faces substantial financial losses as produce spoils and jobs are lost.

The Afghanistan Chamber of Commerce and Investment estimates that both countries are losing nearly $200 million a month due to the border closures. The impasse follows recent military tensions and unsuccessful negotiations in Istanbul to reopen trade routes.