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HomeBusinessIndia, Afghanistan to appoint trade attachés, open freight corridors amid Taliban-Pakistan tensions

India, Afghanistan to appoint trade attachés, open freight corridors amid Taliban-Pakistan tensions

After Taliban foreign minister's visit, acting minister of commerce & industry Alhaj Nooruddin Azizi is currently on a five-day trip to India, along with a high-powered delegation.

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New Delhi: India and the Taliban regime in Afghanistan Friday announced the deputation of trade attachés to their respective embassies in New Delhi and Kabul, as the thaw in ties continues to gather pace.

The swift moves to stabilise ties are in contrast to the nosediving of relations between the Taliban and Pakistan in recent months.

The announcement came as Alhaj Nooruddin Azizi, the Acting Minister of Commerce and Industry in the Taliban regime, is on a five-day visit since Wednesday. The two sides have also activated the air freight corridor connecting New Delhi with Kabul and Amritsar with the Afghanistan capital, with services expected to begin soon.

Azizi met with External Affairs Minister S.Jaishankar Thursday and also held discussions with Jitin Prasada, the Minister of State for Commerce and Industry. Azizi is the second senior Taliban official to visit India in as many months.

“Last month, we had the historic visit of the Foreign Minister of Afghanistan Mawlawi Amir Khan Muttaqi. It was a very productive meeting. We agreed to a number of initiatives such as a special air freight corridor connecting Delhi and Kabul and Amritsar and Kabul. Those routes have been activated and service will start soon,” M. Anand Prakash, the Joint Secretary in the Pakistan-Afghanistan-Iran (PAI) division in the Ministry of External Affairs (MEA), said.

Prakash was speaking at a business interaction hosted by the PHD Chamber of Commerce (PHDCCI), wherein the Taliban minister along with businesses with ties to both India and Afghanistan were present.

“In yesterday’s meetings [Azizi’s with the different ministers], both sides agreed to depute a trade attaché in each other’s embassies to coordinate trade and commerce. Indian companies are not new to the Afghan market,” Prakash said. “We welcome the Afghan government’s decision to invite Indian companies to engage in mining and other high value sectors in Afghanistan.”

For Afghanistan, India has become an important option for its traders given that the border posts with Pakistan have been closed since 11 October. Islamabad has been blaming the Taliban for aiding the Tehreek-i-Taliban Pakistan (TTP), also known as the Pakistani Taliban. Pakistan has seen the domestic security situation face a number of challenges in recent months—a situation Islamabad blames on the TTP.

Trade between India and Afghanistan is close to $1 billion in the last year. India has yet to formally recognise the Taliban regime, however, last month New Delhi upgraded its technical mission to the status of an embassy, subsequent to Muttaqi’s visit to New Delhi. With the land routes closed with Pakistan, the only remaining route for the Taliban to trade with India is via Iran and the Chabahar port.

At the PHDCCI event, Azizi urged India to help complete the roughly 200 kilometres of highways connecting Iran’s Zahedan with Zaranj in Afghanistan.

“The US has not returned $9 billion of our money. Pakistan has closed their borders. When we found a new route via Chabahar, they [the US] imposed sanctions. There must be a sanctions waiver for Chabbahar,” he said.

The Taliban minister made it clear that Kabul has “no enmity” with anyone in response to a question on the current tensions with Pakistan. Azizi added that the Afghan people are “fatigued” by war, while highlighting that Kabul is looking to be friendly with everyone.

India has been developing the port facilities at Iran’s Chabahar for the better part of the last decade, with a view to have an open trade route with Afghanistan bypassing Pakistan. However, the US under President Donald Trump has initiated a “maximum pressure” campaign of imposing sanctions against Tehran to ensure Iran cannot build a nuclear weapon.

New Delhi had received a waiver to operate Chabahar when Trump first initiated the campaign during his first term. However, a few months ago the Trump administration removed the waiver. Late last month, the US, however, gave India a six-month extension to the waiver till the end of April 2026.

Azizi will meet India’s Minister of Commerce and Industry Piyush Goyal Monday, before departing for Kabul. Another high-level delegation led by the Acting Health Minister of Afghanistan is expected to travel to India next month.


Also Read: India upgrades Kabul mission to embassy, welcomes Taliban plan to open mining sector to Indian firms


Cement, healthcare & mining

Azizi urged Indian businesses to invest in Afghanistan in sectors such as healthcare, cement, mining, textiles and agriculture. The Afghan economy has been impacted since the return of the Taliban to power in 2021.

“I would like to kindly invite Indian industrialists and traders to see the potential of Afghanistan and the enabling [business] environment we have created for them. There are huge opportunities available in sectors such as mining, agricultural, health and information technology,” he said.

“We are giving preferential tariffs on raw materials and machinery, both at 1 percent… If you are coming to Afghanistan you will see less competition. If production increases by 20 percent, we are increasing our support.”

Azizi further pointed out that another area where India can look to expand its investments is the energy sector. The potential for energy production in Afghanistan is around 70,000 megawatts, he explained, highlighting that the current need in the country is only around 10,000 megawatts.

“We need investments here…I know that two big [Indian] companies stopped their work. I invite them to come back and restart their work in the energy sector,” said Azizi.

The acting minister further invited the Afghan Sikh and Hindu refugees living in India to return to Kabul, pointing out a number of incentives the Taliban regime have implemented with regards to the same.

(Edited by Tony Rai)


Also Read: Muttaqi in Delhi, assures Sikhs & Hindus of restoration of places of worship, security under Taliban


 

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