India and Afghanistan Boost Trade Ties with Attachés and Chabahar Push
India and Afghanistan Boost Trade Ties with Attachés and Chabahar Push
New Delhi hosts talks as India and Afghanistan agree on commercial attachés, revived air freight routes, and expanded Chabahar port cooperation to lift bilateral trade.
In New Delhi, senior officials and ministers moved to deepen the trade relationship between India and Afghanistan, focusing on stronger connectivity, people-to-people ties, and development support for Afghanistan. The discussions highlighted a shared commitment to bolster economic links and reinforce welfare programs, with both sides signaling a readiness to broaden cooperation beyond traditional sectors.
A major outcome of the talks is the decision to appoint dedicated commercial attachés in each capital to oversee and accelerate bilateral trade. The move, announced during official discussions, aims to streamline visa processes, reduce bureaucratic hurdles, and provide closer, real-time support to businesses seeking to operate across the border. Officials said the Afghan side will soon appoint a trade attaché to New Delhi, while India will appoint one to Kabul, creating a more structured framework for market access and investment.
The discussions also underscored the operational revival of the Kabul-Delhi air freight corridor, with plans to activate cargo flights on the Kabul-Delhi and Kabul-Amritsar routes. This logistical boost is expected to cut transit times, improve supply chains for essential goods, and support new commerce avenues for exporters from both countries. Authorities emphasised that joint working groups on trade, commerce, and investment would be reactivated to push bilateral trade beyond pre-2021 levels, leveraging streamlined customs and banking procedures.
A prominent theme was the potential use of the Chabahar Port route as a strategic alternative for Afghanistan to diversify its trade routes, especially in light of regional tensions. Afghan officials advocated faster issuance of business visas, regular shipping lines from Chabahar, and development of dry ports in Nimruz to facilitate smoother cross-border movement. There was also discussion around incentives, including a possible five-year tax exemption for new industries, to attract private investment and bolster manufacturing and logistics capabilities.
The talks come amid broader regional dynamics, including pressures on trade corridors with neighboring Pakistan. By strengthening economic ties and expanding access to markets, both nations aim to cushion their economies from external shocks and stimulate growth. The conversations reflect a pragmatic approach to regional connectivity, with a clear emphasis on practical steps—like freight corridors, port usage, and trade attaches—that could deliver tangible benefits for businesses and consumers alike.
Cover image source: Trade in focus as EAM holds talks with Afghan commerce minister 🔗
