Karachi [Pakistan], November 30 (ANI): The ongoing closure of the Pakistan-Afghanistan border since October 11 has severely affected Pakistan’s trade, manufacturing, and export sectors, deepening the country’s already fragile economic crisis. The standoff has halted two-way trade and triggered shortages, price hikes, and production disruptions across key industries dependent on Afghan routes for both imports and exports, according to Dawn.
The cement industry has been among the hardest hit. Imports of Afghan coal and exports of cement to Afghanistan have come to a complete halt, forcing manufacturers in northern Pakistan to rely on more expensive coal imports from South Africa, Indonesia, and Mozambique.
The price of Darra (local) coal has risen from PKR 30,000–32,000 to PKR 42,000–45,000 per tonne, while Afghan coal, previously available for PKR 30,000–38,000, has disappeared from the market. Major firms such as Cherat, Fauji, and Maple Leaf Cement are facing significant financial losses, as exports to Afghanistan once made up a substantial portion of their revenues.
The pharmaceutical sector is also grappling with the fallout. Kaiser Waheed, former chairman of the Pakistan Pharmaceutical Manufacturers Association, noted that Pakistan exports medicines worth USD 187 million annually to Afghanistan, with the true volume — including informal trade — nearly three times higher. With border routes blocked, exporters now have large consignments stranded at factories. Some drugs cannot be diverted to local markets because they are not registered for sale in Pakistan. The Searle Pakistan has already estimated potential losses of PKR 2 billion if the shutdown continues, according to Dawn.
Agricultural trade has also been paralyzed. Pakistan’s USD 150 million fruit and vegetable exports to Afghanistan and Central Asian states have nearly halted, with many consignments spoiled or destroyed.
Prices of imported fruits such as pomegranates and grapes have doubled following the disruption of supplies from Afghanistan. With more than 9,000 containers stuck at ports and border crossings, business leaders have described the situation as alarming, Dawn reported. (ANI)
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