From Dawn · Manzoor Ali · · 1m 50s
The commercial cost of Afghan intransigence
Afghan border closure slashes Pak-Afghan trade by 74% as businesses suffer.
In brief
Afghan border closure slashes Pak-Afghan trade by 74% as businesses suffer. Pak-Afghan trade dropped from $1.3bn in FY24-25 to $358m in FY25-26 due to border closures. Originally reported by Dawn.
Torkham border terminal
Goods trucks remain parked at the Torkham border’s terminal since its closure amid tensions between Pakistan and Afghanistan.
“Goods trucks remain parked at the Torkham border’s terminal since its closure amid tensions between Pakistan and Afghanistan., Photo by the writer”
Trade decline
Bilateral trade fell from $1.3 billion in FY24-25 to $358 million in FY25-26, a 74% drop.
Border closures

Torkham, Kharlachi, Ghulam Khan, Angoor Adda, and Chaman border crossings remain closed for trade.
Pharmaceutical impact
Pharmaceutical exports to Afghanistan dropped from $130 million in FY23-24 to near zero.
Potato market crisis
Up to 50 trucks of potatoes used to cross daily; border closure reduced crop cultivation by almost half.
Transport sector collapse
Transporters sold three of five trucks due to border closure, with KP transport nearly ruined.
Economic impact
KP businesses face higher logistics costs and reduced economic opportunities due to border closure.
Junaid Altaf's view
KP businesses need secure borders, regulated trade, competitive industry, and shared prosperity.
Malik Sohni's view
Potato prices will rise as demand increases against limited supply due to border closure.
Fuad Ishaq's view
Security comes first; cutting ties with Afghanistan reduces burden on hospitals and schools.
Trade corridor potential
KP could become a stronger pharmaceutical production and export centre with trade access.
Loss of market access
Pakistani potato exports to Afghanistan dropped by 50% after border closure.
Financial impact
Businesses lost Rs180 million when potato prices crashed after border closure.
Trade corridor decline
Afghan Transit Trade dropped from 89,000 containers valued at $5 billion to 11,592 containers worth $367 million.
The essence
Pak-Afghan trade dropped from $1.3bn in FY24-25 to $358m in FY25-26 due to border closures.



