Business

Afghanistan: Kazakhstan to open trade office in Herat city

Kazakhstan’s ministry of trade and integration announced Monday that it will open a trade office in Afghanistan’s western Herat province in a bid to promote bilateral trade.

According to a statement issued by the ministry, Kazakhstan’s Deputy Prime Minister: Minister of Trade and Integration, Serik Zhumangarin, who led a delegation to Afghanistan, announced the decision during a meeting in Kabul with Taliban leaders over the weekend.

The ministry said the delegation included 18 representatives of export enterprises of mostly consumable products. The ministry also said that it was agreed at the meeting that entrepreneurs would supply $4 million worth of flour to Afghanistan.

“The key objectives of the trade office are to promote and intensify trade and economic relations between the two countries, increase trade turnover between Kazakhstan and Afghanistan, develop regional trade and economic, telecommunications, transport and logistics ties, use the transit and border potential of Afghanistan for trade with the countries of the region, and attract investment in the economy of Kazakhstan,” the statement read.

The ministry added that it is hoped the trade office will become a platform between Kazakh and Afghan business owners, thereby supporting B2B events and trade in both countries.

“To do this, a consulting center on exported domestic goods and services, trade legislation, marketing research and analysis of development prospects and problematic issues, development of recommendations for Kazakh and Afghan business circles and other issues of interaction will be created on its basis,” the statement noted.

The announcement of the new trade office comes just two days after Zhumangarin handed over medical supplies to the Taliban authorities as humanitarian aid. This in turn came after Kazakhstan shipped 5,403 tons of aid, including canned milk, vegetable oil, flour and wheat to Afghanistan by rail.

Zhumangarin, on Saturday met with Abdul Ghani Baradar, the Taliban’s deputy prime minister and said: “As [President] Kassym-Jomart Tokayev has repeatedly noted, the international community and, in particular, Kazakhstan cannot leave the Afghan people in a difficult situation without help. It is symbolic that our humanitarian mission takes place in the holy month of Ramadan, and in this blessed time for all Muslims, let me wish everyone peace and tranquility.”

During his visit to Afghanistan, Serik Zhumangarin met with a number of senior Taliban leaders including acting minister of trade and industry, Nuriddin Azizi; foreign minister Amir Khan Muttaqi and the Taliban’s deputy prime minister Abdul Ghani Baradar.

According to Kazakhstan’s ministry of trade, it would like to further develop trade, economic, transport, logistics and energy ties with Afghanistan.

“As Deputy Prime Minister for Trade, I am confident that our countries have great potential for developing cooperation in the field of trade and on the scale of the entire region. We are ready to continue working on increasing cooperation in the trade and economic sphere, including through the provision of humanitarian assistance,” Zhumangarin said in the statement.

Trade turnover between Kazakhstan and Afghanistan in 2022 amounted to $987.9 million, which is 2.1 times higher than in the same period of the previous year ($474.3 million).

The ministry said exports from Kazakhstan to Afghanistan in 2022 amounted to $978.9 million while imports to Kazakhstan from Afghanistan in 2022 increased by 82.6% and amounted to $9.1 million.

In January and February of this year, the trade turnover between Kazakhstan and Afghanistan totaled $282.6 million, 94.6% higher than in the same period of the previous year ($145.2 million).

Exports from Kazakhstan to Afghanistan in January and February 2023 increased by 95% and amounted to $281.5 million while imports to Kazakhstan from Afghanistan in January and February 2023 increased by 28.3% and amounted to $1.1 million.