India triumphs over Pakistan in Afghan trade wars, latter’s market share falls 50%

Pakistan’s trade with Afghanistan has fallen sharply by more than 50% from $ 2.7 billion in the financial year 2015-16 to $ 1.2 Billion in the financial year 2016-17. This was revealed by Zubair Motiwala the Chairman of Pakistan-Afghanistan Joint Chamber of Commerce and Industry on Friday.

As per Motiwala, India and China’s penetration has resulted in Pakistan struggling to retain its market share and is even losing out in its traditional markets like red meat, flour and clothing. India is triumphing Pakistan via subsidising its exports and is even selling air tickets with a 75% rebate.

It is also noted that the Indian goods are replacing their Pakistani counterparts in Afghanistan’s capital Kabul with the help of cheaper products and in the process are damaging Pakistan’s already troubled economy.

- Advertisement - - Article resumes -

India’s focus to capture Afghan market has also resulted in the Afghan nationals preferring to travel to India for medical treatment. Earlier their preferred medical destination used to be Peshawar and Hyderabad in Pakistan which now wear a deserted look.

Peshawar has also been hit in the form of its 100 flour mills closing due to a drastic fall in Afghan demand. The magnitude in the fall of trade can be gauged by the fact that container traffic between the two countries has dropped to just 7,000 from a previous figure of 70,000.

It though isn’t clear what is the total contribution of India and China each when it comes to the reduction in Pakistan’s share. The possible prospect of China hurting Pakistan’s economy is also ironic considering the both keep boasting about being all weather friends.

Such a development comes after reports have been emerging about Pakistan being worried about India’s influence in Afghanistan, the fears which have also been acknowledged by the United States.

India and Afghanistan’s rising trade cooperation can also be gauged by the reports of India flagging off its first wheat shipment to Afghanistan via Iran’s Chabahar port. This had meant that both the countries established a trade route which didn’t involve Pakistan as an intermediary. Earlier trade between India and Afghanistan was a major hassle as Afghanistan being a landlocked country, was totally dependent on Pakistan for sea access.

Share and Support:
Support OpIndia by paying for content

Most read articles recently

Ghaziabad: Stray dog, mother of five puppies, raped and dragged to death by Nafees and Tauseef

Nafees, one of the accused, has reportedly confessed to the crime of raping the animal several times before dragging her through the streets

Loans waived by Congress govt in MP, but here are the ‘conditions apply’ that farmers should see

One of the main poll promises in the run-up to 2018 elections was farmer loan waiver. Rahul Gandhi and all Congress leaders harped on farmer loan waiver.

Rajasthan Police ends up declaring a true incident as ‘fake news’ on Twitter

In a video being widely shared, a person can be heard complaining about 'Aurangzeb Rule' in Rajasthan and the people sharing the video claim it is from Utambar, Rajasthan.

Here is what connects attack on Akshaya Patra, French NGO against Rafale and demonization of Amarnath Yatra

The web of foreign-funded NGOs that demonised the Amarnath Yatra, French NGO that complained against Rafale in France and the demand to remove Akshaya Patra from midday meals contract

‘I was a communist, but I fail to understand how talking about Hindus becomes ‘communal’: Hadiya’s father joins BJP

He said that he was a communist since childhood but of late the party is playing dirty vote-bank politics eyeing minority votes.

After spreading negativity during Diwali, Times Now is in a festive mood during Christmas

Times Now's tweets reflect the general attitude of the Indian elite towards Hindu festivals. While everything negative is associated with Hindu festivals, an aura of celebratory mood is spread on the occasion of Abrahamic festivals.

PM Modi makes a big announcement: 99% items to soon fall under 18% GST slab or lower

"Today, GST system has been established to a large extent and we are working towards a position 99% things would attract the sub- 18% slab", said Prime Minister Narendra Modi

Activist opposing Akshaya Patra’s mid-day meal contract thinks ‘Brahmins obstruct India’s development’

The Akshaya Patra has come under criticism recently for not including onion and garlic in its mid-day meals for school children.

No Rajdeep, there is no reason to thank Imran Khan for the homecoming of Hamid Ansari. Here is why

Rajdeep Sardesai has time and again proved himself to be a master of quackery

Read excerpts of Congress’ Mallikarjun Kharge led PAC report slamming HAL for delay in projects while Rahul indulged in politicking

PAC, led by Congress leader Mallikarjun Kharge severely criticised HAL for the delay in projects while Rahul Gandhi accused PM Modi of 'taking away projects from HAL'

Latest articles

Connect with us

125,824FansLike
98,336FollowersFollow
6,388SubscribersSubscribe

Don't miss these