Business
Chamber meets with IEA to resolve challenges, including tax issues
Afghanistan’s Chamber of Craftsmen and Shopkeepers (ACS) said Tuesday that they are facing several challenges in the country including the expectation of exorbitant taxes.
In a meeting with the Islamic Emirate of Afghanistan (IEA) and the ACS, the head of the chamber, Noorulhaq Omari called on the authorities to remove the challenges and work with investors and craftsmen to develop the sector.
Omari said if existing problems are not resolved, craftsmen will start evading tax and cease to operate in the country.
Other ACS members said that they cannot afford the taxes that have been imposed. They also urged the IEA to work with them to resolve their issues.
The Islamic Emirate, however, says that it has plans to sort out the problems – for small, medium and large businesses in the sector.
“The current tax [system], which has been in place for five years now, is not achievable in this current economic climate and will lead to tax evasion and a drop in activity,” said Omari.
Zabihullah Mujahid, the IEA’s spokesman, said substantial progress has been made in various fields in the last six months.
Mujahid said that all the energy used to end the war and the “occupation” by foreign troops will now be used “for the development of the country and the advancement of the economy and the country’s resources”.
Ministry of Finance officials meanwhile said they are looking at cutting tax for small businesses and craftsmen by more than 50 percent.
“We have offered you a discount of more than 50 percent. My request to you is not to count taxes as consumption. Tax is not consumption. This is an investment,” said Meraj Mohammad Meraj, Director General of Revenue of the Ministry of Finance.
The leadership of the Ministry of Economy also emphasized the need for people to support small businesses and craftsmen in the country.
“When there is no safe environment, people are worried, like you look at the last twenty years and the life that has passed,” said Sheikh Mohammad Khalid Hanafi, the Acting of the Ministry of Vice and Virtue of the Islamic Emirate of Afghanistan.
According to the ACS, 40 percent of the craftsmen lost their jobs due to COVID-19 and the lack of support from the previous government.
Pakistan’s kinno exports remain far below potential as regional tensions, high freight costs and weak government support continue to choke the citrus trade.
Despite being a leading global citrus producer, Pakistan is expected to export just 400,000–450,000 tonnes of kinno in the 2025–26 season, compared with an estimated capacity of 700,000–800,000 tonnes.
Exports in 2024–25 stood at around 350,000–400,000 tonnes, mainly to Russia, the UAE, Saudi Arabia, Afghanistan, Indonesia and Central Asia. While better fruit quality this season has raised hopes, persistent crossing disruptions—especially with Afghanistan—and transport bottlenecks have offset gains.
Growers say prices have collapsed sharply, forcing panic sales. Rates for large kinno have fallen from over Rs120 per kg early in the season to as low as Rs75, while smaller fruit is selling for Rs35–40 per kg amid weak demand.
Industry leaders warn the crisis is crippling processing units and jobs. More than 100 factories reportedly failed to open this season, with dozens more shutting down as exports stall. Cold storages in Sargodha are nearly full, putting fruit worth millions of dollars at risk of spoilage, while growers fear losses of up to Rs10 billion.
Exporters are urging the government to urgently resolve issues, subsidise logistics, and help access alternative markets, warning that prolonged inaction could devastate farmers, workers and the wider economy.
Iranian President Masoud Pezeshkian has said that Tehran will facilitate trade and economic exchanges with Afghanistan, including easing procedures at customs and local marketplaces.
He made the remarks during a televised interview following his visit to South Khorasan province, which shares a border with Afghanistan.
Pezeshkian, in a separate event addressing local business leaders, highlighted the province’s strategic advantages, citing its rich mineral resources, proximity to neighboring countries such as Afghanistan and Pakistan, and access to the ocean via the Chabahar port. He described the region as “a golden opportunity not found everywhere,” emphasizing its potential for economic growth and cross-border commerce.
A Kazakh delegation led by the Deputy Minister of Finance of Kazakhstan met with Sediqullah Khalid, First Deputy Governor of Da Afghanistan Bank, to discuss ways of strengthening banking and economic cooperation between the two countries.
According to a statement issued by Da Afghanistan Bank, Khalid said the central bank is keen to establish regular and effective banking relations with Kazakhstan as part of broader efforts to expand bilateral trade.
He noted that enhanced banking cooperation would help facilitate trade, investment, and wider economic interaction between Afghanistan and Kazakhstan, while also contributing to financial stability at the regional level.
Members of the Kazakh delegation also emphasized the importance of developing banking and economic ties and expressed their readiness to expand joint cooperation.
The two sides further agreed to establish technical committees from both countries to hold expert-level discussions and advance practical steps for cooperation.
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