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IEA committed to Afghanistan-Iran Water Treaty

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Islamic Emirate of Afghanistan (IEA) officials said this weekend they are committed to abiding by the 1973 Afghanistan-Iran Water Treaty which stipulates the amount of water from Afghanistan that Iran is entitled to annually.

Former Afghan Prime Minister Musa Shafiq signed the water treaty in 1973 (1351 Persian Calendar). According to the treaty, Iran can receive 817 million cubic meters of water, carried by the Helmand River, per year.

Based on the deal, Iran can get 817 million cubic meters of water per year but due to the lack of water management over the past 25 years, Iran has reportedly received about three billion cubic meters annually.

“We are committed to that deal, which was signed in 1351, and we are trying to keep the process as it is [in the contract],” said Balil Karimi, deputy spokesman for the IEA.

Members of the private sector have raised concerns about the problem and said the lack of water management has not benefited Afghans.

“The management of Helmand River water is very important. The IEA should accelerate its efforts for self-sufficiency of Afghanistan and manage water,” said Khan Jan Alokozay, a member of the Chamber of Commerce and Investment.

Economic analysts on the other hand said that the Islamic Emirate of Afghanistan (IEA) should review the agreement with Iran and keep the current situation in Afghanistan in mind.

“The deal which was signed in 1351 was based on circumstances at that time; But now, Afghanistan needs more water, and Iran receives more water [than what it should],” said Taj Mohammad Talish, an economic analyst.

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First Chinese transit shipment arrives in Herat via Iran’s railway corridor

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Iranian media have reported the launch of the first direct transit train on the Beijing–Iran–Afghanistan route, carrying a shipment from China to Herat province through Iran’s railway network.

Mustafa Rezaei, head of the Iran–Afghanistan Railway Corridor, said the shipment marks the first time that cargo has been transported directly from China to Afghanistan without unloading and reloading along the way.

The 500-tonne shipment of MDF boards was loaded in Beijing, passed through Turkmenistan, entered Iran’s railway network, and was then transported to Rozanak station in Herat province via the Khaf–Herat railway line.

Rezaei described the operation as the first direct rail transit service connecting Beijing and Herat through Iran, saying the route would significantly reduce transportation time and costs compared with previous trade routes.

He said the launch of the train demonstrates that the Khaf–Herat railway corridor has entered a new phase of commercial and transit operations. Increasing cargo volumes along the route could further enhance its role as a key link connecting China, Central Asia, Iran, and Afghanistan.

Rezaei added that expanding the corridor could strengthen economic and trade cooperation between Iran and Afghanistan, lower logistics costs, and improve the competitiveness of regional commerce.

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Afghanistan transit trade through Pakistan hits historic low

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Afghanistan’s transit trade through Pakistan has dropped to its lowest level in years, according to Pakistan’s Dawn newspaper.

The report says transit cargo declined from nearly 89,000 containers worth $5 billion before the Islamic Emirate returned to power to just 11,592 containers valued at $367 million in the last fiscal year.

According to Dawn, while Pakistan’s closure of Durand Line crossings with Afghanistan in October 2025 over security concerns accelerated the decline, the downward trend had already begun earlier.

Trade analysts told the newspaper that Afghanistan had already been working to reduce its reliance on Pakistani ports by expanding trade through Iran and strengthening commercial links with Central Asian countries.

The report says transit cargo through Pakistan initially rose after the Islamic Emirate’s return to power, peaking at more than 102,000 containers in fiscal year 2023, before steadily declining in subsequent years.

Dawn also reported that reverse transit, which allowed Afghan exports to reach third countries—particularly India—through Pakistan, has nearly come to a halt, falling from $454 million in fiscal year 2025 to just $7 million in fiscal year 2026.

Citing the World Bank, the newspaper said Iran has become Afghanistan’s largest source of imports, with Iranian direct and transit routes now accounting for nearly half of the country’s total imports.

However, the World Bank says the shift to alternative routes has increased import costs, reduced export revenues, and added inflationary pressure, while the decline in cross-Durand Line trade has also affected thousands of jobs linked to transport, customs, warehousing, and other businesses.

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Afghanistan, India discuss ways to boost trade and investment ties

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Sayed Karim Hashemi, chairman of the Afghanistan Chamber of Commerce and Investment (ACCI), has met with Indian ambassador in Kabul, Yatin Patel, to discuss ways to strengthen bilateral trade and investment cooperation.

According to ACCI, the meeting focused on expanding exports, improving trade facilitation, easing business visa procedures, enhancing logistics, and increasing cooperation in key sectors including agriculture, mining, and handicrafts.

The two sides also agreed to promote joint exhibitions, organize business delegations, and develop long-term partnerships between the private sectors of Afghanistan and India.

The meeting comes as Afghan and Indian officials and business leaders continue efforts to expand economic relations and create new opportunities for trade and investment between the two countries.

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