Pakistan Imposes 10% Fee on Afghan Transit Goods, Sparking Criticism

Pakistan’s Federal Board of Revenue (FBR) has imposed a 10% processing fee on dozens of categories of Afghan transit goods entering the country.

Pakistani media reported that this electronic fee will apply to five new categories of goods, including agricultural tools, cranes, electronic waste, and data-processing machines.

However, the Afghanistan–Pakistan Joint Chamber of Commerce has described the imposition of this 10% fee by the FBR as harmful.

Naqibullah Safi, Executive Director of the Afghanistan–Pakistan Joint Chamber of Commerce, stated: “According to a letter from Pakistan’s Directorate General of Customs, some Afghan transit goods have been exempted from the 10% processing fee; however, a significant number of items—mainly machinery—have been included.”

Meanwhile, some traders and economic experts have criticized Pakistan’s conduct in trade and transit relations with Kabul, stressing the need to develop alternative trade routes to expand Afghanistan’s commercial and transit options.

Abdul Jabbar Safi, head of the Kabul Industrialists Association, said: “Pakistan, in violation of international norms, imposes such tariffs under the pretext of economic strengthening or other reasons. This damages Afghanistan’s trade and causes us serious challenges.”

Abdul Zahoor Mudaber, an economic analyst, noted: “Given the political tensions we are experiencing with Pakistan, a viable alternative could be Iran via Chabahar.”

Pakistani media stated that the purpose of the new fee on Afghanistan-bound transit goods is to prevent the misuse of Afghanistan’s lower customs tariffs, boost tax revenue, and enhance transparency in Pakistan’s trade processes.