Afghanistan transit trade through Pakistan hits historic low

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.