Pakistan-Afghan border closure costs exporters $177 million a month, business groups warn

Stranded trucks are pictured near the Pakistan-Afghanistan border in Torkham on January 16, 2024. (AFP/ file)
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Updated 08 January 2026
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Pakistan-Afghan border closure costs exporters $177 million a month, business groups warn

  • Industry leaders say prolonged shutdown risks long-term loss of Afghan, Central Asian markets
  • Pakistan military spokesman says security concerns outweigh trade considerations

ISLAMABAD: Pakistani exporters are losing an estimated Rs50 billion ($177 million) each month due to the continued closure of key border crossings with Afghanistan, business leaders said this week, warning that prolonged disruption could permanently erode Pakistan’s access to Afghan and Central Asian markets.

Pakistan shut several major border crossings with Afghanistan in October 2025 following one of the deadliest military escalations between the two neighbors in recent years. Although a ceasefire was announced on Oct. 19, trade has remained suspended. Before the border closure, bilateral trade between Pakistan and Afghanistan was valued at roughly $2 billion a year, making the neighbor one of Pakistan’s major regional trading partners. 

Pakistan’s Foreign Office has said repeatedly that border crossings will stay closed until Kabul provides credible, written assurances that it will prevent cross-border militant attacks and act against groups like the Pakistani Taliban (TTP) that Islamabad says operate from safe havens in Afghanistan, whose government denies this. 

Business leaders from Khyber Pakhtunkhwa and Balochistan, the two Pakistani provinces bordering Afghanistan, say the shutdown has disrupted supply chains, halted exports and undermined Pakistan’s role as a regional trade corridor linking South Asia to Central Asia.

Speaking to Arab News, Junaid Altaf, president of the Sarhad Chamber of Commerce and Industry, said the economic impact had become severe.

“The situation is that this is indeed a very significant issue and it’s becoming even more serious,” he said. 

“The business community is being heavily affected by the border closures, not just the business community but everyone from laborers to industrialists. Our clearing agents, factories, mills, the labor sector, and the entire transportation and logistics chain are all being affected.”

Pakistan and Afghanistan exchanged goods worth more than $1.6 billion in 2024, underscoring the historic importance of transit routes now blocked. 

Altaf said around 12,000 cargo containers were currently stranded due to the border closure. 

“Right now, around 12,000 containers are stuck and are incurring demurrage charges, and this is becoming a major problem. Shipping lines are involved, and it needs to be addressed.”

Traders have urged authorities to allow a temporary reopening of the border to clear backlogs.

“Our suggestion is to open the border for about a month just to clear this backlog,” Altaf said. “The goods of our Afghan brothers are in transit, and our transporters are saying that containers have been stationary for so long that even their tires are wearing out just from sitting loaded.”

He warned the consequences extend beyond bilateral trade.

“This is not just a Pakistan-Afghanistan issue, it’s a lifeline for trade to Central Asian republics and even Russia.”

“BLOOD AND BUSINESS” 

Similar concerns were raised in Balochistan province, where exporters say agricultural and industrial shipments have come to a standstill.

Muhammad Ayub Maryani, president of the Quetta Chamber of Commerce and Industry, said the closure was destroying seasonal exports:

“The main problem right now is that because the border is closed, our seasonal produce specifically our potato and orange season is being completely ruined. Our farmers, growers, and exporters are all badly affected.”

Maryani said the disruption was costing exporters heavily.

“Another big issue is that our exports of pharmaceuticals, cement, fresh vegetables, meat, and rice to Afghanistan are completely blocked right now. We’re losing at least 50 billion rupees ($177 million) a month.”

He warned Pakistan could lose regional markets for decades.

“Iran or other countries like Uzbekistan or Turkmenistan will capture this market for the next 20–25 years, and we won’t get it back.”

Pakistan’s military has defended the closure on security grounds. In a Jan. 6 press briefing, military spokesperson Ahmed Sharif Chaudhry said national security remained the top priority and cautioned against reopening border crossings without addressing security threats. In previous briefings, he has said “blood and business cannot go together.”

Arab News contacted Pakistan’s Ministry of Commerce for comment but received no response by the time of publication.


Pakistan’s Mahnoor Omer named among TIME’s ‘Women of the Year’ for 2026

Updated 01 March 2026
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Pakistan’s Mahnoor Omer named among TIME’s ‘Women of the Year’ for 2026

  • Omer moved a Pakistani court against the so-called ‘period tax’ in Sept. 2025 which has since sparked a national debate
  • Taxes on sanitary pads in Pakistan can add up to 40 percent to retail price, UNICEF says only around 12 percent women use such products

ISLAMABAD: Pakistani women’s rights activist Mahnoor Omer, who fought against taxes on menstrual products, has been named among the TIME magazine’s ‘Women of the Year’ for 2026.

Omer’s efforts have been recognized alongside 16 activists, artists, athletes and businesswomen in the TIME’s Women of the Year 2026 list, including Olympic gold medalist Sydney McLaughlin-Levrone and Oscar-nominated filmmaker Chloe Zhao.

Dissatisfied with the efforts to educate Pakistani girls about sexual violence, Omer founded the Noor Foundation at the age of 14 and held her own workshops with village girls about everything from climate change to menstruation, according to the TIME magazine.

Two years later, a conversation with a domestic worker about the price of pads made her realize that not everyone could afford these essentials. She moved a court against the so-called “period tax” in Sept. 2025 and the case has sparked a national debate on the subject, considered a taboo by many in Pakistan, since its first hearing late last year.

“A decade and one law degree after her interest in activism was sparked, Omer, now 25, is putting her passion and expertise to work in the name of gender equity,” TIME wrote about Omer on its website.

Taxes imposed on sanitary products in Pakistan can add up to 40 percent to the retail price. UNICEF estimates just 12 percent of women in the country use commercially produced pads or tampons. The alternative, using cloth, risks health impacts including rashes and infections, and can make it impossible for girls to attend school while menstruating.

Omer’s suit, which awaits the government response, has sparked a national discussion. She says she spoke about menstruation to her father and male cousins, who thanked her for standing up for their daughters.
The 25-year-old, who is currently enrolled in a master’s degree in gender, peace, and security at the London School of Economics, sees this case as just the first of many.

“I’m not free until every woman is free,” she was quoted as saying by TIME. “I want to leave no stones unturned in terms of what I can do with the next few decades, as a lawyer for the women in my country and gender minorities in general.”