OpinionSouth Asia

How the Closure of the Pakistan–Afghanistan Border Has Affected Pakistan–Uzbekistan Trade

The future of trade agreements between Pakistan and Uzbekistan has come under question after border crossings were closed indefinitely for all types of movement following rising tensions between Pakistan and Afghanistan. As a landlocked country, Uzbekistan relies heavily on Pakistan for access to the sea and for bilateral trade, primarily through transit routes passing via Afghanistan.

While current trade volume between the two countries has exceeded $434 million, both sides have repeatedly expressed their commitment, during high-level meetings, to raise it to $2 billion. Under the Transit Trade Agreement, Uzbekistan enjoys direct access to Pakistan’s ports of Karachi, Port Qasim and Gwadar. However, experts have voiced serious concerns over the closure of Afghanistan, a key and relatively convenient trade corridor.

Former President of the Pakistan Federal Chamber of Commerce and Industry and Chairman of the Pakistan–Uzbekistan Business Council, Daroo Khan Achakzai, told Tashkent Urdu that under the Pakistan–Afghanistan Transit Trade Agreement, trade with Uzbekistan is conducted through Afghan territory, and access to Pakistan’s ports also depends on this route.

He said that despite its vast potential, trade between Pakistan and Uzbekistan remains insufficient. Pakistan imports commodities and cotton from Uzbekistan, while its exports include fruits, vegetables and garments, but overall bilateral trade volume remains below expectations.

Trade between the two countries is primarily conducted through the Torkham, Chaman and Ghulam Khan border crossings, while imports and exports also continue via Iran and Turkmenistan. However, Achakzai noted that the situation in Afghanistan has disrupted access not only to Uzbekistan but to all Central Asian states.

At present, Uzbek cargo vehicles are stranded at Karachi Port and border crossings, leading to steadily rising costs for traders. Despite Uzbekistan’s importance in Central Asia due to its population and infrastructure, insecurity has affected all bilateral trade agreements.

Former official of the Quetta Chamber of Commerce and trader Badruddin said that potato imports between Pakistan and Uzbekistan via Afghanistan were substantial. Due to the border closure, Pakistani farmers have suffered heavy losses in potato cultivation, leaving them unable to invest adequately in wheat crops. As Pakistan’s agricultural cycles are interconnected, losses in one crop directly affect the next.

Pakistan also exported kinnow (mandarin oranges) to Central Asia and Uzbekistan through the same route, but exports have been badly hit this season. According to Badruddin, Punjab benefited most from this agricultural trade, while service-based industries in Khyber Pakhtunkhwa and Balochistan were closely linked to it. As a result, the entire transport-driven economic chain has slowed, hurting exports and foreign exchange earnings.

He added that a certain quantity of rice was also exported to Afghanistan and onward to Uzbekistan, but this trade has likewise been suspended. The biggest concern now is that farmers are losing confidence and see little incentive to cultivate future crops, putting overall production and the related economy at risk.

Senior Vice President of the Pakistan–Afghanistan Joint Chamber of Commerce and Industry, Zia-ul-Haq Sarhadi, told Tashkent Urdu that bilateral trade between Pakistan and Uzbekistan has increased by 10 percent. According to him, Uzbekistan’s imports from Pakistan rose by 12 percent, while exports increased by 8 percent, with the potential to exceed $2 billion in the future.

He said that 228 Pakistani companies are currently operating in Uzbekistan, and 80 new Pakistani firms were registered there last year.

Trade between Pakistan and Uzbekistan is largely conducted through land routes, with the Trans-Afghan corridor being the most critical, linking Pakistan’s ports of Karachi and Gwadar with Central Asia. However, Sarhadi said that Afghanistan’s security situation and border tensions have severely affected Pakistan’s trade with Uzbekistan and other Central Asian states, putting nearly $2.5 billion worth of trade at risk.

He added that tensions and border closures between Pakistan and Afghanistan have also halted transit trade to Uzbekistan and cement exports. The search for alternative routes or prolonged delays has sharply increased transport costs, causing significant losses for traders. The closure of this key land corridor has also affected broader economic ties and other trade initiatives.

According to Sarhadi, cement exports have recorded a sharp decline since October, reflecting the inability to meet export targets due to blocked land routes.

Without access through Afghanistan, trade with Uzbekistan can be conducted via maritime and land routes through Iran or by air. These include routes through Bandar Abbas, Chabahar and Turkmenistan, or Iran’s northwestern land corridors. However, trade experts say these routes are more costly and challenging due to distance, while security conditions in Balochistan also pose hurdles.

Experts have described the expected visit of Uzbek President Shavkat Mirziyoyev to Pakistan as a key opportunity, expressing hope that these challenges will be addressed seriously and that sustainable solutions will be found.

Nasir Abbas

Nasir Abbas, having vast experience of journalism, working as editor with SAW

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