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Exports of agriculture products to Afghanistan may drop in FY26
- Top agricultural exports to Afghanistan in 2024-25 include oilmeals and tobacco with positive growth, while spices, sugar, and processed fruits experienced a decline.
- Challenges in shipping Indian sugar to Afghanistan have arisen due to various geopolitical issues affecting transport routes.
- Despite restrictions, a substantial amount of Indian sugar, 72,833 tonnes out of 516,782 tonnes exported, was shipped to Afghanistan up to May 31, 2025.
- There are uncertainties in the sugar export market to Afghanistan due to geopolitical conflicts and transport route closures.
- The trade relationship between India and Afghanistan has persisted even after the Taliban assumed power in 2021, with no formal recognition affecting bilateral trade.
- Imports of agricultural items from Afghanistan to India have increased, reaching a record $688 million in 2024-25.
- Major imported agricultural items from Afghanistan to India include raisins, apples, garlic, apricots, and various other fruits and nuts.
- Due to the closure of land routes via Pakistan, imports from Afghanistan have significantly reduced, affecting the trade flow.
- The Indian government permitted 1 million tonnes of sugar exports, with part of the export intended for Afghanistan.
- Afghanistan's import of agri products from India surged to $688 million in 2024-25, reflecting a rise from the previous fiscal year.
- Import of agricultural products from Afghanistan to India includes a variety of fruits, nuts, and dried vegetables.
- The ongoing geopolitical situations have impacted the transport routes for sugar exports to Afghanistan, leading to uncertainties in the trade.
- The closure of land routes via Pakistan has disrupted the import flow of agri items from Afghanistan to India.
- Despite geopolitical challenges, trade between India and Afghanistan continues, driven by agri product imports and exports.
- Agri product exports to Afghanistan faced declines for some items in 2024-25, despite a significant surge in overall imports from the country.
- The trade dynamics between India and Afghanistan remain complex due to geopolitical issues impacting transportation and trade routes.
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