Taliban takeover in Afghanistan spikes dried fruit prices in India
Last updated on
26 Aug 2021, 11:02
Ahead of the festival season in India, dried fruit prices skyrocket by up to 70%. The reason for the sudden rise in dried fruit rates is the Taliban takeover of Afghanistan, a major exporter of dried fruit.
Apparently, although traders in Afghanistan are ready with their shipments, trade has been halted due to disruption of roads, paper permissions and the bank collapse.
Which dried fruits in India are imported from Afghanistan?
Notably, Afghanistan is one of the biggest suppliers of apricots and figs to India and is also the source of mom Where gurbandi almonds, walnuts, almonds, pine nuts, small pistachios, as well as spices such as shahi jeera and hing.
From Rs. 3,700 crore worth of items imported from Afghanistan to India in 2020-2021, fruits and nuts amounted to Rs. 2,300 crore, according to government data.
Why has trade been disrupted?
Traders said The imprint that the blockage of the dried fruit trade is due to the disruption of trade routes, paper authorizations and the collapse of banks.
It appears that the Taliban do not accept consignment authorization documents issued by the now ousted Afghan government.
The Taliban have also stopped the flow of goods to Pakistan, traders have reportedly said.
Incidentally, the COVID-19 lockdown had already disrupted trade for the past two years.
‘The prices of all Afghan dried fruits increase by Rs. 300-500 / kg’
A dried fruit wholesaler said The imprint that “the prices of all Afghan dried fruits have increased by at least Rs 300-500 / kg”.
“While almonds sell for around Rs 1,100 to Rs 1,500 / kg against Rs 700 to 800 previously, anjeer prices have increased to Rs. 1,300-1,700 / kg from Rs. 900-950, “he said.
The prices of goods that are not imported from Afghanistan have also increased.
The situation should stabilize in 15-20 days: Official
A senior official from the General Directorate of Foreign Trade said The imprint that they “expect the situation to stabilize in the next 15 to 20 days, as the terms of trade become clearer with Afghanistan.”
The rise in prices is due to volatile business speculation and imports from other countries will be able to close the gap in the meantime, they said.
India, Afghanistan’s second largest export destination
Agricultural products account for 65.8% of Afghan exports, according to the 2020 World Trade Organization (WTO) trade profiles.
In addition, India accounted for just over 40% of Afghan exports in 2018, making it the second largest export destination.
Usually, imports from Afghanistan reach India via the Iranian port of Chabahar via the sea route. By land, shipments pass through the Integrated Checkpoint (ICP) at the Attari border.
What is going on in Afghanistan?
The Taliban took control of the Afghan government after the United States withdrew its troops from the country in an effort to end the United States’ two-decade “war on terror”.
The Taliban advanced rapidly, taking control of several key cities and seizing the capital Kabul on August 15.
Afghan President Ashraf Ghani fled the country the same day and civilians also rushed to rush.