Afghanistan Seeks Indian Investment in Mining, Power Projects
New Delhi: A high-level Afghan delegation led by Afghanistan Minister of Industry and Commerce Alhaj Nooruddin Azizi on Wednesday began a five-day official visit to India aimed at strengthening bilateral trade and investment ties. Shortly after landing in New Delhi, the delegation visited the India International Trade Fair (IITF) in the capital. Following the tour, Minister Azizi met with India-based Afghan traders to discuss market access and expansion opportunities.
This is the first visit by an Afghan minister to the Indian Trade Promotion Organization (ITPO) since 2021 and comes in the backdrop of rising tensions between Afghanistan and Pakistan, including repeated border closures that have disrupted Afghan exports and prompted Kabul to diversify trade channels, especially with India, officials said. They added that Afghanistan is seeking investment from India in the mining sector and hydropower projects and is exploring options to bypass Pakistan for improved connectivity. In this context, Iran’s Chabahar port, which provides sea and land access to India and Afghanistan without being dependent on Pakistan, remains important.
While India’s major exports to Afghanistan include pharmaceuticals, textiles, machinery and foodstuffs such as sugar, tea and rice, Afghan imports to India mainly consist of agricultural products and minerals. India recently upgraded its three-year-old “technical mission” in Kabul to a full-fledged embassy with immediate effect.
On Wednesday, ITPO director general Neeraj Kharwal received Minister Azizi at the IITF venue and briefed him about the ongoing expo, existing facilities and future participation opportunities for Afghanistan. The minister also visited many stands, including Afghan pavilions where local products were displayed.
Earlier this month, external affairs minister S. Jaishankar and Afghan foreign minister and senior Taliban leader Maulavi Amir Khan Muttaqi discussed the “regional situation” over the phone, days after the deadly border clash between Afghanistan and Pakistan. Muttaqi had also visited New Delhi last month; whereas India appears to be slowly moving towards full diplomatic relations with the Taliban regime.
Ties between Islamabad and the Afghan Taliban have deteriorated in recent years following repeated attacks by the Tehreek-e-Taliban Pakistan (TTP) on Pakistani security forces. Criticizing Pakistan and expressing support for Kabul, New Delhi had recently said: “Pakistan is angry that Afghanistan has exercised sovereignty over its territory. Pakistan feels it has the right to practice cross-border terrorism with impunity… India remains fully committed to the sovereignty, territorial integrity and independence of Afghanistan.” India has previously stated that Pakistan harbors terrorists and “holds its neighbors responsible for its own internal failures”.
At a press conference in New Delhi last month, Mottaki claimed that India had agreed to allow Afghanistan to send diplomats to its embassy. Asked if Kabul could appoint an ambassador, he said the appointments would start soon and be increased gradually.
The Taliban returned to power in August 2021 following the withdrawal of US forces, leading to the collapse of Ashraf Ghani’s government. India evacuated its diplomats at that time and all Indian personnel working on infrastructure projects left the country. New Delhi later set up a “technical team” at its embassy in June 2022 as relations with the Taliban began to improve.
