Selected menu has been deleted. Please select the another existing nav menu.
=

Strait of Hormuz closure chokes trade and aid for Afghanistan

Lorem ipsum dolor sit amet consectetur. Facilisis eu sit commodo sit. Phasellus elit sit sit dolor risus faucibus vel aliquam. Fames mattis.

HTML tutorial

When landlocked Afghanistan and neighbouring Pakistan started fighting late last year and their border crossings closed, Afghans turned to their western neighbour, Iran, for an alternate to Pakistan’s major shipping hub of Karachi.They rerouted shipments through Iran’s port of Bandar Abbas, but not for long. The port lies on the Strait of Hormuz, where war has stranded hundreds of ships and thousands of their crew. Meanwhile, thousands of Afghanistan-bound containers were stuck in Pakistan.For Afghan businesses and aid groups, losing both trade routes have been devastating.Malnourished women and children turned awayThe United Nations’ World Food Program, whose Afghan operations include life-saving nutritional supplements for malnourished mothers and children and fortified high-energy biscuits for school-children, has seen transportation costs skyrocket and supplies choked off.Most of WFP’s nutrition supplies were sourced from Pakistan, the organisation said. After that border closed in October, it began rerouting shipments by sea through Dubai and Iran. Now that route is effectively closed as Tehran controls the strait and the US blockades Iranian ports.The nutritional supplements began to dwindle. By mid-April, they had run out. “At a time when malnutrition is already at near-record levels, weakened and desperate mothers and children are being turned away from health clinics, as we have no food to give them,” said John Aylieff, WFP’s country director in Afghanistan.Even before the crisis, the organisation had struggled with aid cuts. It has received only 8 per cent of its annual funding this year.”On top of a funding crisis, conflict in the Middle East and the closure of the border with Pakistan are choking WFP’s operations – blocking supply routes, driving up costs and straining markets at the worst possible time,” Aylieff said in emailed comments.A shipment on the road for three monthsNow supplies must be routed by land through Central Asia, far from any ocean. WFP’s transportation costs have tripled, while its cost of supplements for malnourished mothers and children has jumped by 35 per cent, Aylieff said.The outbreak of the Iran war in late February saw one of the organisation’s shipments of high-energy fortified biscuits stuck in the United Arab Emirates.Instead of being shipped from Dubai to Iran and into Afghanistan, it has been taking a long, circuitous route through Saudi Arabia, Jordan, Syria, Turkey, Georgia, Azerbaijan and across the Caspian Sea into Turkmenistan, the organisation said. It’s been on the road for three months.Afghan businessmen struggle with stuck shipmentsLutfullah Akbari runs a small company in Kabul importing construction equipment. With his supplies from China stuck on ships unable to transit the Strait of Hormuz and costs for the logistics company transporting them rising, “I have nothing else to use to continue my business here,” he said.He’s now considering abandoning his cargo if the waterway doesn’t reopen soon.”The Iran-U.S. war has had a huge impact on my business,” he said. Other traders have rerouted shipments through Central Asia, but it’s longer and more expensive.”The logistics company now wants more than the value of our goods and the capital we had invested in them. We can’t afford it,” Akbari said.”Even if I bring them here, I’ll have to sell them all at a loss. I can’t afford to lose twice.”The cost of one delivery shot up 10 times                       Gul Meer Amini, director of logistics at freight company Etifaq Bamyan International Transport and Trade Forwarding, said the Iran war has dramatically increased costs. Some of the cargo his company handles include humanitarian aid.Before the war, the cost of renting a container was about $3,000 to $3,600 per shipment but it has now surged to over $7,000. For some goods, it has topped $11,000, he said.”The impact is reaching all traders,” Amini said.Mohammad Murtaza Ishaqzai, who sells electronics in Kabul, said delivery for his goods from China via Iran cost about $1,100 to $1,500 before the war. That’s now shot up to more than $15,000.”We can’t export and we can’t import,” he said, and appealed to the Taliban government to resolve its conflict with Pakistan, which would allow border trade to resume.If the situation continues, he said, “our business will be finished.”Majority of trade is now through Central Asia   Afghanistan’s Commerce and Trade Ministry spokesperson Abdul Salam Jawad said overall price increases in the country had remained low, at around 3 per cent, thanks to continued trade with Iran and the sourcing of many imports from Central Asia, Russia and China.”The problem we faced was the restrictions on our imported goods and containers coming from other countries” via Iran, he said. “We are waiting for a solution to be found in the Strait of Hormuz so that we can export normally.” Khan Jan Alokozai, senior adviser to Afghanistan’s Chamber of Commerce and Investment, said more than 60 per cent of Afghanistan’s trade is now through Central Asia, mitigating the Iran war’s overall impact.Food and petroleum products are coming in through Central Asia and Russia, while much trade is now being conducted via Turkey, with goods then transported by rail through Iran or Azerbaijan, Alokozai said.

HTML tutorial

Tags :

Search

Popular Posts


Useful Links

Selected menu has been deleted. Please select the another existing nav menu.

Recent Posts

©2025 – All Right Reserved. Designed and Developed by JATTVIBE.