Attari border closure disrupts India-Afghanistan trade, triggers dry fruit price hike fears

The closure of the Attari-Wagah border following the deadly terror attack in Pahalgam on April 22 has cast a shadow on India-Afghanistan trade, especially affecting the import of Afghan dry fruits. Exporters and importers from both nations are concerned that the disruption will significantly raise the prices of popular dry fruits like almonds, pistachios, raisins, and dried figs in Indian markets.

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The terror attack, which claimed 26 lives, prompted India to immediately suspend all movement at the Attari-Wagah land crossing. In response, Pakistan halted all trade activity with India, including transit trade to and from Afghanistan via its territory.

According to government data, India imported goods worth $591.49 million from Afghanistan during 2024-25 (April to January), out of which dry fruits accounted for $358 million. Exports to Afghanistan during the same period stood at $264.15 million.

In a statement, the Taliban government’s foreign ministry expressed concern over the closure of the “only operational land border crossing” between India and Afghanistan, noting that the route via Attari is Afghanistan’s most economical transit corridor. The Afghanistan Chamber of Commerce and Investment (ACCI) said annual trade through this route is valued at $500 million.

Traders are now looking at the Chabahar Port in Iran as an alternative, but warn that it would involve higher logistics costs and longer transit times. “Fresh stocks of Afghan dry fruits may take around two months to reach India via international markets,” said BK Bajaj, an Indian importer. “The Iran route is more expensive and time-consuming. Prices will definitely go up.”

Dry fruit trader Mukesh Sidhwani echoed the concern, stating that domestic prices for these commodities may rise by as much as 20% in the coming weeks.

The geopolitical fallout from the Pahalgam attack is now extending beyond security, hitting bilateral trade and affecting household staples in India. As tensions remain high, the uncertainty continues to loom over essential imports and food inflation.