Bilateral trade between Afghanistan and India surged past $1 billion in the financial year 2024–25, underscoring resilient economic ties amid regional instability and humanitarian challenges.According to figures released by India’s Ministry of Commerce and Industry, total trade between the two countries totaled $1.0087 billion between April 2024 and March 2025.
Imports from Afghanistan stood at $689.81 million—marking a 7.4% year-on-year increase—while Indian exports totaled $318.91 million.India has reaffirmed its role as Afghanistan’s top export destination, a position driven largely by imports of agricultural products, including dried fruits, nuts, and medicinal herbs.
Trade analysts credit India’s zero-tariff regime on Afghan goods as a critical factor enabling continued access to the Indian market, particularly for small-scale Afghan producers.This preferential trade access is proving to be a lifeline for Afghanistan’s agricultural sector, with many farmers reportedly shifting from illicit opium cultivation to alternative crops supported by reliable demand from Indian buyers.
However, experts caution that the long-term success of such transitions depends on access to quality inputs, fair pricing mechanisms, and sustained institutional support.The country remains gripped by a deepening humanitarian crisis exacerbated by mass deportations of Afghan refugees from neighboring Pakistan and Iran.
The growing pressure on already limited resources is impeding both economic recovery and broader development efforts.Despite these challenges, the expanding trade relationship with India represents a rare economic bright spot for Afghanistan.
Observers suggest it could serve as a foundation for broader regional cooperation. The post Afghanistan–India bilateral trade over $1 billion in 2024-25 fiscal first appeared on TINS News | Afghanistan News.