Kazakhstan’s Minister of Trade and Integration Holds Talks in Kabul

Kabul, 25 December 2021 - Minister of Trade and Integration of the Republic of Kazakhstan Bakhyt Sultanov headed the Kazakh delegation on the trade and economic mission to Afghanistan.

The delegation included officials of the Ministry and QazTrade, the national export operator, as well as representatives of a number of Kazakh companies.

During the visit, Minister Sultanov held talks with representatives of the acting Afghan administration, including Deputy Prime Minister Abdula Salam Hanafi, Foreign Minister Amir Khan Muttaki, and Minister of Trade and Industry, Nuriddin Azizi.

During his talks, Minister Sultanov noted that Kazakhstan has always adhered to, and will continue to adhere to the policy of non-interference in the domestic affairs of Afghanistan.

«We traditionally stand for a peaceful, united, independent, and prosperous Afghanistan, free from terrorism and drug-related crime. The Afghan people have the right to determine their own future in search of lasting peace and development,” he said.

He reminded that, as instructed by President of Kazakhstan Kassym-Jomart Tokayev, the government had allocated humanitarian aid to Afghanistan in the form of 5,000 tons of flour.

“Today we brought with us 1.5 tons of cargo (medicines). In addition, a humanitarian cargo with food and medicines in the amount of about 155 tons equal to $1.9 million will soon arrive in Afghanistan,” he added.

Minister Sultanov also informed the representatives of the Afghan government that Kazakhstan fully supported and actively participated in the UN efforts to tackle the humanitarian crisis in Afghanistan. According to him, the World Food Program recently purchased 20,000 tons of Kazakh flour.
“Our country, like other international partners, expresses hope that the active phase of the conflict is over and the time has come for the country's reconstruction in the post-conflict period,” he added.

The Kazakh delegation assured that Kazakhstan is interested in maintaining and increasing the scope of bilateral trade, both in volumes and by a range of goods.

Kazakhstan is a major supplier of flour and grain to Afghanistan. Lately, more than half of all exports of Kazakh flour and more than 10% of grain exports have been consumed by the Afghan market.

In January-October 2021, trade between Kazakhstan and Afghanistan amounted to $345.9 million, which is 27.5% lower than in the same period of the previous year ($477.1 million). Exports from Kazakhstan to Afghanistan in January-October 2021 decreased by 28.1% and amounted to $342.2 million. Imports in January-October 2021 tripled and amounted to $3.7 million. Trade turnover between Kazakhstan and Afghanistan in 2020 amounted to $622.6 million, which is 54.9% higher than in the same period of the previous year ($401.8 million). In 2020, Kazakhstan's exports to Afghanistan increased by 55.6% and reached $620.7 million. The growth is thanks to the increase in the supply of wheat and wheat flour.

Minister Sultanov drew attention to opportunities for expanding the range of goods turnover. The potential range of Kazakh goods to be traded with Afghanistan totals 45 items worth $360 million. They can come from such industries as food, petrochemical, chemical, metallurgy, textiles, mechanical engineering, and woodworking.

The parties noted that the inclusion of these goods in the bilateral trade turnover could be beneficial to both Kazakhstan and Afghanistan and contribute to an increase in bilateral trade turnover. At the same time, the Kazakh representatives expressed readiness to purchase more fruits and vegetables from Afghan suppliers.

The Kazakh side also focused on the need to enhance the trade balance between the countries. One of the tools can be industrial cooperation of Kazakhstani and Afghan business on the territory of the centers of cross-border cooperation created by Kazakhstan, including the International Center for Industrial Cooperation "Central Asia".

In the course of the visit, Minister Sultanov took part in the Kazakh-Afghan business forum. From the Kazakh side, 16 companies working in food production, manufacturing of furniture, and textile products participated.

Following the results of B2B meetings and a business forum, memorandums were signed regarding the supply of pasta, flour, and other products to Afghanistan.