Cross-border trade promotes sustainability of small and medium-sized enterprises

Asia-Plus

Zaydulo Junaydov, Tajik expert on issues of border and economic cooperation and trade, notes that supporting development of business in border areas and development of cross-border trade is one of priority tasks of the Project for Livelihood Improvement in Tajik-Afghan Cross-Border Areas (LITACA II).

The project is being implemented by the Ministry of Economic Development and Trade of Tajikistan and the Ministry of Rural Rehabilitation and Development of Afghanistan jointly with UNDP.  

The project objective is in improving livelihoods and resilience of communities in the bordering areas and improving population’s access to cross-border trade, dialogue and partnership, including involvement of vulnerable groups of the population and women.  

Economic relation between Tajikistan and Afghanistan have been implemented in the framework of a trade agreement that was ratified on September 13, 2004.    

Besides, a number of significant projects has been planned: a trilateral agreement between Tajikistan, Afghanistan and Pakistan on trade and transit; implementation of CASA 1000 Project; construction of railway connecting Tajikistan, Afghanistan and Turkmenistan; and establishment of new border crossing points (BCPs);   

The two-way trade between Tajikistan and Afghanistan last year valued at 72.2 million U.S. dollars.  This consisted of Tajikistan’s exports to Afghanistan estimated at 71.1 million U.S. dollars and Tajikistan’s imports from Afghanistan worth 1.1 million U.S. dollars.         

Tajikistan mainly exports cement, vegetable oil, electricity and iron and steel wares.  Imports from Afghanistan include fruits and vegetables, home appliances and soft drinks.  

In October 2018, an exhibition of goods of Tajik and Afghan entrepreneurs took place in Bokhtar, the capital of the Tajik southern Khatlon province.  28 entrepreneurs from Khatlon and 17 entrepreneurs from Afghan Badakhshan, Takhar, Kunduz and Balkh provinces participated in the exhibition.  On the sidelines of the exhibition, Tajik and Afghan entrepreneurs signed 45 agreements worth 975,000 U.S. dollars.  Implementation of these agreements is planned to be completed before October 2020. 

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