Business

Will the Closure of Attari-Wagah Border Make Almonds and Raisins More Expensive in India?

Impact of Attari-Wagah Border Closure on Dry Fruits Market

Dry fruits such as almonds, raisins, and pistachios are deeply embedded in Indian culture, finding their way into sweets, snacks, and even oils. Traditionally, these delicacies journey from Kabul to New Delhi, but recent tensions between India and Pakistan have led to the closure of the Attari-Wagah border, threatening these imports.

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Potential Price Surge in Dry Fruits

Exporters warn that the border closure could significantly increase domestic prices for these commodities. "Though there is no immediate impact as goods are in transit, after ten days the imports will be stopped completely," said Rajiv Batra, president of the Khari Baoli traders' association in Delhi. "After that, the prices could go up by 20 per cent in the national capital."

Exploring Alternative Routes

Batra also mentioned that while imports from Afghanistan will be severely affected, alternative routes through countries like the UAE, Iran, and Iraq might partially compensate for the Afghan supply. However, the land border closure and Pakistan’s trade suspension are creating uncertainty for both the domestic market and the dry fruit supply chain.

Background of the Border Closure

The decision to halt trade through the Attari land border came after an attack in Pahalgam, which resulted in the deaths of 26 people, mostly tourists. In retaliation, Pakistan suspended all trade with India, including trade to and from third countries via Pakistan, further complicating the situation for dry fruit imports from Afghanistan.