Afghanistan opens $ 3 t vast oil, gas and mineral deposits to Sri Lanka

• ‘We invite Sri Lankan private investors to Kabul’ – Ambassador Ghiasy
• ‘Time to kick-start bilateral trade’ – Rishad
• Says advising SL investors on meeting points in Kabul

Afghanistan which packs over $ 3 trillion in identified natural resources has issued an open call to Sri Lankan business sector to visit them, prospect and reap benefits. “I found Sri Lankan miners to be well skilled,” said Ambassador of the Islamic Republic of Afghanistan to Sri Lanka Munir Ghiasy on 31 July in Colombo. Ambassador Ghiasy was addressing Sri Lankan Minister of Industry and Commerce Rishad Bathiudeen during his courtesy call on Minister Bathiudeen in Colombo. 

“We have formulated new policies to open air corridors with several countries to boost trade of well-known Afghan products including dry fruits, knitted carpets and semi-precious stones. Also we have trillion dollar worth untapped metal, mineral such as iron, copper and gold as well as mining resources including oil and gas,” said Ambassador Ghiasy.

“There are vast such untouched deposits. These resources have been building up for centuries. Huge demand is building up now to prospect them. But global multinational companies are costly. Therefore we are awaiting to see the countries in this region and our neighbours entering Afghanistan to prospect them, rather than very costly global firms. As a result we invite Sri Lankan businesses and firms to prospect in Afghanistan. If necessary Sri Lankan firms can come in first and just see the possibilities. I found out that Sri Lankan miners are well skilled. At present, only a nominal level of bilateral trade takes place between the two countries. Sri Lanka can strengthen its trade and business cooperation with Afghanistan further,” he added.  

According to the Department of Commerce of Sri Lanka, Afghan-Sri Lanka bilateral trade is very minimal – and as a result shows immense future trade potentials for both countries. Minister Bathiudeen welcomed Ambassador Ghiasy’s offers. “Sri Lanka’s total trade with Afghanistan last year was less than $ 1 million, at only $ 820,000. And our exports were at $ 700,000, slightly increasing from $ 630,000 of 2016,” said Minister Bathiudeen.

“These values are clearly very low and it is time to explore new trade. My Ministry and I welcome your offer to our businesses and companies to explore deposits in Afghanistan and I am sure this is good news that they would welcome. Though our mechanised mining sector is small, our geological surveys and mines management is at advanced levels. Therefore your offer could be picked up by even non-mining corporates in Sri Lanka,” he added.

Printed books, newspapers and other printing industry products, were Sri Lanka’s major export in 2015, 2016 and 2017 (accounting for 68% out of total exports in 2017). Imports from Afghanistan were negligible. “We shall advice potential Sri Lankan investors to visit Afghanistan, get to know good partners and meet the Afghan Chamber of Commerce and Industries (ACCI) as well as the Afghan Investment Support Agency (AISA) so that your offer is utilised well,” added Minister Bathiudeen.

A recent study by Afghan Ministry of Mines and Petroleum established natural resource deposits valued at $ 3 trillion sitting pretty in Afghanistan.