Afghanistan offers India tax-free gold mining investment for five years
New Delhi (The Uttam Hindu): After the change of power in Afghanistan, the government there has now rolled out the 'red carpet' to woo Indian investors. Afghanistan's Industry and Commerce Minister Alhaj Nooruddin Azizi, who is on a 6-day visit to India, made a big announcement on Monday and appealed to Indian companies for investment. He clearly said that his government is ready to give a complete tax holiday for five years to companies investing in new sectors, including gold mining. Speaking at an interactive session organized by Assocham, he invited Indian businessmen to take advantage of Afghanistan's 'tremendous potential'.
Minister Azizi made several attractive promises, opening the coffers to investors. He stated that Afghanistan currently lacks many competitors, presenting a golden opportunity for Indian companies. To encourage investment, the government will not only provide land but also tariff support. The biggest relief is on machinery imports. He stated that if Indian companies import machinery to set up factories or plants there, they will incur only a 1 percent duty. Emphasizing gold mining in particular, the minister stated that they urgently need Indian technical and professional teams for this. However, he also stipulated that the processing of minerals must take place within Afghanistan to create employment opportunities for local people.
During the meeting, the Afghan minister spoke openly about trade barriers and relations with Pakistan. He acknowledged that ongoing tensions with Pakistan are creating difficulties in business activities. In the presence of the Indian side and officials, Azizi urged that removing "minor" obstacles is crucial to increasing bilateral trade. He stated that some technical difficulties, such as visas, air corridors, and banking transactions, are hampering the entire process. The minister expressed hope that India and Afghanistan will resolve these issues together, further strengthening the economic ties between the two countries.