Iran has pledged to support joint investment in cotton processing and the construction of a new textile factory in Helmand Province, marking a significant step toward expanding industrial cooperation between Afghanistan and Iran.
The announcement followed a visit by a delegation from Helmand Province to South Khorasan Province, where officials discussed opportunities to strengthen bilateral economic cooperation across several sectors.
Focus on Cotton Value Addition
According to Ghulam Yahya Pashtoon, the Iranian side expressed its commitment to jointly invest in cotton processing facilities and establish a textile manufacturing plant in Helmand.
He said the discussions also resulted in agreements to expand cooperation in the marble, agriculture and livestock sectors, alongside initiatives to strengthen technical capacity and economic relations between the two neighboring countries.
Cotton Industry Seeks New Export Opportunities
Local traders and cotton farmers welcomed the initiative but emphasized the need to diversify export markets.
Cotton trader Esmatullah Nazari said disruptions to regional trade routes have negatively affected the cotton business, reducing profitability for both traders and farmers. He expressed hope that new trade agreements would improve market access and create additional employment opportunities.
Cotton producers also called for broader international trade partnerships to increase exports beyond traditional markets.
Economists Highlight Benefits of Regional Cooperation
Economic analysts believe stronger industrial cooperation with neighboring countries could stimulate employment, strengthen Afghanistan’s manufacturing sector and improve economic resilience.
University lecturer and economist Mohammad Shabir Bashiri said joint investment projects with Iran could support industrial development while creating jobs, improving technical skills and contributing to long-term economic stability.
Helmand Remains Afghanistan’s Largest Cotton-Producing Region
Helmand produces approximately 200,000 tonnes of cotton annually, making it one of Afghanistan’s largest cotton-producing provinces. Historically, a significant portion of the province’s cotton production has been exported to Pakistan.
The proposed textile factory would enable more domestic value addition by processing locally grown cotton inside Afghanistan, reducing reliance on raw material exports and supporting the development of the country’s textile manufacturing industry.
