Pakistan foils terror bid, seizes arms smuggled from Afghanistan

A security official inspects a seized weapon after Pakistani authorities impounded a truck attempting to smuggle weapons from Afghanistan into Pakistan via the Torkham border on Dec. 13, 2019. (Photo courtesy: KP Customs Department)
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Updated 15 December 2019
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Pakistan foils terror bid, seizes arms smuggled from Afghanistan

  • KP information minister says authorities suspect an organized group behind the smuggling
  • 207 weapons of different brands were concealed in a truck crossing Torkham border to enter Pakistan

ISLAMABAD: Pakistani authorities on Friday impounded a truck carrying a huge arms cache coming from Afghanistan via Torkham border, an anti-narcotics official said on Sunday.
The illicit crossing over of arms, drugs and other illegal materials at Torkham, the major border crossing between Afghanistan and Pakistan, is not uncommon.
In January this year, hundreds of weapons were seized concealed inside a coal truck entering Pakistan from Afghanistan. In June last year, Afghan forces seized a huge bomb-making cache in the back of a vegetable truck crossing over from Pakistan.
“While passing through the transit scanners, the truck coming from Afghanistan was found suspicious on Friday. A thorough search of the truck led the customs department, Anti-Narcotics Force (ANF) and other security officials to recover 207 weapons of different brands including Tomahawk and Maverick guns with Turkish made seals,” Raffaqat Hussain, a sub-inspector of the ANF, told Arab News at the busy Pak-Afghan Torkham border in northwestern Khyber Pakhtunkhwa province.
However, the arms smugglers inside the truck, including the driver of the vehicle, managed to flee after the truck was seized. A passport belonging to the driver was found on the dashboard of the vehicle, Hussain said. He added that the weapons were masterfully concealed inside the truck’s hidden cavities.
KP’s provincial Information Minister Shaukat Yousafzai told Arab News that his government had ‘zero tolerance’ for banned items including arms and narcotics to and from Afghanistan.
“Yes, a truck carrying arms from Afghanistan has been impounded but investigations are in initial process and its findings cannot be made public at this point,” Yousafzai said.
“The officials concerned suspect an organized group behind the botched arms’ smuggling attempt. A looming threat of terror has been foiled but investigations are underway to reach to the depth of the issue,” he added.
Authorities said that a case had been lodged and all concerned departments from police to Khasadar and counter-terrorism forces, were involved in the investigation.
Yousafzai said Pakistan and Afghanistan shared a long porous border but provincial authorities had intensified efforts to discourage illegal business and smuggling along the border areas.
In July this year, Prime Minister Imran Khan had directed all concerned departments to initiate a countrywide crackdown on smuggling, in an Islamabad meeting.
Also in that meeting, it was unanimously decided that a committee would be formed, to be headed by the interior minister, to systemize transit trade and curb smuggling at Pak-Afghan and Pak-Iran border areas.


Pakistan industry warns Iran conflict could worsen balance of payments amid trade disruption

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Pakistan industry warns Iran conflict could worsen balance of payments amid trade disruption

  • Textile sector expects 10-20 percent drop in March exports if shipping disruptions persist
  • Refiner says about 80 percent of Pakistan’s crude imports transit through Strait of Hormuz

KARACHI: Pakistan’s industry leaders warn the escalating conflict between the United States, Israel and Iran could disrupt trade routes, drive up energy costs and worsen the balance of payments after Tehran reportedly blocked the Strait of Hormuz, a strategic sea lane through which much of Pakistan’s oil shipments transit.

Business groups say prolonged disruption to shipping lanes could slow exports and push up freight and fuel costs for the debt-ridden South Asian nation, which relies heavily on imported energy and is trying to stabilize its economy under a $7 billion International Monetary Fund (IMF) program.

“Obviously, Pakistan would face problems like its balance of payment position which is already in a bad shape and may still worsen,” Karachi Chamber of Commerce and Industry (KCCI) President Rehan Hanif told Arab News.

“Pakistan’s daily exports average as much as $85 million. So, if we don’t work for 10 days, we will lose around $1 billion,” he continued while responding to a question about possible disruption to shipments.

The conflict in the Middle East has already rattled global shipping lanes and raised fears of rising energy prices, threatening fragile economies like Pakistan that depend heavily on seaborne trade and imported fuel. An International Monetary Fund (IMF) mission shortened its visit to Pakistan due to escalating tensions in the region and will now continue review talks from Türkiye “virtually.”

Pakistan’s largest oil refiner, Cnergyico Pk Limited, says about 80 percent of the country’s crude oil imports and nearly 25 percent of its gasoil supplies typically transit through the Strait of Hormuz, a critical maritime chokepoint for global energy shipments.

Hanif said crude prices could surge beyond $100 per barrel if the sea route remains blocked for an extended period.

However, Pakistan’s finance adviser Khurram Schehzad said the country’s petroleum stocks remained at comfortable levels but warned prolonged disruption in regional shipping lanes could still affect the economy.

“Our petroleum stocks are at comfortable levels and there is no immediate supply stress,” Schehzad told Arab News. “However, if the situation persists, it may have implications for Pakistan’s energy supply chain and external account.”

Speaking to Arab News, All Pakistan Textile Mills Association (APTMA) Chairman Kamran Arshad said trade data may soon reflect the strain.

“We can see a 10-20 percent drop in March exports from Pakistan and a 10 percent increase in imports due to rising crude oil prices and other materials as such,” he said.

“The textile exports can suffer as freight costs go, he continued, adding that a decline in exports and rise in imports could lead to an even higher than projected trade deficit.

According to official data, Pakistan’s trade deficit widened 25 percent to $25 billion in July–February FY26, with exports declining 7.3 percent to $20.5 billion and imports rising 8.1 percent to $45.5 billion.

“The government’s eight-month trade data show that Pakistan’s exports might not touch $30 billion and the imports will record an all-time high of $68 billion,” Arshad said.

Khurram Mukhtar, patron-in-chief of the Pakistan Textile Exports Association (PTEA), said Pakistan’s main maritime export routes to Europe and the United States remained operational despite disruptions elsewhere.

“Textile exports to core markets are continuing, though some regional exports to the Middle East have faced temporary suspension due to operational issues, including KGTL [Karachi Gateway Terminal Limited],” he said.

AD Ports Group operates KGTL in Karachi, which has suspended export operations for the Gulf region.

“The bigger concern is oil. If tensions persist and oil prices rise sharply, there will be pressure on the import bill and inflation,” Mukhtar said.

Refiner Cnergyico said it had adjusted its sourcing strategy in advance to reduce reliance on the Hormuz route.

“Any prolonged disruption there would have significant implications for the country’s energy supply chain, including higher freight costs and insurance premiums, and could create supply bottlenecks in the domestic market,” the company’s vice chairman Usama Qureshi said.

He added the organization’s immediate crude supply remained secured until May 2026.

“If crude prices sustain levels above $80 per barrel, Pakistan could face renewed pressure on its foreign exchange reserves,” he warned, referring to the roughly $16 billion in reserves held as of Feb. 20.

Shankar Talreja, head of research at Topline Securities Ltd., said the scale of the economic impact remained uncertain.

“The quantum at this point is difficult to ascertain amid evolving conditions in the region,” he said. “A longer conflict could also impact balance of payment as remittances would also get hit.”

Zayan Babar Khan, an investment analyst at Arif Habib Limited, said exporters could face rising freight rates and delays even if shipping routes remain open.

“The European and American buyers may slow orders if global recession fears rise,” he said.

Khan added Pakistan does not currently rely on LNG spot purchases but said “for the fixed contracts, the LNG rates will increase but with a lag,” and cargo disruptions could still affect electricity generation and worsen the country’s circular debt.