Islamic Republic of Ministry of Agriculture, Irrigation and Livestock

INVESTMENT OPPORTUNITIES IN AFGHANISTAN'S AGRICULTURE SECTOR 2012 - 2013

Private Sector Development Directorate November 2012 Apples on a farm in province

This brochure was published on the occasion of the Kabul International Agfair, which was held on November 7-9, 2012.

Its purpose is to provide a brief overview of investment opportunities to AgFair participants, as well as to all other interested investors.

For additional information, please contact the Private Sector Development Directorate at: [email protected] Table of Contents

Introductory Words - H.E. Minister Rahimi 3 Welcome to Investors - Abdul Qayoom Bassam, Private Sector Development Directorate Directo 5 Arazi - Afghanistan Land Authority 7 AISA - Afghanistan Investment Support Agency 9 Irrigation Sector 11 Rice Mill Processing and Marketing East/Northern Regions 14 Fresh Fruit Processing - Eastern Region 15 Farm Machinery Manufacturing 16 Saffron Processing and Marketing in Herat 17 Automated Packaging Plant in Kabul 18 Livestock By-Products 19 Cashmere Production 20 Fruit Juice Processing in Kabul 21 Tomato Paste Processing and Marketing in the Northern Region 23 Cold Storage Facility in Kabul 24 Edible Oil Processing and Packaging in Balkh Province 25 AgFairs as a Networking Opportunity 26

2 Ministry of Agriculture, Irrigation and Livestock

Introductory Words of H.E. Minister Mohammad Asif Rahimi

Respected Readers and Visitors to the Kabul International AgFair, it is a pleasure to present you with this brochure which provides up-to-date information on investment opportunities in Afghanistan's agricultural sector.

Being one of the fastest growing sectors of the Afghan economy, there is no doubt that agriculture provides almost inexhaustible opportunities for investment. The purpose of this booklet is to provide you with information on already approved projects so that investors wanting to take immediate action can do so.

The Ministry of Agriculture, Irrigation and Livestock is committed to providing valuable support to Afghan farmers and herders not only through activities related to increased production and productivity but also through facilitating access to agribusiness markets for our products.

3 Investment Opportunities in Afghanistan's Agriculture Sector

MISSION OF THE MINISTRY

To restore Afghanistan's licit agricultural economy through increasing production and productivity, natural resource management, improved physical infrastructure and market development.

AgFairs, especially those international in nature, are certainly one of the most effective mechanisms to build connections between agricultural producers and traders, thereby contributing to our strategic goals such as: Increase of agriculture production and productivity, economic regeneration and programme support, and change management which encompass three of the four key programs defined in the National Agriculture Development Framework.

We are advancing our strategic goals through concrete organizational improvements within the Ministry. The Private Sector Development Directorate has been reorganised and we are committed to further strengthening, particularly regarding capacity building.

It is my sincere hope that the Private Sector Development Directorate will be a focal point within this Ministry where entrepreneurs are linked to farmers and herders in a way that is mutually beneficial for all involved.

Mohammad Asif Rahimi, Minister Ministry of Agriculture, Irrigation and Livestock

4 Ministry of Agriculture, Irrigation and Livestock

Private Sector Development Directorate, a Service for Agribusiness Entrepreneurs

Dear Readers, Entrepreneurs and Visitors of the Kabul International AgFair, it is my pleasure to welcome you on behalf of the Private Sector Development Directorate (PSDD) and AgFair team of the Ministry of Agriculture, Irrigation and Livestock.

This year we are hosting the eight International AgFair in Kabul which we hope will produce effective linkages between Afghan agricultural producers, retailers and traders, both domestic and international. In order to provide sufficient information for potential investors in the agriculture sector seeking immediate business opportunities, we have prepared this brochure which contains up-to-date information on investment opportunities.

The Private Sector Development Directorate's vision over the next five years, is to create a dynamic partnership with Afghanistan's agribusiness sector to expand the competitiveness of Afghanistan's agricultural products.

The Directorate will achieve its vision by collaborating with all MAIL Directorates and the agribusiness sector to create an enabling environment for producers and traders to increase efficiency and expand agricultural production and exports. An enabling environment for agribusiness development will be created through: n Formulating and implementing consistent polices that directly increase agribusiness competitiveness; 5 Investment Opportunities in Afghanistan's Agriculture Sector

n Directing future public sector and donor investments in market infrastructure to sites within the MAIL agricultural development regions that have the highest potential for increased competitiveness; n Developing and maintaining a new public-private partnership for acquiring and disseminating appropriate market development information throughout Afghanistan's key value chains; and n Sustaining public-private sector engagement to identify and support needed agribusiness policy reforms and public sector support for agriculture. PSDD will provide support to agribusiness management both to existing organizations to leverage the capacity they already have with management, planning and marketing technical assistance, and to new companies.

In order to promote increased growth in the agribusiness sector, PSDD will also support the formation of new enterprises and organizations, including associations and cooperatives. While associations are not legally permitted to engage in commercial activities, they serve an important function in gathering stakeholders of production, processing, trading and retailing and providing a forum for the development of market linkages and advocacy.

The Private Sector Development Directorate is committed to providing valuable information and high quality service through its Agribusiness centres to all entrepreneurs seeking good business opportunities and contributing at the same time to the development of the Afghan agriculture sector.

For information, please contact us at the following addresses: [email protected] [email protected]

With respect, On behalf of Private Sector Development Directorate Team Abdul Qayoom Bassam, Director

6 Ministry of Agriculture, Irrigation and Livestock

Arazi - Afghanistan Land Authority

„We want to provide investors with an international-class service to lease government land through a simplified, transparent, 'one-stop-shop.' Arazi, our new land-lease agency, lease land for farming, grazing, factories and other agribusiness. They plan to offer 25,000 more hectares every year, including a new agricultural industrial park adjacent to Kabul International Airport”. H.E. Mohammad Asif Rahimi, Minister

Afghanistan Land Authority (Arazi) is an executive agency within Ministry of Agriculture, Irrigation and Livestock, whose purpose is to remove major economic constraints, by improving access to governmental lands for commercial activities. Arazi is a single reference point for both domestic and international investors, interested to invest in any kind of legal activities on government owned land in Afghanistan.

The mandate of this authority is to coordinate its activities with the Afghan government, line ministries, donors and private sector organizations to ensure that land needed for productive investment is readily available throughout the country.

7 Investment Opportunities in Afghanistan's Agriculture Sector

One Stop Shop for Investment

Land leased to a telecom company

Investing on land is a sustainable opportunity for individuals and private sector. Arazi is the only authorized entity to provide lease services to investors for different commercial proposes such as: telecommunication, agriculture and livestock, industries and commercial, public services, etc.

Arazi has established an easy and very simple system of leasing procedures, which has reduced the land leasing process from 52 steps to 9 steps. Since establishment of Arazi, about 1100 land lease contracts covering 12,596 hectares of land have been signed with individual investors and private sector entities for different commercial purposes, which have led to 436, 8 millions USD investment and more than 10,000 employment opportunities.

Contacts: For additional information, please contact Mr. Arif Hakimy, phone: +93 794 40 04 34, email: [email protected], website: www.arazi.gov.af

8 Ministry of Agriculture, Irrigation and Livestock

Afghanistan Investment Support Agency (AISA)

Thinking about investing in Afghanistan’s agriculture sector it is good to know that, apart from the Ministry of Agriculture, Irrigation and Livestock with its Private Sector Development Directorate and Arazi, you have one more partner on Government’s side which is tasked to support investors.

Afghanistan Investment Support Agency (AISA) was established in September 2003 in accordance with a directive issued by the Government of Afghanistan as a “One Stop Shop for Investors”. AISA has been charged with the responsibilities of registration, licensing and promotion of all new investments in Afghanistan.

AISA’s mission is to create sustainable enterprise development, particularly small and medium, by providing quality services to investors, facilitating cross border partnerships, advocating business enabling measures & reforms and by promoting Afghanistan as an attractive business and investment destination proactively.

In line with our mission AISA provides to investors the following specific services:

l Online investment inquiry options l All necessary permits, licenses and clearances – including online license application l General information on investment opportunities l Judicial details on investment, tax, labor, insurance and l environmental laws/regulations and social/ecological standards

9 Investment Opportunities in Afghanistan's Agriculture Sector

l Financial information regarding banking facilities, labor costs, and investment incentives; l Support in the acquisition/leasehold of land l Assistance in custom clearance of material related to the investment l Conferences and symposiums on important investment related issues l Announcement of investment opportunities via the foreign missions in Afghanistan and the Afghan Embassies overseas l Research, surveys and reviews on issues, which are considered to be of vital importance for investors l Regular consultations, dialogues, seminars and workshops with stakeholders

AISA provides potential investors with assistance based on their company’s particular requirements and expedites everything from preliminary investigations to final site negotiations.

We encourage you to visit AISA’s web site where you can find all laws and regulations related to investments, as well as reports, studies and application forms www.aisa.org.af

Contacts: For additional information please contact AISA officers at: email: [email protected] or [email protected] phone: +93 202 10 34 04 Office Address: Opposite Ministry of Foreign Affairs, Kabul, Afghanistan

10 Ministry of Agriculture, Irrigation and Livestock

Irrigation Sector

Water is a fundamental ingredient for growing crops. Afghanistan has total renewable water resources of 2389 m3/capita-year, and it means that we can irrigate more than 10Mha (million hectares) agriculture land with it. According to the Afghanistan Statistical Yearbook (2009-2010) on land use, only 12 percent (7.8 million hectares) of Afghanistan's 65 million hectares of land is classified as arable.

The total amount of irrigated land in Afghanistan has declined from a high of 3.2 million hectares in the 1970s to about 1.8 million hectares at present (23 percent of the overall arable hectarage of the country). These facts and figures indicate huge potential for investment in the Irrigation sector.

Solar pumps In many regions around Afghanistan, it is possible to readily see dry land with no crops alongside a river bank because there is a few feet elevation difference between the water and agricultural land. Farmers use gasoline pumps unsustainably because of the high price of fuel. One of the low cost technologies available in the market is solar pumps, which can lift water from up to 200 meters, and continue to pump as long as day light is available.

11 Investment Opportunities in Afghanistan's Agriculture Sector

IHFD (International Home Finance & Development, LLC) is active in this field and have completed several projects inside Afghanistan. They are producing mobile solar stations that could cost USD15,000/unit pumping 2 inches of water from 70 meters below the ground surface. The cost dramatically lessens with decrease in elevation.

Contacts: For further information, please contact Rafaat B. Ludin, International Home Finance & Development, LLC, phone: +93 (0) 788 88 80 41 email: [email protected]

12 Ministry of Agriculture, Irrigation and Livestock

Manufacturing of Precast Parabolic structures

Surface water is the biggest source of irrigation for agriculture in Afghanistan. Due to a porous sandy bed of canals their efficiency is below 30%. The Ministry of Agriculture, Irrigation and Livestock recent initiative (On-Farm Water Management Project) lines earthen canals through the use of PCPS (Precast Concrete Parabolic Structures). This is one of the best options to reduce the conveyance time and improve efficiency.

There is a demand for hundreds of these manufacturers, but currently only two manufacturers are available in the market. The cost of establishing this factory is in the range of $50,000 US.

Contacts: For further information, please contact Eng. Atiqurahman, phone: +93 786 66 25 90 email: [email protected]

Manufacturing of High Efficiency Irrigation Systems/Parts High Efficiency Irrigation Systems (sprinkler, drip, bubbler) use is common in agriculture. It has gained entry in Afghanistan's agriculture sector to produce a good yield with very little water. Because of a lack of local manufacturers for sprinklers, drip and bubbler systems inside Afghanistan their parts or the systems are extremely expensive due to the involvement of multiple layers of suppliers/profit makers. Currently, the cost of putting a drip system in one jerib of agricultural land ranges from $500 SU to $1000 US, depending on the source of the water. “Noor Brothers” and “Royal Abyari Supplies” install this equipment throughout Afghanistan. Manufacturing of this equipment locally could reduce costs dramatically.

Contacts: For further information, please contact Dr. Nisar Ahmad Zubair, Royal Aabyari, phone: +93 (0) 799 60 5740 email: [email protected]

13 Investment Opportunities in Afghanistan's Agriculture Sector

Rice Mill Processing and Marketing East/Northern Regions

The purpose of this project is to increase rice production through the importation of certified rice varieties from India; introduction of new technology for cleaning, processing and packaging; and implementation of a marketing strategy. Annual production of rice in Afghanistan is 450,000 MT. This year Afghanistan imported 155,676 MT of rice worth $122,000,000 US, largely from Pakistan. Afghan rice is also exported to central Asia countries.

Value of investment: Total investment of $12,850,000 US is required, of which $10,000,000 will be used to construct a rice processing plant; $2,400,000 to purchase and distribute rice seed to farmers; and $450,000 for marketing ($200,000 year one, $150,000 year two, $100,000 year three).

Contacts: For further information please contact Mr. Sherzad Azizi, Afghan Rice Processing Mill, phone: +93 (0) 774 23 58 17 or +93 (0) 775 82 67 68 email: [email protected].

14 Ministry of Agriculture, Irrigation and Livestock

A vineyard in Badam Bagh

Fresh Fruit Processing - Eastern Region

The main objective of this project is import substitution for juices ($24,016,542 US 2011) and jams and jellies ($1,840,784 US 2011). A processing plant would be constructed in eastern Afghanistan to purchase fresh fruits from the eastern and central regions. Processed products will be sold nationally and export possibilities for concentrates explored. The processing plant will be equipped with a tetra pak line in order to produce juices with a long shelf-life. There are a few small fruit processing facilities that could explore joint ventures with new investors. One such company is Masroor Food Processing established in 2008 and located in Jalalabad. Their processing capacity is 2 MT/day and includes juices, jams and jellies.

Value of potential investment: Total value: $16,000,000 US, of which $12,000,000 is for processing plant construction and $4,000,000 is for purchase of approximately 20,000 MT of fresh fruit. Marketing and promotion (un-estimated at present) is required. Project preparation can start immediately and production can commence in March 2013.

Contacts: For further information, please contact Mr. Qayoom Bassam, mobile phone: +93 (0) 799 84 00 47, email: [email protected]

15 Investment Opportunities in Afghanistan's Agriculture Sector

Farm Machinery Manufacturing

The purpose of this project is to promote the manufacture and distribution of farm machinery and tools. Farm machinery manufacturing (especially tractor-powered threshers and cultivators) is a sunrise sector experiencing high growth. The farm machinery sector is dependent on Afghanistan's rapidly mechanizing agricultural sector. There are 4 main manufacturers of farm machinery in Afghanistan. Jawed Afghan with its foundry and precision tools is the most well-known farm machinery company in Afghanistan. This company produces threshers for wheat and rice cultivation, farm trailers, plows and cultivators. Akhtar Mohammed Smith and Agricultural Tools main products are tractor-mounted blades for soil mulching, farm trailers as well as plows and cultivators. Hussein Implement Manufacturer specializes in plows and cultivators, and is slowly expanding into corn threshers. Jan Agha produces corn and rice threshers as well as plows and cultivators.

Value of potential investment: Total value of investment is $10,000,000 US, of which $3,000,000 is for a manufacturing plant, $5,000,000 is for working capital, and $2,000,000 is for marketing purposes. The nascent farm machinery sector accounts for $2,000,000 US of a growing market that is valued at up to $20,000,000 including imports.

Contacts: For further information please contact Mr. Qayoom Bassam, mobile: +93 (0) 799 84 00 47 email: [email protected]

16 Ministry of Agriculture, Irrigation and Livestock

Saffron Processing and Marketing in Herat

The purpose of this project is to promote the processing of saffron and additional value addition. An investor will be encouraged to build a saffron processing plant in . In addition, an investor will allocate funds to develop a marketing strategy to promote sales and development of an international “Afghan” brand. Afghan saffron is currently exported to Spain, France, UAE, India, USA and Japan; however, processing, packaging, and marketing require improvement in order to maximize the returns from saffron cultivation. Year one plans are for the purchase of 4,000 kg of saffron increasing in year two to 6,000,000 and 10,000,000 in year three. There are three major Afghan companies that are heavily involved in the production and export of saffron. Afghan Red Gold Saffron is the largest of the three companies.

Value of potential investment: Total value of investment is $6,550,000 US, of which $350,000 is for construction of processing plant and facility in 2012; $6,000,000 is for purchase of 4,000 kg of saffron in 2013; and $200,000 is for marketing expenses.

Contacts: For further information, please contact: Ms. Sima Ghoryani, Ghoryan Women Saffron Association, phone: +93 (0) 703 18 80 20, or +93 (0)799 36 17 30, email: [email protected]; Mr. Azizullah Rahmati, Afghan Red Gold Saffron LLT, phone: +93 (0) 799 66 66 50, or +93 (0) 700 40 23 40, email: [email protected]; Mr. Ghaffar Hamidzay, Afghan Saffron, phone: +93 (0) 799 30 30 96, email: [email protected], www.afghansaffron.af

17 Investment Opportunities in Afghanistan's Agriculture Sector

Automated Packaging Plant in Kabul

The purpose of this project is to construct and operate a large, automated packaging plant for agribusiness products. Currently only 10% of the large cartons required in Afghanistan are produced domestically. The balance of packaging is imported from Pakistan and Iran. Local demand is estimated to be 100,000,000/cartons for year one and increasing thereafter. Kabul Packages has been in business for 12 years and currently employs 30 permanent staff and 10 casual staff.

Value of potential investment: Total value of investment is $30,000,000 US, of which 50% will be provided by the Kabul Packages Company. Capital investment costs count for approximately $15,000,000. To date a number of meetings have been held with the Afghan Government including a meeting with His Excellency President Karzai and His Excellency Mohammad Asif Rahimi, Minister of Agriculture Irrigation Livestock. An official application has been prepared for the Afghanistan Land Authority (ARAZI).

This project offers potential employment for 300 – 500 people depending on sales volume. The Afghan Government needs to amend their importation rates for cartons and the required raw materials.

Contacts: For further information, please contact Kabul Packages, Mr. Haji Abdul Ghafoor, phone: +93 (0) 799 33 00 22 email: [email protected] and Mr. Gul Mohammad, +93 (0) 799 73 95 71

18 Ministry of Agriculture, Irrigation and Livestock

Livestock By-Products

Agriculture Market Infrastructure Project (AMIP) is designed to undertake livestock and horticulture market investments and provide support to improve the commercial operations of facilities, including slaughterhouses, improved post-harvest technologies and marketing practices. The project is expected to work with existing farmers' cooperatives and groups to stimulate agribusinesses and assist commercializing a largely traditional sector which has been held back due to lack of investments and standard regulatory framework. Five slaughter-houses (2 in Kabul and 1 each in Mazar, Kunduz, and Herat) will be established. Contractors’ teams have been mobilized and the slaughter-houses are expected to be completed late 2013. When the slaughter-houses run at full capacity they will produce 3,000 hides and skins per shift (8 hours) on a daily basis. In addition, there will be animal waste consisting of blood, faeces and waste water offering investment opportunities for the private sector.

Contacts: For further information, please contact Mr. Matin Behzad, phone: +93 (0) 779 29 19 48 email: [email protected]

19 Investment Opportunities in Afghanistan's Agriculture Sector

Cashmere Production

Herati Cashmere and Skin Processing Plant (HCS) based out of Herat has been involved in cashmere and animal skin processing/trading since 1999. This company has been exporting raw cashmere to China, Europe, and the USA. The company has already invested approximately $5,000,000 US in processing facilities, including land, buildings and machinery. HCS has 15,000 square meters of land with an approximately 10,000 square metres building. HCS has established its first cashmere dehairing combine line in Herat in 2011. A new cashmere dehairing line was just established in north-eastern Afghanistan, Faizabad City, and a third dehairing line will arrive in November 2012 for installation in Herat. HCS has its own cashmere scouring line and test laboratory in Herat. The company started developing hand spun cashmere yarn at the end of 2011 and successfully found a new market operating mainly in the US and started working with popular American companies such as Kate Spade, J. Crew, Downtown Yarn, and Elder Statesman. HCS has just brought new equipment to Herat that will be used for top making and is currently under installation. With this equipment the company will be able to start the production of industrial spun cashmere yarn, using two spinning mills already available in Kabul. HCS already has marketing agencies in the US and the United Kingdom. This company has the second largest tannery in the region having daily capacity of 6,000 – 7,000 goat or sheep skins. Its processed skin, wet-blue form, is being exported to Italy.

Value of investment: $5,500,000 US is needed to operate HCS processing facilities and sell processed materials, both cashmere and animal skins, to the international market. This investment provides great opportunity for value addition towards final products.

Contacts: For further information, please contact Herati Cashmere & Skin Processing Plant (HCS), Mr. Abdul Basir Hotak, President, phone: +93 (0) 700 43 82 23

20 Ministry of Agriculture, Irrigation and Livestock

Did you know that apricots from Afghanistan taste 33% sweeter compared to similar varieties grown elsewhere?

Fruit Juice Processing in Kabul

Afghanistan is home to some of the most sought-after varieties of fresh fruits and vegetables in the world. The country's pomegranates, melons, grapes and apricots are recognized internationally for their large size, sweetness, and color.

Global Industry Analysts, in an industry report on the fruit and vegetable juice sector, state that the market for fruit and vegetable juices has the potential to reach 72.79 billion litres by 2017. The primary driver is a rising trend for consumer purchase of healthy beverages. Omaid Bahar Fruits Processing Ltd. (OBFPL) is the first and only Afghan company to produce fruit concentrate as well as fill, package, and distribute fruit juice drinks under their own brand.

Fruit concentrates and juices include Afghan pomegranates, apples, mulberries, apricots, peaches, plums, cherries, and carrots.

21 Investment Opportunities in Afghanistan's Agriculture Sector

Afghanistan's fruits are superior in taste and famous across the region.

OBFPL has annual processing capacity of 30,000 tons of locally grown fruits, with an estimated turnover of $20 million US per year. The current market size in Afghanistan is in excess of US $100 million per year with an estimated annual growth rate of 15%. Substantial private financing has already been obtained and the company is looking for expansion funding. $25,000,000 US has already been invested to date.

Value of investment: An amount of $20,300,500 US is estimated. Total sales for 2012 are projected at $20 million (1.5 million net profit) and expected to increase to $29 million (1.8 million net profit) by 2014. These projections are expected to double or triple with an additional $10 million US investment.

Contacts: For further information, please contact Mr. Mustafa Sadiq, President, Omaid Bahar Fruit Processing Ltd., phone: +93 (0) 786 00 20 07 email: [email protected]

22 Ministry of Agriculture, Irrigation and Livestock

Tomato Paste Processing and Marketing in the Northern Region

The purpose of this project is to expand tomato paste processing and increase production through the provision of certified tomato seed to farmers in the northern region. Increased locally produced tomato paste provides a strong opportunity for import substitution. QariZadah Tomato Paste Processing Company has been in operation for six years and has an exclusive market in the northern regions of Afghanistan. Tomato production is estimated at 44,000 MT per year. Current processing production is 15,000 cans per day although there is a capacity of 45,000 cans per day. There is great potential to extend their markets throughout Afghanistan. Cans are currently imported from China, Iran and Pakistan.

Value of investment: Total value of investment would be $2,300,000 US, of which $1,150,000 US is required to purchase modern equipment offering increased cleaning, processing and packaging capacity. In addition, $500,000 US is required to purchase raw tomatoes; $200,000 for distribution of certified seed to farmers; and $450,000 US to implement a marketing strategy ($200,000 year one, $150,000 year two, and $100,000 year three).

Contacts: For further information, please contact QariZadah Tomato Paste Processing Company, Mr. Sayed Arif Qarizadah, phone: +93 (0) 700 50 83 53.

23 Investment Opportunities in Afghanistan's Agriculture Sector

Cold Storage Facility in Kabul

The purpose of this project is to build a commercial cold storage facility for fruit and vegetables. It would be located near the Kabul fruit market. Although large in size, it would have individual rooms so that operation is based on demand at any given time. These rooms need to be designed carefully so they can benefit from natural temperature differences. Insulation panels are required for the construction of a chiller (fruit and vegetables) and freezer (meat and fish). Refrigerator equipment including condensing units and evaporator are needed for temperature control.

Value of investment: An amount of $500,000 US, depending on size of facility, is needed to cover capital investment costs and other expenses. An adequate and dependable electricity supply is required for this venture.

Contacts: For further information please contact Afghan Cooling Company, Eng. Shiragha Wahabzai, Cold Storage Speciality, phone: +93 (0) 798 13 75 79 email: [email protected]

24 Ministry of Agriculture, Irrigation and Livestock

Edible Oil Processing and Packaging Balkh Province

The purpose of this import substitution opportunity is to increase production through the provision of certified seed and fertilizer thereby expanding processing capacity. The Saniazada Edible Oil Extraction Company started business operations in 2003 and has been extracting and refining oil from a variety of seeds (cotton, sesame, flax, sunflower and olive). They have developed a strong relationship with farmers. This company has installed a new edible oil processing and refinery factory with a capacity of 32 MT/day. In the Northern provinces, oil crop production is estimated at 69,661 MT annually. There is great potential for Saniazada to expand their market throughout Afghanistan.

Value of investment: Total value of investment is $8,800,000 US, of which $8,000,000 US is required to construct store rooms for raw material and final products; purchase of packing equipment and marketing is estimated at $600,000 US; and purchase of raw materials (oil seed) and other inputs such as fertilizer is estimated at $200,000.

Contacts: For further information please contact Eng. Emamuddin, Saniazada, Edible Oil Processing Company, phone: +93 (0) 700 51 04 92 email: [email protected]

25 Investment Opportunities in Afghanistan's Agriculture Sector

Afghanistan’s AgFairs - A Great Networking Opportunity

Afghanistan's agriculture fairs are held annually and have drawn thousands of business people from across the country and from 15 nations including India, United Arab Emirates (UAE), Pakistan, Tajikistan, the United States, the United Kingdom, Italy, New Zealand, and Germany. Last year, more than 55,000 visitors came to the 12 AgFairs that were held in Kabul, Mazar-e-Shariff, Kunduz, Herat and other provinces to view the exhibitions.

The Kabul AgFair is the largest trade fair in Afghanistan, thus it is a great networking opportunity which should not be missed.

Located at the crossroads of Asia, Afghanistan is an ideal meeting point for all companies searching for high quality agriculture products and networks to respond to the surging consumer markets of India and China. The Kabul International AgFair provides a unique business opportunity to: t Identify prime agri-business investment opportunities; t Explore profitable markets and business sectors t Gain valuable information from policy makers and business leaders; t Forge business deals in the country's expanding agricultural sector.

Contacts: For additional information please contact AgFair Secretariat at: [email protected]

26 Ministry of Agriculture, Irrigation and Livestock

Afghanistan is home to some of the most sought-after varieties of fresh fruit and vegetables in the world. The country's pomegranates are recognized internationally for their large size, sweetness, and color. Its apples are distinctive for their high sugar content and crispness. Afghanistan's melons, apricots, and grapes are superior in taste and famous across the region. And Afghanistan's riches aren't limited to fresh produce. Afghanistan's nuts, including wild pistachios, almonds, walnuts, and pine nuts, have long been a favorite in neighboring countries. The high-value spice of saffron can thrive in more than half of the country's 34 provinces. Afghanistan ranks as the third largest producer of cashmere in the world and has the potential to dramatically expand its market share of this luxury product.

Investing in Afghanistan is a great chance to boost your business!

27 Contacts:

Private Sector Development Directorate Ministry of Agriculture, Irrigation and Livestock Jamal Meena, Opposite Kabul University, Kabul, Afghanistan Phone: +93 (0)799 84 00 47 Email: [email protected] [email protected]

www.mail.gov.af