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05 Aug

Establishment of a Gemstone Processing Center and Its Impact on Afghanistan’s Economy

by Kamran Noori

Establishment of a Gemstone Processing Center and Its Impact on Afghanistan’s Economy

Afghanistan is one of the most resource-rich countries in the world, endowed with vast reserves of precious and semi-precious stones. Proper management and standardized utilization of these resources can play a vital role in strengthening the country's national economy. In this regard, the decision to establish a modern and well-equipped gemstone processing center in Kabul marks an important step toward formalizing the gemstone industry and fostering economic development.

The advancement of Afghanistan’s gemstone industry is of critical importance to the national economy. To facilitate broader extraction and boost exports to global markets, the establishment of a standardized center for gemstone processing is deemed necessary. The core objectives of this center include: ensuring quality processing through advanced laboratories that assess gemstones with precision and produce items that meet international standards; regulating the domestic market by organizing and processing stones extracted from various provinces at a central hub in Kabul; and enhancing export potential by offering internationally certified products that improve Afghanistan’s global trade reputation.

According to recent data, Afghanistan exported approximately USD 21.7 million worth of precious and semi-precious stones in the first six months of 2024. This figure represents a significant increase compared to previous years. With the operationalization of the gemstone processing center, both the value and volume of exports are expected to grow. The center’s standardized facilities will enable the export of finished products rather than raw materials, thereby increasing national income.

Illegal smuggling of gemstones has long been one of Afghanistan’s major challenges, resulting in substantial loss of national revenue. The creation of this processing center is a strategic move to address this issue. With an organized system for managing and storing gemstones, the center will ensure transparency and tighter oversight within the industry.

Beyond improving export performance, the project will have a notable impact on the domestic economy. It is expected to create thousands of employment opportunities for workers and professionals in the extraction and processing sectors. Moreover, the center will attract private investment, leading to increased production and the strengthening of local markets.

The international gemstone market is highly competitive, and the Kabul center aims to prepare Afghan products in accordance with global standards. This will help earn the trust of international buyers. Additionally, the presence of modern technical equipment at the facility will allow for precise quality assessments and improve Afghanistan’s competitiveness in global markets.

The establishment of this gemstone processing center is a significant step toward Afghanistan’s broader economic development. It will not only provide the infrastructure for standardized processing but also contribute to increased national revenue. In the long term, this initiative is expected to shift Afghanistan’s exports from raw materials to high-value finished products, playing a key role in building economic stability.

In conclusion, with its rich reserves of gemstones, Afghanistan holds vast potential for national development. The creation of this processing center is not only a strategic move for advancing the industry but also a crucial step toward increasing exports, boosting national income, and earning global market trust. This initiative signals promising changes for Afghanistan’s economic future.

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