Apart from the diplomatic and geo-strategic fallout of the Taliban’s military rampage across Afghanistan, what should worry the Modi government is the future of India’s economic stakes in the war-locked nation. Apart from India’s development assistance, which is now estimated to be worth well over $3 billion by way of roads, dams, electricity transmission lines and substations, schools, hospitals and important buildings, there was the prospect of a huge business opportunity of exploiting the mineral wealth of Afghanistan. India was at one stage eyeing the Hajigak iron ore mines in Bamiyan province in what was touted as potentially the single biggest foreign investment project in war-ravaged country. A consortium led by state-run Steel Authority of India (SAIL) had planned to invest up to $10 billion in the mines project, railroads and a steel plant. In 2011, the Hamid Karzai-led government had received bids to mine four blocks of an estimated reserve of 2 billion tonnes from the consortium led by SAIL, the US-based ACATCO LLC, Iran’s Behin-Sanate Diba and Gol-e-Gohar Iron Ore, Canada’s Kilo Goldmines and Ispat Alloys, another Indian firm. India was a strong contender. The Indian consortium won the bid for three blocks. However, in view of the security risks in the wake of the withdrawal of US-led security forces, there was a go-slow on the project from all sides. The Afghans have since blown hot and cold. On the one hand, they have cited a host of issues like evacuation of locals, need for rail links, logistics and other technical matters to be resolved. On the other, they have held out the threat of cancelling the tender, if India did not show progress on the project. The Modi government, however, chose to drag its feet. But the deal was never declared dead. However, there is no denying that, unlike in other countries, where India’s infrastructure projects have barely got off the ground or are mired in the host nation’s politics, it has delivered in Afghanistan. If any country could have made a success of exploiting the Hajigak mines, it was India, given the goodwill it has amongst the people of Afghanistan. Trade is growing Despite the roadblocks to an overland route by Pakistan, India-Afghanistan trade has grown with the establishment in 2017 of air freight corridors. Two air corridors – Kabul-Delhi and Herat-Delhi – are in operation now. In 2019-20, bilateral trade has touched $1.4 billion – exports from India are worth about $900 million, while Afghanistan’s exports to India are about $500 million. Indian exports include pharmaceuticals, medical equipment, computers and related materials, cement, and sugar. Afghan exports are mainly fresh and dried fruit. Trade through Chabahar started in 2017 but is restricted by the absence of connectivity from the port to the Afghan border. If India had built the vital link to Chabahar (rail or road) as part of the Hajigak project, it would have helped boost exports. But all this didn’t fit into India’s scheme of things in view of its complex ties with Iran. India has traditionally been reluctant to openly communicate or deal with the Taliban, though the former external affairs minister Jaswant Singh was forced to deal with the Taliban after Jaish-e-Muhammad terrorists hijacked an Indian Airlines plane to Kandahar. The Indian foreign policy establishment also fears that open collaboration could damage its relations with the Afghan government and its regional and global backers.