Dr. Ashraf Ghani
Dr. Ashraf Ghani

Industrial Growth and National Self-Reliance: Strengthening Afghanistan’s Steel Industry

Industrial Growth and National Self-Reliance: Strengthening Afghanistan’s Steel Industry

Speech at the Inauguration Ceremony of the Khan Steel Factory

Keypoints:

  • Industrial Development: Promoting domestic steel production
  • Private Sector Investment: Encouraging national entrepreneurship and investment
  • Economic Self-Reliance: Reducing imports through local manufacturing
  • Job Creation: Expanding employment through industry
  • Resource Utilization: Developing Afghanistan’s rich iron reserves
  • Public–Private Partnership: Strengthening cooperation between government and investors
  • Modern Technology & Standards: Supporting high-quality industrial production
  • National Responsibility: Protecting factories as national assets
  • Economic Vision: Transforming Afghanistan into a future steel exporter
  • National Progress: Linking industry with stability and prosperity

 

In the name of Allah, the Most Compassionate, the Most Merciful.

Honorable Dr. Qayoumi, Mr. Mastoor, Mr. Rasa, Mr. Yari, Mr. Ghalib, the Acting Mayor of Kabul, Mr. Kaminzada, Mr. Alokozay, Mr. Hotaki, esteemed deputies and members of both chambers [of Commerce and Industries], traders, investors, tribal elders, youth, and especially the children—[laughter]—Peace and the blessings of Allah be upon you all!

Personal Reflection and Childhood Aspirations

I want to share a memory from my childhood with you. At the Park Cinema, I saw a film of His late Majesty’s visit to Egypt. Everywhere he went, there was a steel factory. He was hosted by the late Egyptian leader, Gamal Abdel Nasser, and on that very day, a wish was born in my heart: when will the day come that Afghanistan possesses a first-class steel factory? I thank you for making my childhood dream a reality! I thank you from the bottom of my heart. I thank Khan Steel, Mr. Wardak, Khan Mohammad Khan, Ataullah Jan, everyone involved, and both chambers.

Current Industrial Achievements and Religious Significance

This year, by the grace of God, our steel production from six factories has reached 220,000 tons. I want to specifically thank everyone and the Afghanistan Chamber of Industries. May your homes be prosperous! You have made a great start, and God willing, we will see it to its full completion. I also thank the Qari Sahib; did you notice the verses he recited from the Holy Quran regarding the properties of iron [Steel]? When the Word of God speaks of iron, you realize the immense importance of steel for this land and its future. In this path, you have not only launched a national movement but have fulfilled a great Islamic duty. Again, may your homes be blessed!

Investment Standards and Technological Modernization

It is my hope that the entire people of Afghanistan see the example of successful investment we witnessed today—as Mr. Khan Mohammad said—as their own national asset. My message and request to the people of Afghanistan is this: do not view private sector investment as harmful or a wrong path; consider it your national wealth. Every Afghan is responsible for protecting every factory and investment as they would protect their own life. Look at some of the characteristics of this project: First is the standard. Today, this factory holds the highest standards, and my trust lies with Dr. Qayoumi, whom I thank specifically. He has visited this site five times, and this is his sixth; every time he returns—and you know, when you have a friendship spanning over forty years, he tells you immediately what is happening and what isn't—he has always spoken of your work with praise. I thank you here because you could have brought a second or third-rate factory or old technology, but instead, you brought the best technology with the highest standards. What does this mean? It means this factory can compete for forty years, not just for two or six months. For this medium and long-term vision of yours, I express my gratitude.

The Economic Cycle and Job Creation

Furthermore, you have truly invested with full strength. It is a very clear matter: when the private sector invests genuinely in industries, jobs are created, legitimate profits are earned, and while your capital grows day by day, employment is found for the nation. Every 50,000 tons of imports replaced by domestic production means, in reality, that gold and silver are not flowing out of your pockets and out of the country. On the contrary, it sets everyone to work. This is truly a noble cycle, and I ask the Minister of Commerce and the Minister of Economy to inform the entire nation about this.

The Contrast Between National Commitment and Corruption

The whole nation must know that we have successful models of investment. If our problems are one side of the story, our achievements are a very positive direction, and we must specifically appreciate the courage of individuals like Mr. Wardak and his colleagues. Contrast their will and intention with those who seek to become wealthy through theft. Those who steal at the borders are stealing from the Bait al-Mal (Public Treasury). Those who usurp land are usurping the Bait al-Mal. But you are investing, and you have invested under conditions where others thought it was impossible. I want to thank you for your national sentiment, because if it were based on economic logic alone, you might not have invested here—but national commitment is something else. I thank the private sector for believing in this land. Mr. Alokozay said you trust me and Dr. Abdullah; that is the greatest honor, for we are your servants. This is what the whole nation wants.

Coordination and Strategic Resource Management

Another point is that this is an example of coordination. We had a massive, excessive amount of scrap metal that was being smuggled for 16 years. You and I came together and made a decision—do you remember? Some wanted to make a lot of money from scrap and sell it back, making deals under the table. You came forward and when I asked if you were satisfied with 14,000 AFN per ton, I said no, 10,000! This provided an opportunity for everyone. What would I have done with that extra 4,000? This is proof that our goal is not just revenue; production is our primary objective. The result is that today, Khan Steel and five other factories have invested. I am certain that whenever the private sector has a problem and offers clear solutions, the Government of National Unity stands beside you. All cabinet members, especially the High Economic Council, are the means to resolve your problems.

The Future of Mineral Wealth and Mining Strategy

Honorable brothers and dear compatriots! Look at what we have. We have at least two billion tons of iron ore reserves, yet we still import 3,500 tons of steel daily from abroad. There is no greater injustice in the world than this. It is essential that we put these resources to work. On one hand, we have natural wealth—the Hajigak mine alone reaches 2 billion tons. Looking at the rest of Afghanistan's iron, which I reviewed thoroughly last week while drafting the mining strategy, there are ample opportunities. On the other hand, we now have a living example. Your industry needs Afghanistan's raw materials, and since you have that need, it is clear that the internal market can be set in motion. Third, you have combined capital with knowledge. Capital alone without knowledge yields no results, but now that both are present, God willing, both challenges will be solved.

Governmental Support and Institutional Reform

Another point is the government's commitment. Honorable sir, you mentioned you need assistance. You saw the Minister of Defense—God willing, he will resolve that specific issue for you from start to finish within two weeks. Just as we prevented smuggling in the civilian sector, we will now bring this other sector to your service. But the main point is this: you made your proposal very calmly—now, a total group of investors should join together to fundamentally develop Afghanistan’s iron mines yourselves. The government is at your service. Come to us with a clear plan on which location is easiest and what the arrangement should be. Breshna Company has taken another step; you invested heavily and I thank you, but now they will only require 50% of the electricity payment in advance.

National Stability, Democracy, and Final Directives

Following that, they will provide sufficient assistance to other investors. I still believe that the wish of the Afghan people is for Afghanistan to be built. The people want the Afghan system; the private sector wants the Afghan system; the youth, women, and the Pashtun woman want a system based on the Constitution that serves them. There is no power in this land that can block the national goal of Afghanistan! The demand of the people is rooted in Sharia and rooted in the law. We must all prepare ourselves: forty years of crisis is enough! This nation has sacrificed much, and God willing, the result of this sacrifice will be a prosperous, free, and advanced Afghanistan. We are all here for a few days; by the grace of Allah, the house is neither a tribal fiefdom nor a hereditary estate. Whoever the people vote for will become President. The goal of the Presidency is not to act as a "Khan"; the goal of the Presidency is to serve. God willing, we will all stand by this culture.

Conclusion and Renaming of the Ministry

In conclusion, I have one proposal and one directive. My directive is that the name of the "Ministry of Commerce and Industries" be changed to the "Ministry of Industry and Commerce"! [Placing industry first]. Again, I thank you. You took me back to my childhood and my youth, back to the days when Dr. Qayoumi and I were in faculty. In those days, the indicators of a country's progress were measured by its steel production. Today, you have included us in that category. God willing, this nation will together witness the day when Afghanistan becomes an exporter of this industry. Thank you!

Long live Afghanistan!