Smuggled Iranian fuel, bought at Rs40 per liter and sold in Karachi for Rs200, is fueling violence linked to terrorist financing

By Asghar Ali Mubarak
ISLAMABAD: Pakistan’s defence minister, Khawaja Asif, has claimed that terrorists in Balochistan are earning up to Rs4bn a day through the smuggling of Iranian fuel, warning that a crackdown on criminal networks has triggered a backlash against the state.
Addressing the National Assembly, Asif said large-scale smuggling of fuel and other goods had gone unchecked for years, generating billions of rupees. He said the government’s recent enforcement drive had disrupted these operations, prompting smugglers and their allies to stir unrest. Iranian fuel bought at around Rs40 per liter, he said, was being sold in Karachi for up to Rs200.
Asif argued that the curbs on smuggled fuel had directly affected terrorist financing, adding that the resulting violence was aimed at recovering lost profits. He said insecurity in Balochistan had persisted for decades due to a mix of factors, including entrenched criminal networks.
The defence minister alleged that terrorist leadership operated from Afghanistan with support from India, and that Afghan territory was being used against Pakistan. He said security forces had killed 177 terrorists in recent operations, while 17 soldiers and 33 civilians had also lost their lives.
Rejecting what he called a “narrative of deprivation”, Asif cited development spending in the province, including road networks, schools, cadet colleges, hospitals and airports, and said Balochistan’s share under the NFC award stood at Rs933bn. He acknowledged corruption across federal and provincial levels but blamed feudal structures and criminal alliances for exploiting local resources. He ruled out talks with armed groups, saying those involved in violence and smuggling would be confronted with the full force of the state.
Asif urged political unity against terrorism, calling it a collective national responsibility, and said terrorists listed as “missing persons” were being killed in operations, raising questions about who was supplying them with weapons. He concluded by condemning attacks on civilians, including the killing of laborers on the Jaffer Express, and said groups involved in such acts could not be engaged in dialogue.
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