NCERT Solutions Class 12 Geography Chapter 8 International Trade

1. Choose the right answers of the following from the given options.

(i) Trade between two countries is termed as
(a) Internal trade
(b) External trade
(c) International trade
(d) Local trade

Answer : C

(ii) Which one of the following is a land locked harbour?
(a) Vishakhapatnam
(b) Mumbai
(c) Ennor
(d) Haldia

Answer : A

(iii) Most of India’s foreign trade is carried through
(a) Land and sea
(b) Land and air
(c) Sea and air
(d) Sea

Answer : C

2. Answer the following questions in about 30 words.

(i) Mention the characteristics of India’s foreign trade.
Answer : The nature of India’s foreign trade has changed over the years. Though there has been an increase in the total volume of import and export, the value of import continued to be higher than that of exports. The share of agriculture and allied products has declined, whereas, shares of petroleum and crude products and other commodities have increased. In import, there is a steep rise in petroleum products.

(ii) Distinguish between port and harbour.
Answer : 

(iii) Explain the meaning of hinterland.
Answer : Hinterland is an area which is connected with the port that serves both for imports and for exports. It is a region lying inland from a coast or river.

(iv) Name important items which India imports from different countries. 
Answer : Petroleum and petroleum products are the major imports of India. Capital goods are also important items which includes non-electrical machinery, transport equipment, manufacturers of metals and machine tools which India imports from different countries.

(v) Name the ports of India located on the east coast.
Answer : Kolkata, Haldia, Paradip, Vishakhapatnam, Ennore, Chennai, Tuticorin are the major ports on the east coast of India.

3. Answer the following questions in about 150 words.

(i) Describe the composition of export and import trade of India.
Answer : Composition of Export trade of India:
1. The percentage share of the agriculture and allied products have declined. Traditional exports of coffee, spices, tea, lentils, and other foods are on the decline.
2. As oil prices have risen and India’s refining capacity has grown, the percentage of petroleum and crude products has climbed.
3. The proportion of ore materials and manufactured items remained relatively consistent.
4. Due to an increase in fruits, marine products, and sugar, the percentage share of other commodities has grown.
5. Engineering goods are the largest commodities on the export list.
Composition of Import trade of India:
1. During the 1950s and 1960s, food grains were the most common imports since India was in desperate need of them. After the 1970’s import of food grains stopped due to the Green Revolution.
2. The share of Fertilisers and petroleum in import has risen due to development process.
3. Machine and equipment, special steel, edible oil and chemicals were essentially imported.
4. It denotes a faster rate of industrialisation and a higher level of life.
5. Imports of capital goods such as non-electrical machinery, transportation, equipment, machinery, tools, and so on have grown.
6. Special steel alloy and edible oils are also imported.

(ii) Write a note on the changing nature of the international trade of India.
Answer : India strives to add up its share in international trade within the next five years. It has already begun to take appropriate steps, such as liberalising imports, lowering import taxes, de-licensing, and switching from method to product patents. India has commercial ties with the majority of the world’s countries and trading blocs.
1. The largest imports and exports are from Asia and oceanic countries.
2. Asia and Oceania accounted for 47.41% of India’s exports, followed by West Europe (23.80%) and America (20.42).
3. Knowledge and information exchange have exceeded the trade of goods and commodities. India has emerged as a credible worldwide rival and is generating significant amounts of foreign cash as a result of its superior software understanding and proficiency in the field of information technology.
4. Tourism has also incorporated India’s updated position in international trade.
There are some factor that decline in international trade with respect to export.
(a) Slow progress in production
(b) Increase in domestic consumption
(c) Increasing competition in the international market, etc.