What are the main problems of Indian foreign trade?

What are the main problems of Indian foreign trade?

The following are the special problems or difficulties of foreign trade:

• Distance:
• Diversity of Languages:
• Transport and Communication:
• Risk and Uncertainty:
• Lack of information about foreign traders:
• Import and Export Restrictions:
• Difficulties in Payments:
• Various Documents to be used:

What are the main trends of foreign trade in India?

Here we detail about the four important trends in the value of India’s foreign trade.

• Huge Growth in the Value of Trade: Table 7.1 reveals that the total value of foreign trade which was Rs.
• Higher Growth of Imports:
• Inadequate Growth of Exports:
• Mounting Trade Deficit: Deficit in the Balance of Trade:

What are the barriers of foreign trade?

The three major barriers to international trade are natural barriers, such as distance and language; tariff barriers, or taxes on imported goods; and nontariff barriers. The nontariff barriers to trade include import quotas, embargoes, buy-national regulations, and exchange controls.

What is India’s foreign trade policy?

India’s Foreign Trade Policy (FTP) provides the basic framework of policy and strategy for promoting exports and trade. The DoC has also sought to make states active partners in exports. As a consequence, state governments are now actively developing export strategies based on the strengths of their respective sectors.

What was the condition of India’s foreign trade before 1947?

India’s foreign trade was largely determined by the strategic needs of the British colonial powers prior to its independence in 1947 Like other colonies, India too was a supplier of raw materials and agricultural commodities to Britain and other industrial countries and it used to import the manufactured goods from …

What were the main reforms in the foreign trade sector?

They included removal of restrictions on exports, reduction in export duties, subsidisation of exports, institution of organisations in the public sector to enlarge exports, devaluation of rupee in 1966, encouragement to production for exports and upgradation of technology in export industries.

What are major imports of India?

India main imports are: mineral fuels, oils and waxes and bituminous substances (27 percent of total imports); pearls, precious and semi-precious stones and jewelry (14 percent); electrical machinery and equipment (10 percent); nuclear reactors, boilers, machinery and mechanical appliances (8 percent); and organic …

What are the 4 types of trade barriers?

These four main types of trade barriers include subsidies, anti-dumping duties, regulatory barriers, and voluntary export restraints.

What are four major hurdles to successful global trade?

Four major hurdles to successful global trade are: sociocultural forces, economic and financial forces, legal and regulatory forces, and physical and environmental forces.

What are India major exports and imports?

An in-depth look into India’s top 10 imported commodities

• Crude petroleum. Crude petroleum was India’s top import in 2020-21.
• Gold.
• Petroleum products.
• Coal, coke and briquettes.
• Pearl, precious and semi-precious stones.
• Electronic components.
• Telecom instruments.
• Organic chemicals.

Who controls foreign trade in India?

Foreign trade in India includes all imports and exports to and from India. At the level of Central Government it is administered by the Ministry of Commerce and Industry.

What was the condition of India’s trade at the time of independence?

From the time of Independence India has been one of the important trading countries, exporting primary items like cotton, raw silk, sugar, wool, jute, and indigo, etc. And importer of finished consumer goods like woolen clothes, cotton, silk, and capital goods like light machinery manufactured in Britain.

How do bottlenecks affect India’s competitiveness in the global market?

Infrastructure bottlenecks affect India’s competitiveness: Port and road infrastructure bottlenecks coupled with difference in tax structure across states are impacting India’s competitiveness in the global market.

What is the current foreign trade policy of India?

The current Foreign Trade Policy (2015-20) focusses on improving India’s market share in existing markets and products as well as exploring new products and new markets.

What were the changes in foreign trade in 1947?

Change in Foreign Trade In 1947, after almost 200 years under the British rule, India was still reeling from the aftermath of the independence struggle and the partition. The government tried to protect India’s fledging economy by adopting a protectionist stand.

What is the function of Department of Foreign Trade Policy?

The Department devises commodity and country-specific strategy in the medium term and strategic plan/vision and India’s Foreign Trade Policy in the long run. India’s Foreign Trade Policy (FTP) provides the basic framework of policy and strategy for promoting exports and trade.