2. International
Trade
International Trade is the Exchange of Goods and Services between 2 countries because of Want or need of
the goods .
Importance of International Trade
1. Division of Labour
2. Optimum utilisation of Resources
3. Equality of Prices
4. Good Relationship between Countries
Problems of International Trade
1. Distance between countries
2. Different Languages
3. Different Restrictions and Policies
3. India – USA International
Trade
India – USA International Trade is the significant Aspect of the Global and Strategic
partnership existing between the 2 Countries , United States and India. The US – India
strategic partnership is founded on shared values including a Commitment of Democracy and
Upholding the Rules based International system.. The United States and India have Shared
interest in promoting global security, Stability and Economic prosperity through trade
Investment and Connectivity . The United States Support India’s emergence as a leading
global power and a Vital Support in the efforts to safeguard the Indo Pacific as a Region of
peace
4. Export of Items and The
Obstacles
The items that are Exported from India to USA
1. Precious Gems
2. Jewelry Textiles
3. IT
4. Engineering Products
The Items that are Exported from US to India
1. Precious Stones
2. Machinery
3. Medical Instruments
4. Aircraft
. Obstacles
1. High Tarrif on Imports
2. High Taxes on The Various Variety of Imports
5. Features of India US Trade
Relations
Features of International Trade
1. It provides a More Transparent US Licensing arrangements for Indian imports of Sensitive items and Technology
2. Outsourcing of Knowledge work to India by the USA based companies is a significant features of India US Trade
Relations as Producing Goods and Services in India makes them Cheaper in the USA.
3. Areas Like Infrastructure IT , Telecom Sector , Energy and Other Knowledge industries such as pharmaceuticals ,
Biotechnology are the favourite Areas for Economic Cooperation Between India and USA
4. The India US Trade Relations was further boosted with the conclusion of an open skies Agreement between two
Nations
