2. KINDS
OF FOREING TRADE
NEED FOR FOREIGN TRADE
IMPORTANCE OF EXTERNAL TRADE
ADVANTAGES OF FOREIGN TRADE
DISADVANTAGES OF FOREIGN TRADE
COMPLEXITIES OF FOREIGN TRADE
IMPORT TRADE
EXPORT TRADE
3. Due
to difference in geographical
condition, a nation cannot produce all
commodities itself. It has to depend on
other nation for the commodities either
cannot be produced or the supply of which
less than the demand every nation faces
shortage of some commodities or other.
4. Uneven
Distribution of Natural Resources
Division
of Labour and Specialisation
Varying
Rate of Economic Growth
Theory
of Comparative Cost
5. Earning
Foreign Exchange
Utilization of Resources
Development of Economy
Increase in Wealth
Mutual Cooperation
Assistance Calamities
Disposal of Surplus Produce
Strong Relation
6. Availability
of Different Commodities
Maximum Utilisation of Natural
Resources
Advantage of Geographical Facilities
Higher Standard of Living
Advantage to agricultural and industrial
countries
Development of Service Sector
Promotion of World-peace
7. Mobility
of Factors of Production
Equalisation of prices
Generation of Employment
8. Distance
Dependence
Absence
of Personal Contact
Downfall of Home Industries
Political Slavery
Import of Luxurious and Harmful Goods
Risky Affair
9. Difficulty
Regarding Information
Difficulty in Estimating Changes in
Demand and Supply
Risk of Fluctuation in Price
Changes in Exchange Rates
Restriction
Less or Damage to Cargo
Import-Export Licences
11. Buying
of Goods and Services from
country is known as import. For
example, purchasing necessary goods
from U.S.A. , Japan ,Russia , Canada and
other countries is called Import for India
12. To
Meet the Need of Goods
To Develop the Economy
Geographical Reasons
Export Promotion
14. Order or Indent
Bill of Lading
Certificate of Origin
Consular`s Invoice
Shipping Bill
Bill on Entry
Bill of Sight
Dock Warrant
Dock Challan
Charter Party
Letter of Hypothecation
15. When
nation sells goods and service to
another nation. For example, M/s Rustogi
brothers of Mumbai sell gold ornaments to
a firm of England, it is called export trade.
16. To
sell the surplus production.
To pay the imports.
To promote industrialisation.
To earn foreign exchange.
To make balanced development of nation.
To achieve self-sufficiency.
To accelerate the rate of growth.
18. Order
Indent
Bill
of Lading
Certificate of Origin
Consular`s Invoice
Charter Party
Mate`s Receipt
Shipping Order
Shipping Bill
19. Dock
Receipt
Dock Challan
Insurance Policy
Letter of Hypothecation
Bill of Exchange
Invoice
20. Foreign
trade is that trade which improves
the living standard of public at large. With
the help of foreign trade we use luxury
goods. And they create a lot of
Employment opportunities. But it affects
the home industry which face downfall and
some times a country can depends on
developed country. It proves very costly.