Official NCERT Book for Class 12 Geography: India People and Economy Chapter 08 International Trade
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You have already studied about the various aspects of International trade in the book Fundamentals of Human Geography. International Trade is mutually beneficial as no country is self-sufficient. India’s international trade has undergone a sea change in recent years in terms of volume, composition as well as direction. Although India’s contribution in the world trade is as low as one per cent of the total volume, yet it plays a significant role in the world economy.
Let us examine the changing pattern of India’s International trade. In 1950-51, India’s external trade was worth Rs.1,214 crore, which rose to Rs. 44,29,762 crore in 2016-17. Can you calculate the percentage growth in 2016- 17 over 1950-51? There are numerous reasons for this sharp rise in overseas trade, such as the momentum picked up by the manufacturing sectors, the liberal policies of the government and the diversification of markets.
The nature of India’s foreign trade has changed over the years (Table 11.1). 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.
Changing Pattern of the Composition of India’s Exports
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