Analysis Of: Roll No. 13 To 20 M.b.a.(p.t.) 1 Semester

Analysis of

Roll No. 13 to 20 M.B.A.(P.T.) 1st Semester

International Trade 

Historical importance.



Mutually benefit the countries.



Opportunity for individual company.





Source of economic revenue. Economic, social & political importance.

2

Factors Affecting International Trade 

Political environment



Foreign Currency



Taxes & quotas



Cultural environment



Geography



Trade organizations & agreements 3

Impact on International Trade 

Industrialization.



Globalization.



Multi National corporations.



Advanced transportation.



Technology & Internet.

4

India’s International Trade 

Sluggish growth after independence.



1991- Economic liberalization policy.



Prominence of Indian Economy in the global market

5

India’s International Trade 

Help attract foreign investment.



Cordial international relations.



Political & social enviornment.

6

Growth of India’s International Trade

7

India’s Trading Partners

8

India’s Trade Basket

9

India’s International Trade: 2008-09 

Exports in August 2008- US$ 16.0 billion- growth of 26.9% (18.2% previous year).



Imports in August 2008- US$ 29.9 billion- increase of 51.2% (34.2% previous year).



POL imports during April-August 2008US$ 46.1 billion- growth of 60% (17.9% previous year).

10

India’s International Trade: 2008-09 Items Exports Oil Exports* Non-Oil Exports* Imports Oil Imports Non-Oil Imports Trade Balance Oil Trade Balance* Non-Oil Trade Balance*

2007-08 60.1 (19.3) 4.7 (6.2) 26.0 (5.5) 94.6 (34.2) 28.8 (17.9) 65.8 (42.7) -34.6 -12.3

2008-09P 81.3 (35.3) 9.0 (91.5) 39.1 (50.3) 130.5 (38.0) 46.1 (60.0) 84.5 (28.3) -49.3 -20.5

-13.5

-9.0

* : Figures pertain to April-June P: Provisional Note : All figures in US$ billion. Figures in parentheses show percentage change over the previous year. Source : DGCI & S 11

Source: DGFT, Annual Report 2007-08 12

India’s Export: 2008-09 (Percentage Shares) 2006-07 15.6

2007-08 17

2008-09 16.2

allied products

10.0

11.4

11.4

Ores and minerals

5.5

5.7

4.8

67.2

63.6

58.3

2.4

2.2

1.8

related products

13.7

12.9

11.4

3.

Engineering goods

23.4

23.1

24.1

4.

Textile and

5.

products Gems and jewellery

13.7 12.6

12.0 12.4

10.4 9.7

14.8 2.4 100.0

15.6 3.8 100.0

18.7 6.8 100.0

Commodity Group Primary products 1. Agriculture and

2.

Manufactured goods 1. Leather and manufactures 2.

Chemicals and

Petroleum products Others Total exports

textile

Source: Compiled from DGCI & S data. 13

India’s Import: 2008-09

14

India’s Import: 2008-09

15

Services Trade 

Services trade shares about 9% of GDP.

 Services

export growing much faster than world services exports; In 2000-2006India: 38.22%, World: 12.84%.

 Services

trade contributes about 2.64% of world services

trade.

16

Services Trade

17

Services Trade

18

Services Export

19

Services Import

20

Conclusion 

Significant contribution to growth of economy.



Creation of foreign currency pool.



Local factors- political interests, culture & values



Oil imports & unstable oil prices- negative trade balance. 21

Inputs &?!

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