Essay on import and export policy of tesla
Answers
Jute products, tea, cotton garments, metal ore, raw skin, cashew nuts, tobacco leaves and other spices have been exported by India for a long time. As these have been exported for a long time, it is known as traditional export commodities.
On the other hand, there are some other goods which are now being included more in export, generally known as non-traditional goods. These non-traditional goods include engineering goods, iron and steel, chemical fertilizers, skin products etc. The importance of non-traditional goods in export is gradually getting importance.
Eight agro-based goods like coffee, tea, cashew nuts, raw cotton, fertilizers, rice, sugar, tobacco and spices occupied third place. The importance of iron and steel, metallic goods, transport equipments, machineries and engineering goods is also more among other exported goods. Except these above stated goods, skin and skin products, tea, petroleum products, iron ore, fish and fish products, cotton garments, cottage industries products etc. were also exported.
Direction of Export:
Among the different countries to which our country exported before independence, the share of England was the largest. Due to our export to other countries and availability of substitutes in England, the importance of England as importer of our products declined.
The countries to which we exported our goods in the year 1987-88 were European Economic Union including West Germany. Except these countries, there was also an increase in the export of our country to the U.S.S.R. Japan, England, organisation of petroleum exporting countries and east European communist countries. Developing countries were also the importers of our products. The export of India to the U.S.A. and European Economic Union is the largest.
Foreign Trade Policy of India:
The value of export of India is less than the value of import of India. The aim of our foreign trade policy is to reduce the difference between the value of import and the value of export. The different steps which are taken to overcome this gap are divided into three types. These are Import Control, Import Substitution and Export Promotion.
Import Control:
Our country has adopted import policy since the beginning of Five Year Plan. A developing country like India needs a restrictive import policy unless which the produced goods of developed countries will capture the market of India because the new industry of India cannot compete with the established industries of developed countries.
Import restriction policy helps to control our market from foreign competition which helps economic development. Due importance is given to defence and other area. It is not possible to reduce the import of those goods which are necessary to build our defence strong.
Liberal policy is adopted to import capital goods and technical knowledge for rapid industrialization. It means the structure of import is channeled by adopting different restrictions on import. The commodities which are necessary are imported and other commodities imports are strictly regulated.