Question

What is Internal Trade

Answer 1

it means practising trade within one's own country

Answer 2

Internal Trade

When buying and selling of goods and services takes place within the geographical limits of a country. It is known as internal trade.

The main features of internal trade are:

(i) The buying and selling of goods and services takes place within a country.

(ii) The payments are made and received in the home country only.

(iii) There are no or very few formalities to be completed by the traders.

Internal trade can be classified into two categories-

i) Wholesale Trade

It refers to the trade in which goods are sold in large quantities. The person who carries on wholesale trade is known as wholesaler.

ii) Retail Trade

It refers to sale of goods in small lots to the final consumers.The retailer buys goods from a wholesaler and sell them to the customer.

Fact:

• India was famous for international trade from the ancient period. As, spices and textiles were the first products exported by India.