Explain the importance of transport.

Importance of transport :

1. Movement of materials and goods :

Through the various means of transport, raw materials can be moved from the places where they are available, to the places where they can be processed or assembled into finished goods. Similarly finished products can also be made available to the consumers living at places situated far away from the place of production.

2. Price equalisation: Transportation helps in maintaining the supply of goods evenly balanced, hence facilitates in equalising the prices everywhere.

3. Removal of distance barrier: Efficient and cheap means of transport have made the world a small place.

4. Location of industries : Transport also helps in location of industries in the regions where maximum economies of scale, both internal and external can be easily availed e.g. jute industries are located in eastern region because of easy availability of cheap means of transport, they have no difficulty in reaching their goods to other parts of the country.

5. Employment: Transport industry has a potential to provide employment opportunities to millions of people.

6. Mobility of labour : Transportation facilitates mobility of labour.

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