Write a note on the changing nature of the international trade of India.
In 1950–51 India's external trade was worth Rs. 12140 million which rose to Rs. 8371330 million in 2004-05.
The nature of India's foreign trade has changed over the years. The following table shows the change in imports and exports. India’s foreign trade (in million Rs.)
|
Years |
Exports |
Imports |
Total |
Trade |
|
Trade |
deficit |
|||
|
1994–95 |
826740 |
899710 |
1726450 |
72970 |
|
2000–01 |
2035710 |
2308730 |
4344440 |
273020 |
|
2004-05 |
3560690 |
4810640 |
8371330 |
1242950 |
The composition of commodity in India's international trade has been undergoing a change over the years. The share of agricultural products has declined whereas share of petroleum and crude products and other commodities have increased. The shares of ore minerals and manufactured goods have largely remained constant over the years from 1997-1998 to 2003-04.
The decline in traditional items is largely due to the tough international competion. Amongst agricultural products there is a great decline in the exports of traditional items such as coffee, spices, tea, pulses etc. though an increase have been registered in floriculture products, fresh fruits, marine products and sugar etc.
