Access the latest NCERT Solutions for Class 12 Geography Chapter-8: International Trade, updated for 2024-2025. Solution is designed to help students tackle difficult questions with ease. The content is written in simple, easy-to-understand language.
Exercise
Choose the right answers of the following from the given options.
(i) Trade between two countries is termed as
(a) Internal trade
(b) External trade
(c) International trade ✔️
(d) Local trade
(ii) Which one of the following is a landlocked harbor?
(a) Visakhapatnam ✔️
(b) Mumbai
(c) Ennor
(d) Haldia
(iii) Most of India’s foreign trade is carried through
(a) Land and sea
(b) Land and air
(c) Sea and air
(d) Sea ✔️
Answer the following questions in about 30 words.
(i) Mention the characteristics of India’s foreign trade.
India’s foreign trade has diversified in terms of volume, composition, and direction over the years.
- Exports mainly include manufactured goods, agriculture, and petroleum products, while imports include crude oil, machinery, and gold.
- India trades with countries across Asia, Europe, Africa, and North America, but the trade deficit persists as imports exceed exports.
(ii) Distinguish between port and harbor.
- Port: A port is a location where ships load and unload cargo or passengers. Ports often have modern facilities for shipping and trade.
- Harbor: A harbor is a sheltered body of water where ships can anchor safely. All ports may not be harbors, but harbors are often part of ports.
(iii) Explain the meaning of hinterland.
Hinterland refers to the area served by a port or industrial hub. It includes regions where goods are collected for export or distributed after being imported.
(iv) Name important items which India imports from different countries.
Key imports include crude oil, gold, electronics, machinery, chemicals, edible oils, and fertilizers.
(v) Name the ports of India located on the east coast.
Ports on the East Coast: Visakhapatnam, Chennai, Haldia, Paradip, Ennore, and Tuticorin.
Answer the following questions in about 150 words.
(i) Describe the composition of export and import trade of India.
India’s export trade mainly includes:
- Manufactured goods such as machinery, engineering products, and textiles (67.8% in 2021-22).
- Agriculture and allied products such as rice, spices, and marine products.
- Petroleum and minerals like refined petroleum and ores.
Import trade consists of:
- Crude oil and petroleum products (31.6% of total imports).
- Machinery, electronics, gold, fertilizers, and chemical products.
- India also imports essential items like edible oils, non-ferrous metals, and pharmaceuticals. The import of capital goods shows a steady decline, reflecting a shift toward domestic production.
(ii) Write a note on the changing nature of the international trade of India.
- India’s international trade has evolved significantly since 1950-51, when the trade volume was minimal.
- Over the years, liberalization, privatization, and globalization policies have boosted trade. India’s trade partners now include a broad range of countries from Asia, Europe, Africa, and North America.
- A shift in export composition is observed, with less reliance on agriculture and more focus on manufacturing and petroleum products.
- India has diversified its import basket, importing essential raw materials and technology. The government is actively working to reduce the trade deficit by promoting export-oriented industries.
- There is also a shift toward regional trade agreements and bilateral trade deals to enhance India’s global trade participation.
Other Important Short answer Questions
Below are important short answer questions and answers based on Chapter 8: International Trade from the NCERT Class 12 book. These are designed to align with previous NCERT and UPSC exam patterns. Each answer is concise (around 100 words) for better clarity.
1. How has the composition of India’s exports changed in recent years?
The composition of India’s exports has evolved significantly. In earlier years, agricultural products like tea, spices, and cashew dominated exports. However, the share of agricultural products has decreased, and the export of manufactured goods, such as machinery, engineering products, and chemicals, has grown. Additionally, petroleum products, gems, and jewelry have gained prominence. India’s export strategy now focuses on high-value goods and technology-based products to compete with countries like China and other East Asian nations. The shift reflects the diversification and industrialization of India’s economy.
2. What factors have influenced the changes in India’s import composition?
India’s import composition has shifted from food grains in the 1950s to petroleum products, fertilizers, and machinery. The Green Revolution reduced food imports, but industrial growth increased the demand for capital goods, oil, and chemicals. The 1973 oil crisis led to a surge in petroleum imports. Today, India imports machinery, electronic goods, fertilizers, edible oils, gold, and precious stones. Rising living standards and industrialization further influence the import patterns. The government’s focus is on reducing dependency on imports by promoting domestic production through initiatives like “Make in India.”
3. What is the significance of ports for India’s international trade?
Ports play a crucial role in India’s trade as most international cargo moves via sea routes. India has 12 major ports and over 200 minor ports. Ports like Mumbai, Chennai, and Kolkata handle significant volumes of goods. Modern ports such as Jawaharlal Nehru Port at Nhava Sheva focus on containerized cargo. Ports are gateways for petroleum, machinery, and consumer goods, facilitating economic growth and international trade. Additionally, the government is investing in port modernization under the Sagarmala initiative to enhance efficiency and reduce logistics costs.
4. What role does petroleum play in India’s import trade?
Petroleum and its products constitute a large share of India’s imports. They serve as essential fuel and industrial raw materials for multiple sectors, including power generation, manufacturing, and transportation. The rising industrial demand and fluctuating international crude prices significantly impact India’s import budget. Petroleum imports also indicate the country’s growing energy needs. India has been trying to reduce dependency by increasing domestic production and exploring alternative energy sources such as solar and wind energy.
5. How has the direction of India’s trade shifted over the years?
Initially, India’s trade was focused on the UK and other Commonwealth countries due to colonial ties. Over the years, trade has diversified towards regions such as North America, Europe, and East Asia. Today, the United States, China, UAE, and European countries are India’s major trading partners. ASEAN and African countries are also gaining importance. India is increasingly focused on strengthening regional trade through agreements with neighboring countries and organizations like ASEAN to enhance exports and reduce dependency on specific markets.
6. What challenges does India face in balancing trade?
India faces a persistent trade deficit due to higher imports than exports. Factors contributing to the trade imbalance include heavy dependency on petroleum imports, limited domestic production of electronics, and rising consumer demand for gold. Despite efforts to boost exports, India faces competition from countries like China. Furthermore, global trade restrictions, exchange rate fluctuations, and geopolitical uncertainties pose challenges. The government is promoting local manufacturing through policies like “Make in India” to reduce imports and improve trade balance.
7. What are the main features of the Sagarmala project?
The Sagarmala project aims to modernize India’s port infrastructure and enhance coastal connectivity to promote trade. It focuses on developing new ports, expanding existing ones, and improving hinterland connectivity. The project also encourages the use of inland waterways to reduce logistics costs. By enabling faster movement of goods and easing congestion at ports, Sagarmala seeks to make Indian exports more competitive. Additionally, it promotes the development of coastal economic zones and attracts foreign investments in port infrastructure.
8. Why is India’s trade volume with neighboring countries relatively low?
Despite sharing borders with countries like Nepal, Bhutan, Bangladesh, and Pakistan, India’s trade volume with its neighbors is limited due to political tensions, trade restrictions, and inadequate infrastructure. Road and rail connectivity is often underdeveloped, leading to logistical challenges. In contrast, trade through ports and air routes with distant nations is more efficient. India is working on initiatives such as the India-Bangladesh Inland Waterway project and the South Asian Free Trade Agreement (SAFTA) to enhance regional trade.
9. What are the advantages of India’s long coastline for trade?
India’s long coastline of 7,517 kilometers provides several advantages for trade. Coastal ports facilitate imports and exports, connecting India to international markets efficiently. Ports such as Mumbai, Chennai, and Kochi handle bulk cargo, while container ports like Jawaharlal Nehru Port streamline export processes. Coastal shipping is cost-effective, fuel-efficient, and environmentally friendly, making it suitable for transporting heavy goods. Additionally, the government’s Sagarmala project aims to further enhance the utilization of coastal routes and improve port infrastructure.
10. How does India benefit from trade agreements with ASEAN?
India’s trade agreements with ASEAN countries have opened new markets for Indian goods and services, particularly in pharmaceuticals, machinery, and textiles. These agreements allow easier access to Southeast Asian markets by reducing tariffs and non-tariff barriers. Trade with ASEAN nations also supports India’s export diversification strategy, minimizing dependence on traditional markets. Furthermore, regional cooperation promotes investments, infrastructure development, and economic integration. India is now focusing on enhancing trade in newer sectors like information technology and services with ASEAN.
MCQs: International Trade
Below are 20 MCQs based on Chapter 8: International Trade from the NCERT Class 12 Geography book. These questions align with topics relevant for previous board exams and competitive exams like UPSC.
1. What percentage of India’s exports in 2021-22 came from manufactured goods?
a) 41.6%
b) 67.8%
c) 12.3%
d) 31.6%
2. Which country is one of India’s main competitors in international trade?
a) Russia
b) China
c) USA
d) Japan
3. What was the total value of India’s exports in 2021-22?
a) ₹25,77,422 crore
b) ₹31,47,021 crore
c) ₹19,05,011 crore
d) ₹77,19,796 crore
4. Which major imported commodity saw a significant rise due to the energy crisis in 1973?
a) Fertilizers
b) Petroleum
c) Machinery
d) Edible oils
5. Which Indian port is located at the head of the Gulf of Kutch?
a) Paradip Port
b) Kochi Port
c) Deendayal Port (Kandla)
d) Tuticorin Port
6. Which mineral-rich state primarily supports the Paradip Port?
a) Odisha
b) Gujarat
c) Maharashtra
d) Tamil Nadu
7. Which of the following is India’s largest container port?
a) Kochi
b) Paradip
c) Jawaharlal Nehru Port
d) Haldia
8. What is the meaning of ‘hinterland’?
a) Coastal area used for fishing
b) Land area served by a port
c) An area used for tourism
d) An uninhabited region
9. Which city has a land-locked harbor?
a) Chennai
b) Visakhapatnam
c) Haldia
d) Mumbai
10. Which import category includes petroleum, oil, and lubricants?
a) Fertilizers
b) POL
c) Capital Goods
d) Precious Stones
11. What share of India’s foreign trade is conducted via sea routes?
a) 95% by volume
b) 70% by value
c) Both (a) and (b)
d) 50%
12. What caused the initial decline in Kolkata Port’s significance?
a) Partition of India
b) Lack of industrialization
c) Silt accumulation in the Hugli River
d) Shift in trade to ports in Kerala
13. Which Indian port is closest to the Suez-Colombo route?
a) Tuticorin
b) Kochi
c) Chennai
d) Mumbai
14. Which export category showed a significant rise by 2021-22?
a) Fertilizers
b) Crude Petroleum and Products
c) Agricultural Products
d) Capital Goods
15. Which region is the largest trading partner of India?
a) Europe
b) Africa
c) ASEAN and Asia
d) North America
16. Which port was developed to relieve pressure from Kolkata port?
a) Paradip
b) Haldia
c) Kandla
d) Ennore
17. Which scheme aims at modernizing India’s ports and infrastructure?
a) Sagarmala
b) Bharatmala
c) UDAN
d) Setu Bharatam
18. Which product does India import despite being an agricultural economy?
a) Edible oil
b) Wheat
c) Machinery
d) Jute
19. Which year marked the beginning of significant reforms in India’s trade policies?
a) 1947
b) 1971
c) 1991
d) 2001
20. What was the trade deficit of India in 2021-22?
a) ₹7,25,082 crore
b) ₹14,25,753 crore
c) ₹8,10,423 crore
d) ₹5,18,202 crore
Answer Key
1. b) 67.8%
2. b) China
3. b) ₹31,47,021 crore
4. b) Petroleum
5. c) Deendayal Port (Kandla)
6. a) Odisha
7. c) Jawaharlal Nehru Port
8. b) Land area served by a port
9. b) Vishakhapatnam
10. b) POL
11. c) Both (a) and (b)
12. c) Silt accumulation in the Hugli River
13. b) Kochi
14. b) Crude Petroleum and Products
15. c) ASEAN and Asia
16. b) Haldia
17. a) Sagarmala
18. a) Edible oil
19. c) 1991
20. b) ₹14,25,753 crore
Other Chapter
| Chapter 1:- POPULATION: Distribution, Density, Growth and Composition | Chapter 2:- HUMAN SETTLEMENTS |
| Chapter 3:- LAND RESOURCES AND AGRICULTURE | Chapter 4:– WATER RESOURCES |
| Chapter 5:- MINERAL AND ENERGY RESOURCES | Chapter 6:- PLANNING AND SUSTAINABLE DEVELOPMENT IN INDIAN CONTEXT |
| Chapter 7:- TRANSPORT AND COMMUNICATION | Chapter 9:- GEOGRAPHICAL PERSPECTIVE ON SELECTED ISSUES AND PROBLEMS |
