Q.What is Entrepot Trade? Give an example scenario.

This form of foreign trade is defined by the goods NOT being kept for use at home — they are only passing through.

Entrepot Trade (Re-export Trade) occurs when a country imports goods not for its own domestic consumption, but in order to store, sometimes lightly process or re-pack, and then re-export them to a third country. The country carrying out entrepot trade acts as an intermediary trading hub between the original exporting country and the final importing country. …