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MCQs · Q2

Q.Importing goods from one country for the specific purpose of exporting them, as they are, to another country is known as:

(a) Import Trade
(b) Export Trade
(c) Entrepot Trade
(d) Wholesale Trade
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Entrepot Trade (re-export trade) is a type of External Trade in which goods are imported from one country specifically so that they can be exported, without substantial further processing, to a different country — the importing country acts as a routing hub between the original seller and the final foreign buyer.

Option-by-option analysis:

  • (a) Incorrect — Import Trade describes only the buying-in side (bringing goods into one's own country), without necessarily any onward re-export.
  • (b) Incorrect — Export Trade describes only the selling-out side (sending goods to another country), not the prior act of importing them first. …

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