Exercises · Q4
Q.State any three genuine objectives of India's Foreign Trade Policy.
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✓ Free question
India's Foreign Trade Policy pursues several enduring objectives:
- Promoting exports — supporting export-oriented industries and simplifying export procedures so India's share of world trade grows.
- Diversifying the trade basket — reducing over-dependence on a narrow set of export products or a small number of trading partner countries, spreading trade risk across more products and markets.
- Facilitating necessary imports — ensuring smooth import of capital goods, technology and raw materials that domestic industry needs to grow, while managing the effect on the overall trade balance.
- Integrating with the global economy — participating in multilateral trade arrangements and easing trade procedures so Indian firms can compete globally.
Any three of these, explained in a sentence or two each, form a complete answer — the exact incentive schemes and tariff details used to pursue these objectives change with each policy revision, but the underlying objectives themselves remain stable.
✓Final answer
Three valid objectives: promoting exports, diversifying the trade basket across products and markets, and integrating India's economy with global trade arrangements.
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