Kerala Trade & Commerce

The basic objective of Economic Reforms was to improve productivity Growth and competitiveness in the Indian manufacturing sector. These reforms were aimed at making Indian manufacturing sector more efficient and technologically up to date, with the expectation that these changes would enable Indian manufacturing sector to achieve higher and sustainable growth. The government started to deregulate the Indian economy with a Liberalization-2/”>Liberalization programme, focused on the Investment pattern, trade policies, the financial sector, Taxation and public enterprises.

In recent times, Industrialization has become the catch word of the midtwentieth century and industrial development of the under developed countries or developing countries like India. One of the great world crusades of our times, the Less Developed Countries (LDCs) hope to find in it a solution their problems of POVERTY, insecurity, overpopulation, backwardness, illiteracy etc. They consider it a panacea for all the evils of their social and economic life. In fact, the essence of Economic Development of an LDC like India consists essentially in the growth of industrialization.

Realizing the importance of industrialization, once Pt. Jawaharlal Nehru rightly remarked, “Real progress must ultimately depend on industrialization”. His vision was to see India in the group of developed nations of the world and industrialization was the only key to restructure the economy and to achieve sustained growth. Indian economy is a basically an agriculture based economy. It has been evident from the experience of the most of advanced countries that growth based upon agriculture sector will not be sustainable growth.

After studying such behaviour of terms of trade they made their belief that for the agriculture based economies terms of trade would always become unfavourable in long run because;

a) The income elasticity of export-goods of agricultural countries is low, while the income elasticity of import-goods is very high. As in case of domestic demand, the demand for agricultural products in other countries, in particular advance countries, is very low. In fact, developed countries have surpluses in agriculture products for exports. As against this, the demand for the import of manufactured goods by LDCs is very intense; and
b) With the advancement of technology, input-output coefficients are declining and most of primary products which were used as raw material are replaced by the industrial cheaper raw material.

On the other hand, if we develop only Tertiary Sector and ignore Industrial Sector then there may be tendency of Inflation in the economy and this inflation may lead to deceleration economic growth. Therefore, industrialization is the only method to achieve sustained economic growth. Moreover, economic history demonstrates that to eliminate a country’s techno-economic backwardness it is necessary to develop the industrial sector and then to diversify it over a wide range of area and activities. Industrialization is a process of economic organization characterized by rapid setting up of industries and has invariably been the accompaniment of economic development. Nevertheless, economic development should not be treated synonymous with industrialization because industrialization is only a part of the whole process of economic development.

TRADE

Kerala has a long glorious history of trade with other countries in the world. But the direction and composition of the trade is changed a lot in years. Now the over dependence on Horticulture-2/”>Horticulture and marine exports is risky as global commodity prices are beyond Kerala’s control. Diversification of exports to include high value knowledge based goods and Services will spread the risk as well as improve inward flows to the State. Similarly, Kerala is known more for semi-skilled emigrants, the one major exception being highly skilled nurses. Efforts should be made to increase the skill and employability of all Keralalites so that they may benefit from global opportunities. The benefits gained in being a globally sought after tourist destination can be further enhanced through a variety of measures which ensure that Kerala remains a clear, eco-friendly and safe destination, with not only a rich historical and cultural tradition but a State which offers tourists world class recreation facilities. Being the major gateway to Kerala, the lion’s share of trade operations in the State is being conducted through Cochin Port. Items of trade include pepper, cashew, coir and coir products, tea, cardamom, ginger, spices and spices oil and marine products.

MAJOR ITEMS OF EXPORTS

All commodities, except tea and coir products, exported through the Cochin Port showed an increasing trend during in the recent years. Exports of cashew kernels increased by 11 per cent, sea foods by22 per cent, spices by 41 per cent and coffee by 36 per cent. Exports of tea has decreased slightly (by 0.21 per cent) and that of coir products by 6.5 per cent.

MAJOR ITEMS OF IMPORTS

Imports through Cochin Port continued to increase. The main items of import include Fertilizers and raw materials, food grains, iron and steel and machinery, newsprint and raw cashew nut.

INDUSTRIES IN KERALA:

Kerala, with all its limitation, is putting efforts for speedy Industrial Development in the state. Traditional industries are handloom, cashew, Coir and Handicrafts where the persons employed are from weaker sections of the community. Other important industries are Rubber, Tea, Ceramics, Electric and Electronic Appliances, Telephone Cables, Transformers, Bricks and Tiles, Drugs and Chemicals, General Engineering, Plywood Splints and Veneers, Beedi and Cigar, Soaps & Oils, Fertilizers and Khadi and Village Industry Products. The modern industries in Kerala are Metal, Shipping, Softwares, Electronics, Automobiles, Real Estate, and Tourism. etc. There are a number of manufacturing units for production of precision instruments, machine tools, petroleum products, paints, pulp paper, newsprint, glass and non-ferrous metals. Principal export products are Cashew Nut, Tea, Coffee, Spices, Lemon Grass Oil, Seafood, Rose Wood and Coir. The land of Kerala is endowed with a number of deposits of good quality china clay and beach sands containing a variety of valuable Minerals. Heavy mineral sands and china clay contribute more than 90 percent of the total value of mineral production in the state. Kerala possesses one of the world class deposits of mineral sands in the coastal tracts between Neendakara and Kayamkulam. Gold occurs in Kerala both as primary and placer deposits and the known occurrences are mainly in Wayanad and Nilambur regions.

TRADITIONAL INDUSTRIES

Traditional industries form the back bone of industrial development of Kerala providing EMPLOYMENT on a massive scale with minimum capital investment. But traditional sectors are operating at a low level of productivity and workers draw very low income. The traditional industries in Kerala particularly coir, handlooms, khadi, bamboo-based, handicrafts, artisanal and village (cottage) industries etc. are plagued by problems of high cost production, low quality, absence of diversified product range, inappropriate technology and incapacity for professional Marketing and export. Increased mechanization, large scale of production and global competition in quality and price pose the threat of massive redundancies in these high employment sectors of Kerala, which may result in poverty and social problems.

DEVELOPMENT OF TOURISM AS AN INDUSTRY:

Until the early 1980s, Kerala was a relatively unknown destination, with most tourism circuits concentrated around the north of the country. State—laid the foundation for the growth of the tourism industry. Kerala strongly realized the importance of Tourism during the mid-80’s. Tourism was recognized as an industry in Kerala in 1986 – vide an order dated July 11, 1986. Kerala was the first state to declare tourism as an industry. The first tourism policy of the state was announced in 1995 underlining the importance of Public- Private PARTNERSHIP. The Tourism Policy of Kerala stated as its main aim “to serve as a guiding force to make maximum use of Kerala’s tourism potential and also to make it an ideal instrument of social and economic growth”. By the early 2000s, tourism had grown into a fully-fledged, multi-billion dollar industry. Over the last five year plan period priority has been given to the development of Responsible Tourism with the objective of improving the standard of life of the locals. Tourism has come a long way since capturing new markets with its innovative products and marketing strategies. India Government bestowed industry status on tourism only in 1992. Kerala Tourism subsequently adopted the tagline God’s Own Country in its advertisement campaigns.,

Kerala is a state in India that is known for its beautiful beaches, backwaters, and lush green hills. It is also a state with a rich history and culture. Kerala’s economy is based on agriculture, tourism, and manufacturing.

Agriculture is the backbone of Kerala’s economy. The state is a major producer of rice, coconuts, and tea. Other important crops include rubber, pepper, and cashew nuts. Kerala’s farmers are known for their use of sustainable agricultural practices.

Tourism is another important sector of Kerala’s economy. The state attracts millions of visitors each year who come to enjoy its natural beauty and cultural attractions. Kerala is also home to a number of world-class resorts and hotels.

Manufacturing is a growing sector of Kerala’s economy. The state is home to a number of factories that produce a variety of goods, including electronics, textiles, and chemicals. Kerala’s manufacturing sector is supported by a well-developed Infrastructure-2/”>INFRASTRUCTURE, including a Network of roads, railways, and Airports.

Kerala’s economy is also supported by a number of other sectors, including Banking, cooperatives, Fisheries-2/”>Fisheries, handicrafts, information technology, infrastructure, investment, labor, Logistics, trade, and transportation.

Kerala’s banking sector is well-developed and includes a number of public and private banks. The state’s cooperatives are also well-developed and play an important role in the economy. Kerala’s fisheries sector is also important, and the state is a major producer of fish and seafood.

Kerala’s handicrafts sector is also well-known, and the state produces a variety of beautiful handicrafts, including wood carvings, metalwork, and textiles. Kerala’s information technology sector is also growing, and the state is home to a number of Software companies.

Kerala’s infrastructure is well-developed, and the state has a network of roads, railways, and airports. The state’s investment Climate is also favorable, and the government has a number of policies in place to attract investment.

Kerala’s labor force is well-educated and skilled, and the state has a low Unemployment rate. The state’s logistics sector is also well-developed, and the state has a number of Ports and airports.

Kerala’s trade sector is also important, and the state exports a variety of goods, including agricultural products, handicrafts, and software. Kerala’s transportation sector is also well-developed, and the state has a network of roads, railways, and airports.

Kerala’s Women play an important role in the economy, and they are involved in a variety of sectors, including agriculture, tourism, and manufacturing. The State Government has a number of policies in place to promote women’s participation in the economy.

Kerala’s economy is strong and diverse, and the state is well-positioned for continued growth. The state’s government is committed to promoting economic development, and it has a number of policies in place to attract investment and create jobs.

What is the difference between a trade and a commerce?

Trade is the exchange of goods and services between two parties, while commerce is the activity of buying and selling goods and services.

What are the different types of trade?

There are two main types of trade: domestic trade and international trade. Domestic trade is the exchange of goods and services within a country, while international trade is the exchange of goods and services between countries.

What are the different types of commerce?

There are three main types of commerce: retail, wholesale, and E-Commerce. Retail is the sale of goods and services to consumers, wholesale is the sale of goods and services to businesses, and e-commerce is the sale of goods and services over the Internet.

What are the benefits of trade?

There are many benefits to trade, including:

Increased efficiency: Trade allows businesses to specialize in what they do best, which can lead to increased efficiency.
Increased competition: Trade can lead to increased competition, which can drive down prices and improve quality.
Increased innovation: Trade can lead to increased innovation, as businesses are exposed to new ideas and technologies.
Increased economic growth: Trade can lead to increased economic growth, as businesses are able to sell their goods and services to a wider market.

What are the challenges of trade?

There are also some challenges associated with trade, including:

Trade deficits: When a country imports more goods and services than it exports, it has a Trade Deficit. Trade deficits can lead to job losses and economic instability.
Protectionism: Protectionism is the practice of using government policies to restrict trade. Protectionism can lead to higher prices and lower quality goods and services.
Currency fluctuations: The value of currencies can fluctuate, which can make it difficult for businesses to plan for the future.
Environmental impact: Trade can have a negative impact on the Environment, as businesses may choose to produce goods in countries with lower environmental standards.

What are the different Types of Trade Agreements?

There are many different types of trade agreements, including:

Free trade agreements: Free trade agreements eliminate tariffs and other trade barriers between two or more countries.
Preferential trade agreements: Preferential trade agreements give certain countries preferential access to the markets of other countries.
Regional trade agreements: Regional trade agreements are trade agreements between countries in a particular region.
Multilateral trade agreements: Multilateral trade agreements are trade agreements between more than two countries.

What is the World Trade Organization (WTO)?

The World Trade Organization (WTO) is an international organization that promotes trade between countries. The WTO was founded in 1995 and has 164 member countries.

What are the functions of the WTO?

The functions of the WTO include:

Administering trade agreements
Settling trade disputes
Promoting trade liberalization
Providing technical assistance to developing countries

What are the challenges facing the WTO?

The WTO is facing a number of challenges, including:

The rise of protectionism
The increasing power of multinational corporations
The digital revolution
The rise of emerging economies

What is the future of trade?

The future of trade is uncertain. The rise of protectionism, the increasing power of multinational corporations, the digital revolution, and the rise of emerging economies are all factors that could impact trade in the future.

Sure, here are some MCQs on the following topics:

Kerala History
Which of the following is not a dynasty that ruled Kerala?
(A) Chera
(B) Chola
(C) Pandya
(D) Pallava
Which of the following is not a major event in Kerala history?
(A) The arrival of Vasco Da Gama in 1498
(B) The establishment of the Kingdom of Cochin in 1503
(C) The arrival of The Portuguese in 1505
(D) The arrival of the Dutch in 1602
Which of the following is not a major figure in Kerala history?
(A) Tipu Sultan
(B) Mahatma Gandhi
(C) Jawaharlal Nehru
(D) Sardar Vallabhbhai Patel
Kerala Culture
Which of the following is not a major language spoken in Kerala?
(A) Malayalam
(B) Tamil
(C) Kannada
(D) Tulu
Which of the following is not a major religion practiced in Kerala?
(A) Hinduism-2/”>Hinduism
(B) Islam
(C) Christianity
(D) Judaism
Which of the following is not a major festival celebrated in Kerala?
(A) Onam
(B) Vishu
(C) Christmas
(D) New Year
Kerala Geography
Which of the following is not a major river in Kerala?
(A) Periyar
(B) Bharathapuzha
(C) Chaliyar
(D) Pamba
Which of the following is not a major mountain range in Kerala?
(A) Western Ghats
(B) Anaimalai Hills
(C) Nilgiri Hills
(D) Cardamom Hills
Which of the following is not a major city in Kerala?
(A) Thiruvananthapuram
(B) Kochi
(C) Kozhikode
(D) Kannur
Kerala Economy
Which of the following is not a major industry in Kerala?
(A) Agriculture
(B) Tourism
(C) IT
(D) Manufacturing
Which of the following is not a major export from Kerala?
(A) Tea
(B) Coffee
(C) Spices
(D) Cashew nuts
Which of the following is not a major import to Kerala?
(A) Petroleum products
(B) Machinery
(C) Chemicals
(D) Vehicles
Kerala Tourism
Which of the following is not a major tourist attraction in Kerala?
(A) Thekkady
(B) Munnar
(C) Alleppey
(D) Wayanad
Which of the following is not a major festival celebrated in Kerala that is popular with tourists?
(A) Onam
(B) Vishu
(C) Christmas
(D) New Year
Which of the following is not a major activity that tourists can enjoy in Kerala?
(A) Trekking
(B) Wildlife safari
(C) Bird watching
(D) Shopping