International trade is the backbone of our modern, commercial world, as producers in various nations try to profit from an expanded market, rather than be limited to selling within their own borders. There are many reasons that trade across national borders occurs, including lower production costs in one region versus another, specialized industries, lack or surplus of natural resources and consumer tastes.
The importance of international trade within the world economic system is caused by important factors and practicability of international exchange of goods and services. International trade has flourished over the years due to the many benefits it has offered to different countries across the globe. International trade is the exchange of services, goods, and capital among various countries and regions, without much hindrance. The international trade accounts for a good part of a country’s gross domestic product. It is also one of important sources of revenue for a developing country.
International trade injects global competitiveness and hence the domestic business units tend to become very efficient being exposed international competition. Due to the integration with the world economy the entrepreneurs can have easy access to the technological innovations. They can utilize the latest technologies to enhance their productivity. The developing countries have higher trade protectionism measures as compared to the developed countries. The countries that have adopted such measures are seen to reap the benefits of an open trade regime. The products that are labour intensive like clothing, footwear, textiles etc are exported by the developing countries to both developed and underdeveloped countries. Such exports earn heavy tax revenue in countries like Mexico, India, China and many more. International Trade has also brought in a reduction in the poverty level. India was a closed economy in the 1960s and 70s. There was not even 1% decline in the poverty level. The entire scenario changed with globalization and international trade.
According to classical economists international trade acts as an engine of growth. Exports stimulate growth by augmenting factor incomes and thereby raising demand which in turn stimulate technological change and productivity improvement in the economy
In today’s world, doing the trade beyond the boundaries of a country is an exciting phenomenon and to make our students grow global, the Department of Management of IMS Ghaziabad (University Courses campus) has organized a Guest Lecture on “International Trade” by inviting Mr. M.P Singh, who is Director Steel Masters International, Dubai and has a rich experience in the diversified fields of Management.
The event was formally inaugurated by Director Dr. Sapna Rakesh, Dean Dr. Pooja Rastogi, Chairperson BBA Dr. Geeti Sharma, Dean CRC Mr. Arnab Ghosh and other faculty members.
Mr. Singh has been a part of many prestigious institutions like Indian Institute of Foreign Trade, Foreign Exchange Dealers Association of India, Delhi School of Economics and Foreign Trade Development Centre, to name a few.
Mr. Singh has the rich experience of about 15 years in the International Banking Department of a Bank in India as a Senior Manager and is also a visiting faculty with Nationalized Banks of India on
- Foreign Trade matters
- Foreign Trade Development centers, New Delhi
- Delhi School of Business
- IIFT since 1982
- He has been an enthusiastic visiting faculty at SRCC, New Delhi & EDI, Ahmadabad
- He also undertook an International Assignment in Africa during 2013-15
Mr. Singh motivated the students to explore the globe and simplified, “Why we don’t need to have experience to enter into International Trade”
Mr. Singh explained students every aspect of international trade. He mentioned that international trade leads to economic growth provided the policy measures and economic infrastructure are accommodative enough to cope with the changes in social and financial scenario that result from it. In order to face the cross border competition challenges, a well functioning, national competition regime is insufficient and also there is problem with developing countries that they lack the resources or experience to tackle international competition challenges. Although there is provision of extra territorial jurisdiction in competition law but that also has a limited capability. Due to this some countries have entered in bilateral or regional treaties to solve these types of problems. But these treaties have limited impact. As a result the anti competitive practices across the border can be best dealt with multilateral framework.
During the session, Mr.singh also established the fact that Practical and Conceptual knowledge should go hand in hand. He also enthused students to add an extra ‘-er’ to their careers and to become Importer, Exporter and Trader for shaping their successful future.
In all it was a great learning experience for everybody.