12.05.2020

Foreign economic relations of India briefly. Transport and external economic relations of India


International economic relations have a significant impact on reproduction processes, on the proportions economic growth. India plays a relatively modest role in the processes of the international division of labor. Its share in world trade long time decreased and only in the last decade stabilized at the level of 0.5-0.7% (in 1948 - 2.3%).

India belongs to countries with a semi-open economy: the share of exports and imports does not exceed 14% of GDP (1960 - 4.2 and 7.4%, respectively). This is lower than in many developing countries.

The country performs only in the 35 largest import markets, yielding to such states as Ireland, South Korea, Thailand. This means that the economy mainly works for the domestic market.

International trade. Average annual rates of growth foreign trade were low (about 3-4% per year in the 60-70s) and only in the 80s rose to 5.9% and to 11.3% of exports in the 90s. The growth of foreign trade in these years was 1.5 times higher than the growth of the gross product.

In the 1960s and 1970s, an obstacle to the expansion of exports of Indian goods was a drop in demand on the world market for a number of traditional supplies, competition from other countries exporting similar products (tea, tobacco, spices, cotton fabrics), and protectionist measures of Western countries. In addition, the economic development of the country for a long time relied mainly on internal growth factors. Only from the end of the 1980s did the Indian economy become more involved in the international division of labor. By this time, in many respects, the former internal opportunities for economic development, which were based on transient factors breaking the colonial structure of the economy, had been exhausted.

During that period, measures were taken to stimulate exports. Export-production zones, which did not differ in high export growth rates and the level of technology, were transformed into free trade zones, which were not subject to customs regulation. In the 1990s, their role increased due to the increased inflow of foreign capital into them.

The industrialization of the Indian economy was accompanied by significant changes in the structure of foreign trade. In the commodity structure of exports, the share of food supplies has sharply decreased - from 45.3% in 1960 to 18% in 1998, the share of manufacturing products has increased from 45 to 78%. Increased supplies to foreign market new goods for India - ferrous metals, chemical products, mechanical engineering. Export diversification has weakened the country's dependence on a few commodities. The share of colonial goods - tea, jute products, cotton fabrics, spices, tobacco - all together fell from 64% in 1950 to 20% at the end of the 90s.



Despite positive changes in exports, the share of mechanical engineering remains low (5.7% in 1998). At the same time, the share of machinery and equipment decreased, but the share of electronics increased from 1.5 to 2.1% in 1994-1998. The fastest growing export was software. Use of highly skilled but low paid work force(an Indian programmer receives 1/4 of the American salary), the organization of companies on offshore principles led to an increase in exports of these products, which are poorly connected with the domestic market.

Traditionally, handicrafts and jewelry occupy a large and growing place in exports. Their share in exports increased from 9% in 1980 to 18.5% in 1998. They took the leading position among all commodity groups of Indian exports. The state contributed to the expansion of the supply of handicraft products, including through the expansion of purchases of raw materials abroad. major article exports are deliveries various kinds clothes -11-13%.

Table 30.4

Share of Indian goods in world export, %

Source: Economic Survey 1999 - 2000. Government of India, p. S-93-96.

In world markets, India acts mainly as an underdeveloped country, although its specialization in the international division of labor has undergone some changes (Table 30.4). It is the main supplier of raw, lightly processed goods. The share of most of the new products does not exceed 0.2%, and only for dyes, organic chemistry products, it is 0.7% of world exports.

India's dependence on imports of modern goods is high. The functioning of its economy depends on the receipts of many intermediate and capital goods. The leading place in imports is occupied by means of production - 17-20%, oil products - 20-25%, chemical goods - 9-10%. Import deliveries ensure the formation of new and newest industries. Until the 80s 25-40% of the cost finished products row the most important industries industry was formed by imports. The development of a diversified complex of the manufacturing industry has allowed India to ensure the reproduction of the vast majority industrial production on a domestic basis and greatly reduce dependence on imports. In the 1990s, the share of imports of fertilizers, ferrous metals, artificial fibers, and vehicles decreased.

At present, a considerable share of imports of machinery and equipment is represented by assemblies, parts and spare parts. At the same time, the share of machinery and equipment in imports significantly exceeds their share in exports, which indicates the underdevelopment of the international specialization of the Indian machine-building complex, weak internationalization at the intra-industry level.

Trade balance India traditionally comes down with a negative balance.

changed geographical structure of foreign trade. In the first period after independence, the Indian government sought to change the country's link to the former metropolis. The role of the socialist countries of Eastern Europe and the developing countries has grown considerably. The diversification of trade relations was designed to optimize economic relations and create conditions for competition between trading partners.

In the following decades, at the country level, the greatest changes are related to the place and role of Britain, the USA and the USSR/RF. The share of Britain decreased to 6%, the share of the Russian Federation - to 2.1% of exports and 1.3% of imports.

Half of Indian exports Russian Federation are agricultural products, medicines and textiles. Most of the deliveries are carried out to pay off the debt on credits from the USSR.

In the 1990s, the share of the United States increased significantly, accounting for 22% of Indian exports and 9% of imports (Table 30.5). On the whole, the orientation of Indian trade ties to the developed countries of the West, and above all to the United States, has intensified, which means a reversal in the trend of previous decades.

Table 30.5

Geographical direction of Indian exports

Countries and regions
OECD 66,1 50,1 46,6 53,5 58,0
EU 36,2 18,4 21,6 27,5 26,0
Britannia 26,9 11,1 5,9 6,5 5,7
Germany 7,8 5,6
USA 16,0 13,5 11,1 14,7 21,8
OPEC 4,1 6,5 11,1 7,8 5,6
Other developing countries 14,8 19,8 19,2 16,8 24,6
USSR / RF 4,5 13,7 18,3 16,1 2,1

Source: Economic Survey 1999-2000. Government of India. S-91.

Positions in the international movement of capital. The position of India as an object of foreign capital investment has changed. There has been a significant transformation of the role and place of foreign capital in the country's economy. Until the 1980s, there was a policy of limiting direct investment. The state sought to direct the activities of foreign capital to ensure the interests of national development. For this purpose, the sectoral direction of foreign investment was regulated. The state, under certain conditions, allowed them to enter capital-intensive and technologically complex industries, where national entrepreneurship was hindered due to the lack of technology and financial resources. Foreign investment was practically not allowed in trade, credit sphere, plantations and other traditional industries.

The geographical direction of foreign capital inflows has changed. Already in the mid-1970s, the absolute predominance of British companies was gone, their share dropped from 72% to 35% of the total foreign net investment, while the US share rose from 6 to 27%, and the FRG to 9.3%.

In close connection with the reproductive process was the use economic aid and loan capital. They contributed to the process of transformation of the colonial and traditional structures of the economy. As one of the largest recipients of aid, India tried to avoid attempts to tie it to the markets of donor countries, to strengthen the pro-Western tendencies in the country's policy. She received the bulk of her assistance from international organizations, including the IBRD and the Association for International Development. Among the donor countries, the USSR (11.5%) and Japan (10.5% of the total aid) held the leading position. With the assistance of the USSR, about 70 industrial facilities. In the mid-80s, they produced 20% of electricity, 33% of steel, processed 30% of oil, 80% of equipment for the ferrous metallurgy, 60% for the electric power industry.

In the 1990s, the amount of aid declined, increased the role of loans. Most of them were provided by consortiums and international organizations. Japan and Germany were the largest donors among countries. The bulk of the loans went to the development of energy and telecommunications.

External funding was small in relation to GDP. Until the beginning of the 1980s, it was 2-2.2 times inferior in terms of the corresponding indicators to other Asian countries. In the 1980s, the attraction of external funds in relation to GDP increased significantly, and in the 1990s it decreased to 0.8%.

The use of foreign loan capital was accompanied an increase in external debt. Its value rose from 76 billion dollars in 1990 to 98 billion dollars in 1999. External debt is 26-27% of the country's GDP. Payments on external debt decreased, amounting to 18% of export earnings (1991 - 30%). By international standards this is a low figure.

India traditionally maintains short-term debt at a low level - at the end of the decade, 4-6% of the total external debt (1991 - 10%). The ratio of short-term debt to foreign exchange reserves was 14-17%. This helped India cope with the international financial turmoil of the second half of the 1990s.

In the 1990s, there was a transition to attracting entrepreneurial capital, which formally does not create a debt effect, the importance of economic assistance and commercial loans has decreased. The annual inflow of direct investment has increased from $133 million in 1984-1989. to 516 million in 1990-1995 and 2600 million dollars in 1996-1999. Among developing countries India has been ranked among the largest direct investment targets: its share is about 2% of the global inflow of FTI. The largest exporters of IPC to the Indian economy are companies from the USA, Britain, Israel, the Netherlands and Japan. The volume of American investments exceeds the total amount of direct investments of other mentioned countries.

India is not only an object of foreign capital investment, but also a donor. Most of the funds were provided in the form of assistance, which was sent in a significant amount to a small number of countries - Nepal, Bangladesh, Vietnam, Bhutan.

The export of private capital increased, reaching $100 million in some years ($70-80 million in the 1960s).

India's position in the export of entrepreneurial capital is strengthening. It accounts for up to 2% of the export of direct capital investment and 7% of the export of portfolio investment from developing countries.

In general, the position of India in the structure of international economic relations reflects the growing influence of external factors, increasing their importance in the development of the country, which reflects the general trend towards the internationalization of economic life.

Foreign trade is of considerable importance for the country's economy. However, India is still weakly involved in the international division of labor. Foreign trade turnover - 104 billion dollars, 2001 (export - 43 billion dollars; import - 61 billion dollars).

The country exports textiles, ready-made garments, jewelry and gems, agricultural and foodstuffs, machinery, as well as ore minerals, medicines and other goods. India accounts for 21% of world tea exports.

India exports iron ore mainly to Japan, but also to some European countries.

In the commodity structure of imports, the share of fuel resources, machinery, equipment, weapons, and lubricating oils is large.

The largest trading partners of India are the USA (19.3% of exports and 9.5% of imports) Germany, Japan, Great Britain. Despite the South Asian Association for Regional Cooperation (SAARC) established in 1985, the scale of foreign trade with the closest neighbors-members of this bloc (Pakistan, Bangladesh, etc.) is small. India's trade relations with the countries of Southeast Asia are expanding.

India is a member of such organizations as:

AFBR - African Development Bank;

AZBR - Asian Development Bank;

TKK - Commodity Credit Corporation;

WHO - World Health Organization;

WTO - World Trade Organization, etc.

Since the early 1990s, an extensive program of new economic reforms has been carried out in the country, the purpose of which is to create market economy V world economy. The government has liberalized the laws governing the flow of foreign investment into the country. The largest investors are the USA, Japan, Germany and other developed countries.

An important channel for the penetration of foreign capital into India is government loans, credits and subsidies provided by economically developed countries and the world's largest banks. India's external financial debt exceeds $100 billion (out of the group of developing countries, only Brazil and Mexico have a large external debt).

India's foreign economic relations with Russia have changed in recent years. Previously, the country was one of the main trading partners of the USSR (due to the sale of tea, coffee, pepper, spices, fabrics, medicines). In recent years, the trade turnover between the countries has noticeably decreased (from $3.7 billion in 1988 to $1.8 billion in 2001). a number of measures are currently being taken to develop new conditions for Russian-Indian trade and economic cooperation. India continues to be a promising and capacious market for Russia.

Conclusion

A country with an ancient culture, a history full of drama and heroism, rich traditions of the struggle for national liberation - India today looks confidently into the future.

In international affairs, India pursues an independent course. Having gone through all the hardships of almost two hundred years of domination by foreign colonialists, it stands on the side of those whose freedom and independence have been and are being trampled on. India to a large extent contributed to the national liberation movements in former colonies, strongly condemns racism and apartheid South Africa, advocates a just settlement in the Middle East.

Indian culture is traditionally characterized by high ideals of peacefulness and humanism. It was in India that the idea of ​​non-alignment was born. Non-alignment in the understanding of India is not self-isolation or "sitting between two chairs", but active, constructive participation in the reorganization of the world on fair and democratic principles.

India is the author of a number of major initiatives aimed at solving key international problems - eliminating the threat of war, ending the arms race, primarily nuclear, and establishing the principle of peaceful coexistence as an immutable law of interstate communication.

India seeks to develop good bilateral relations with all countries, primarily with its neighbors. "Peace", "friendship", "cooperation" - these words reflect the goals that Delhi sets in the international arena. That is why India is so close and understandable to me.

The policy of India, one of the states that has gone most far along the capitalist path of development liberated from colonial oppression, in foreign economic, as well as in domestic economic issues, is aimed at overcoming the economic backwardness of the country. It sets as its top priority the accelerated development of national productive forces. The Indian government takes an active part in solving this problem, using the levers of indirect regulation of the national economy and directly participating in the reproduction process through the mechanism of the public sector.

For better use internal resources and funds attracted from abroad, as well as the overall coordination of the activities of the public and private sectors of the national economy and overcoming dependence on imperialism, the state began to actively apply in its economic policy methods of programming and planning.

Foreign trade is of considerable importance for the country's economy. However, India is still weakly involved in the international market sharing. Foreign trade turnover 56.5 billion dollars, 1994 (export - 27.3; import - 29.2 billion dollars). The country exports fabrics, ready-made garments (29%), jewelry and precious stones (18%). agricultural and food products (16%). machines (7%), as well as ores, medicines and other goods. India accounts for 31% of world tea exports. In the commodity structure of imports, the share of fuel resources (17%), machinery and equipment (15%) is large.

Importance of foreign economic relations for economic development India is determined by the need to attract additional material and financial resources to the country, as well as to sell part of the products on the world market. It increases many times in the era scientific and technological revolution, because foreign economic relations are becoming one of the most important channels through which the import of scientific and technological achievements from industrialized countries is carried out.

By the beginning of the 1970s, the public sector of the economy had become an important factor in the life of the country, there was a certain restriction on the activities of foreign capital, and economic ties with the countries of Eastern Europe expanded and strengthened. These changes had a serious impact both on the internal economic situation of the country and on the nature of its relations with the outside world, in particular, a greater balance was achieved in the scale and intensity of economic ties with the capitalist countries and the countries of Eastern Europe and the USSR.

Accordingly, all elements of India's foreign economic relations underwent qualitative changes. First of all, this led to a reduction in the size and, most importantly, a deterioration in the conditions for attracting foreign private investment to the country. At the same time, India's relations with foreign private capital remain extremely close, which is achieved by granting incentives to foreign companies that undertake to import new technology into the country, develop its export or energy production.

The use of foreign economic relations by India is carried out, first of all, with the aim of eliminating economic dependence on imperialism and strengthening the economic independence of the country. It should be noted that the Indian bourgeoisie and, first of all, its monopoly circles, seek to subordinate foreign economic relations to the interests of maximizing their profits.

This direction in the development of India's foreign economic strategy is reflected in the course towards the accelerated development of trade with developing countries. The countries of the Afro-Asian region have become one of the main markets for the products of new branches of the Indian manufacturing industry and at the same time an important supplier of agricultural products and raw materials and, most importantly, minerals and oil for the needs of Indian industry. The development of this market is carried out in India by the joint efforts of the public and private sectors, and along with the exchange of goods, the export of public and private capital is of great importance.

The unevenness of capitalist development has led to a situation in which India, while continuing to lag behind the developed capitalist states, is at the same time significantly ahead of most developing countries. This also leaves an imprint on India's foreign economic policy, according to which the developed capitalist countries, the CIS countries and Russia remain India's main foreign trade partners.

In 1977, in order to strengthen the manufacturing base for exports, Indian firms were granted the right to import any goods necessary for the production of export products, in the amount of 25% of the value of their exports. Special incentives were granted to small and medium-sized exporters, in particular the allocation of import licenses for up to 50,000 rupees in hard currency. If an enterprise in the small industry sector exported more than 20% of its products, the size of these licenses was not limited.

The third category of government activities aimed at assisting private exporters includes the collection and processing of information on foreign markets, conducting advertising work, organization of exhibitions, etc. The role of the state in the development of India's exports is not limited to providing various incentives to private enterprises. The state also independently entered the world market, initially through a system of state foreign trade associations, the first of which was created in 1956. State Trading Corporation (G.T.K.).

The export activity of GTC is characterized by very high growth rates. Its dynamics is such that if in 1956 its exports amounted to about 90 million rupees, then 20 years later, in 1976, it reached 5590 million rupees, which was equal to 17% of the value of all national exports.

Many Indian state-owned companies managed to enter the world market and subsequently expand their exports thanks to orders from Afro-Asian countries, which are large consumers of Indian engineering, metalworking, metallurgy and chemistry products, i.e. products of precisely those industries where state-owned industrial companies mainly operate.

The strengthening of the state's position in export operations due to the absolute and relative growth of exports of state-owned foreign trade corporations and industrial enterprises had a positive effect on increasing the efficiency of India's export programs as a whole.

State regulation of imports includes currency regulation, licensing, tariff policy, the establishment of import quotas, direct state control over the import of certain goods, etc. Each of these areas of regulatory activity of the state is of great importance, especially in the face of difficulties with trade and balance of payments. In connection with the latter circumstance, state foreign trade regulation is aimed primarily at ensuring savings in foreign currency. The state mainly achieves this goal by granting import privileges to exporters. In this case, import regulation is closely intertwined with export regulation.

Other measures of state import regulation, in particular, the issuance of licenses for the import of equipment, raw materials, components and spare parts to create additional export capacities, are designed to promote the economical use of foreign currency while simultaneously stimulating exports.

An equally important goal of state import regulation is the protection of national industry. It is here that protectionism acquires an anti-imperialist content and serves national interests. The implementation of the protection of the national economy occurs through the establishment of: - high customs duties; - import quotas; - a direct ban on the import of goods identical to those produced domestically.

The rather strong positions of the state in imports are determined by the large scale of the activities of state foreign trade organizations and by granting them the exclusive right to import certain goods. Foreign trade organizations are the main, but not the only state organizations involved in the implementation of import operations. A significant volume of imports of machinery and equipment is carried out by direct consumers of these goods from among the state industrial enterprises.

More than 3/4 of the export of Indian capital is accounted for by the two dozen most powerful national private and state capitals. According to all the main features, they should be classified as capitalist monopolies. They dominate the sphere of production and circulation within the country, they are the largest diversified associations with numerous firms and branches, banks, insurance companies and transport agencies, thousands of workers are employed in their enterprises. Among the largest Indian monopolies are "BIRLA", "TATA", "THAPAR", "SINGHANIA"; some of them are among the richest corporations in the world.

The export of capital from India is specific in its geography: it is focused mainly on the markets of developing countries in Asia, Africa and Oceania, which account for 95.7% of all foreign direct investment. Only a very small proportion are the industrialized countries of Europe, the USA, Canada and Australia. This distribution of exported capital is understandable, it rushes to where competition is weaker and its economic potential and industrial and technical specialization have a greater chance of success. Indian capital is being introduced mainly into the metallurgical, textile, food, chemical, and paper industries, into the electric power industry, mechanical engineering, and civil engineering. He prefers to expand abroad those productions that have already been established "at home", having formed a fairly high technical, technological and managerial experience. Moreover, it is precisely in these areas that capital especially feels the limitations of the home market.

Case studies from foreign enterprises of Indian firms show that they no longer fit into the model of small-scale, low-productivity production. It is no coincidence that Indian investors in general have earned a reputation as technology leaders among newcomers. international business, leaders who are being introduced abroad in industries that produce means of production that require extremely complex technology, large-scale production, where it is always necessary to keep up with the times.

An important feature of the international activities of Indian monopolies is the predominant orientation of their foreign enterprises to the domestic markets of the host countries. For example, some Indian companies that have embarked on a course of active penetration into the world market and have achieved the necessary competitiveness are moving their production abroad, despite higher costs in the host countries, as this expands the boundaries of a narrow national market.

The Role of Foreign Private Capital in the Foreign Economic Relations of Modern India Questions of relations with foreign private capital are constantly at the center of attention of the Indian state in solving the main problems of national economic development.

In relation to foreign private capital, the defining direction in Indian policy, which reflects the position of all sections of the Indian population, with the exception of the monopoly elite of the bourgeoisie, is the course towards establishing effective control over the activities of foreign capital in order to reduce its influence in the Indian economy. The legislation limits the activities of foreign private investors to certain sectors of the economy, and limits the amount of profits that go abroad. However, this does not mean that the positions of foreign capital have been fundamentally undermined, and that its influence on India's economic development is insignificant. Suffice it to say that the volume of foreign private investment, despite all the restrictions, continues to increase, although the growth rates of foreign investment in certain periods are not the same. The reason lies in the fact that foreign companies find in India very favorable conditions, providing a fairly high rate of return on functioning capital. Thus, according to the American magazine "Business international" (1985), the average profit of American companies from Indian investments in the manufacturing industry increased from 15.8% (1982) to 20.3% (1984).

In an effort to attract foreign equipment and technology, the experience and financial resources of foreign firms, the state goes to provide firms with certain, sometimes significant benefits. The pressure of foreign capital causes a different reaction in the country, there are intra-national disputes and conflicts. The Indian government is also trying to attract capital from foreign companies on more favorable terms for the state, through the conclusion of agreements on financial and technical cooperation.

Growth rates at enterprises using foreign experience and technology through agreements systems are much higher than the national average. While noting certain benefits that India derives from such agreements, it should be noted that this form of relations with foreign capital is in some cases used by firms to obtain essentially unilateral benefits that have nothing to do with Indian national interests. Moreover, foreign companies introduce various kinds of prohibitive and restrictive articles into cooperation agreements, primarily related to the export of products of new enterprises. In a number of cases, despite the existing restrictions on areas of activity, foreign capital manages to achieve the conclusion of cooperation agreements in sectors that are not of paramount importance for the national economy, but bring good incomes (cosmetics, some branches of the food and light industry).

Geography of India's Foreign Economic Relations

India and the industrialized capitalist countries India's major trade and economic partners are the developed capitalist countries, which account for about half of its foreign trade turnover. India's main partners are the US, Japan and the EEC countries.

Despite a significant diversification of foreign economic relations, India still sells a significant part of its traditional, and in recent years, new products in the markets of these countries. Incomes from the export of goods and services to the industrialized capitalist countries form the basis of India's foreign exchange earnings.

The developed capitalist countries are important suppliers to the Indian market of many machinery and equipment, foodstuffs and manufactured goods. The significance of this group of countries in India's foreign economic relations is also determined by the fact that they, as well as the international financial organizations IMF and IBRD, which are under their control, are its largest creditors. It is not superfluous to note that India has one of the highest levels of external debt among developing countries (829 billion rupees, 1989), which is a heavy burden on its economy.

At the same time, it should be emphasized that the strengthening of the national industrial base as a result of the industrialization of agricultural production, as well as the reorientation of India in the field of geography of foreign economic relations with an emphasis on developing countries and countries of Eastern Europe, allowed India to reduce dependence on developed capitalist states, whose share in India's imports fell. from 75% in the early 70s to 55% in 1989. For the same reasons, reduced specific gravity capitalist countries and in exports.

In an effort to overcome the negative trends in trade with the United States, Indian public and private foreign trade organizations carefully study the US market conditions and carry out fairly significant advertising of traditional and new Indian exports. At the same time, as the Indian magazine "Commerce" notes, trade between India and the United States "...continues to develop along the classical pattern of relations between a developed and a developing country."

At first glance, the relationship between India and the EEC countries in the field trade and economic relations are developing relatively successfully. This is evidenced by: - ​​the rapid growth of trade with the countries of the seven; - the conclusion of an agreement on trade cooperation - the first agreement of this kind between the countries of the "common market" and a country not associated with it; - temporary preservation by England after its accession to the EEC of the former customs preferences in relation to India; - India's conclusion of an agreement with the EEC on coffee and jute.

Along with the development of exports to the developed capitalist countries, India is trying to ease the problem of trade imbalance with them by financing its imports from these countries by obtaining loans and benefits from them.

There is a liberalization of the terms of loans provided to India by a number of Western European states: Germany, England, Holland days. A distinctive feature of the 1980s is that a significant part of the soft loans granted to India by the developed capitalist countries comes to her from the Western European states. The latter use such loans as a very effective means of competition in the Indian market with US monopolies and managed to achieve a significant increase in their sales to India. For the period 1982-1989. imports to India of goods from EEC countries increased from 2.2 billion rupees, and their share in Indian imports increased from 13.3% to 29.2%. Trade with Japan also increased.

India and the developing countries, the Liberated States of Asia, Africa and Latin America occupy a prominent place in India's foreign economic relations. Moreover, for a number of goods, these states are the main suppliers to the Indian market (oil, cotton, copper), or represent the most important markets for Indian products ("engineering" goods, textiles).

Of course, the importance of individual countries, sub-regions and regions in Indian foreign trade is far from being the same. So Latin American countries occupy a very modest place, both in exports and in imports of the country. India's trade with developing African countries was also relatively small until the late 1960s. In subsequent years, India's trade with African states began to show a positive trend, and between 1966 and 1976, its trade with them doubled.

India's interest in obtaining oil underlies its actions to develop relations with the oil-producing African country - Algeria. In 1976, an agreement was concluded between India and Algeria under which, in exchange for Algerian oil and liquefied gas India supplies jute, coffee, tobacco, spices and other goods.

It should be noted here that the need for oil forces Ying day to establish close relations with oil exporting countries, and first of all with Saudi Arabia, which accounts for 6.7% of Indian imports (1989). The importance of the developing and newly industrialized countries of South and Southeast Asia in India's foreign economic relations is determined by their geographical proximity to India, as well as the history of the region.

According to their role in Indian foreign economic relations, these countries are divided into two groups. The first includes: Burma, Bhutan, Bangladesh, Nepal, Pakistan, Sri Lanka, which act mainly as a market for Indian products. Malaysia, Thailand, Singapore, Indonesia, Hong Kong and the Philippines are the second group of suppliers of technical and other products to the Ying days market.

Soviet-Indian Trade and Economic Relations The CIS countries, and in particular Russia, have remained one of India's main trading partners. The USSR accounted for 12.9% of Indian exports and 4.5% of imports in 1989. The CIS ranks second in India's foreign trade turnover. It is quite remarkable that in the period from 1976 to 1986 the volume of Soviet-Indian trade increased by 4.5 times. This indicator of foreign trade growth rates exceeded similar indicators of both the USSR and India. But now, due to the economic crisis in the CIS countries, it has become the third largest foreign trade partner of India, losing second place to Japan.

The CIS countries provide India with huge economic assistance.

The value of this support for the national Indian economy lies in the fact that they help develop the fundamental sectors of the economy: energy, complex engineering, the chemical industry, and oil refining. Over the years of cooperation, about 75 industrial facilities have been built in India and about 50 are currently under construction. In 1989, these enterprises accounted for 44% of all steel produced in the country, 38% of aluminum, 21% of oil production and 45% of oil refining, 77% of metallurgical, 47% of energy and 43% of mining equipment. Assistance from the CIS helps India to eliminate economic dependence on Western countries.

Despite the difficulties of perestroika, Russian-Indian relations continue to develop, and on a long-term basis, which gives them a certain stability. In recent years, the leaders of the two states have made visits during which important agreements were reached on the development of economic cooperation. Agreements were signed defining the prospects for trade and economic relations between the two states for the period up to 2000, an agreement on scientific and technical cooperation, long-term program in the field of industrial cooperation.

Cooperation between the two countries, in which more than 1/5 of humanity lives, is a significant factor in international economic life and the prospects for its development are favorable. The CIS and India demonstrate the development of multilateral ties between states with still different socio-economic systems.

India and Eastern Europe Important role In solving the problems of India's economic development, its ties with the countries of Eastern Europe play.

India's largest trading partner of these countries is Poland. The main Polish exports to India are mining equipment, ships and marine equipment, paints, etc.

Polish imports from India consist of traditional agricultural products (tea, coffee) and products of new Indian industries (electronic equipment, chemicals, steel pipes etc. e) CSFR is the largest partner of India in the field of economic cooperation among the Eastern European states. About 60 industrial enterprises have been built in India with the help of the Czechoslovak Socialist Republic, including a plant for heavy electrical equipment in Khairabad, a casting and forging plant in Rania, and machine-tool enterprises.

India, one of the oldest countries in the world, was under the rule of the English colonialists for almost 200 years. The policy of India, one of the most far-reaching states along the capitalist path of development, liberated from colonial oppression, in foreign economic as well as in domestic economic issues, is aimed at overcoming the economic backwardness of the country. The importance of foreign economic relations for the economic development of India is determined by the need to attract in ...


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Foreign relations play a key role in the economic life of Germany. From the very beginning, she advocated close intersectoral ties in the world economy and the principle of the international division of labor. In accordance with this, Germany's foreign trade policy is being built.
18216. Foreign economic initiatives of the Republic of Kazakhstan 133.28KB
The main stages of the features and trends in the formation and development of the market economy of Independent Kazakhstan. New concept of regional development in Independent Kazakhstan: theory and practice. Strategic directions and mechanisms of sustainable and balanced development of the economy of Kazakhstan in the post-crisis period. Development Policy human capital as the main factor in the formation of the innovative economy of Kazakhstan.
5348. Vedism in ancient India 34.44KB
The study of the first written memo of the ancient Indian civilization solves the problem of studying a new socio-economic structure, breaks the features of the transformation of social archetypes and folk memory.
18650. Landscape art in India 3.18MB
Course work By discipline Fundamentals of gardening art Topic: Gardening art of India The work was done by Student gr. Contents I Introduction II Garden and park art of India III Taj Mahal IV Rajput garden V Vegetation of India VI Flowers of India VII The most famous landscape complexes of India VIII Conclusion IX List of used literature I Introduction My garden - my life - perhaps this is an ancient Indian .. .
13589. Modernization processes in India and China 17.81KB
The novelty of this work is determined by the fact that a comparison of the modernization processes of two neighboring countries with a practically similar culture can show the features historical development many modern countries of the East and explain the reasons for their ups and downs. Features of modernization in India In the most general form, it can be noted that in terms of rigidity social structure and its resistance to any innovation, India was not a unique phenomenon compared to other Eastern civilizations. Vasiliev traditions and institutions in...
21606. Varna social system of ancient India 22.23KB
The scientific study of the history and culture of India began in the middle of the 18th century. It was then that Sanskrit attracted great interest, the study of which was actively taken up by English and German scholars who translated some of the most famous works of ancient Indian literature into European languages. Henry Thomas Colebrook, William Jones, August Wilhelm Schlegel and others are considered to be the pioneers of Indology; G.S. Lebedev, who compiled a description of the life and customs of the Indians and the grammar of Hindustani.

Now India is among the top ten countries in the world for a number of indicators. The average GDP growth in the eighties was 5.4%, in the nineties - 6.4%. In the future, a slight decrease in growth rates is expected, but not below 6%.

The annual inflation rate currently does not exceed 4%. Inflation was mainly caused by rising energy prices. There is an increase in exports, especially in the region information technologies. In general, India's economy is growing faster than Brazil or the Philippines.

Previously, it was mainly an agricultural country. Now the agricultural sector accounts for about 20% of the gross national product, while providing employment for more than half of the population. After independence, food was scarce in India, it depended on foreign aid.

Now food industry is growing. IN agriculture highly productive crops, fertilizers, pesticides are used, the share of irrigated lands is increasing. As a result, large stocks of grain have been created. Main food crops: rice, wheat, corn. Most of the cultivated area is occupied by them.

The main industrial crops in India are cotton, jute, tea, sugar cane, tobacco, oilseeds (rapeseed, peanuts). Rubber plants, coconut palms, bananas, pineapples, mangoes, citrus fruits, spices and spices are also grown. Animal husbandry is much less developed. Cattle are used mainly as draft power.

The main export income comes from tea and coffee. supplies about 30% of all spices to the world market, their export is about 120,000 tons per year. Producers of vegetables and foodstuffs are exempted from excises. A significant part of the state food stocks is unfit for consumption.

The poorest population also cannot take advantage of the benefits provided due to poor-quality storage of grain and rice in state storage facilities. The importance of foreign economic relations for the economic development of India is determined by the need to attract additional material and financial resources to the country, as well as to sell part of the products on the world market.

A reflection of this direction in the development of India's foreign economic strategy is the course towards the rapid establishment of trade with developing countries. The countries of the Afro-Asian region have become one of the main markets for the products of new branches of the Indian manufacturing industry and at the same time an important supplier of agricultural products and raw materials and, most importantly, minerals and oil for the needs of Indian industry.

land property

In an agriculture-based economy, land ownership is key to survival. In most parts of the country, most of the land is owned by the politically dominant caste. However, different regions still have different traditions related to land use and related systems of land taxation.

The regulation of land ownership in India has not yet received a comprehensive development. Communities, temples and private individuals are only the owners of state land. The special legal status of landed property is also evidenced by the articles of laws that require tsarist officials (and not the courts) to resolve disputes between owners about the boundaries of their land plots.

There are still countless landless wage-earners, tenant farmers and landlords who rent out their vast lands, and wealthy peasants who work on their own estates.

Commercial activities, main industries

India has always had many merchants, transport agents, importers and exporters since the founding of the Indus civilization four thousand years ago. Market places have existed since minted coins came into circulation among city dwellers around 2500 BC.

In our time, there has been an expansion of the investment market. Combined with continued inflation, a backdrop to extensive import and export trade has formed. The main industries are still: tourism, clothing, tea, coffee, cotton and raw materials.

In the past few years, there has been a surge in the importance of computer software. Russia, and are among the largest importers of Indian goods. The modern infrastructure was created by the British government in the nineteenth and early twentieth centuries. The country still relies on an extensive network of railroads, some of which are electrified. Railways are a state monopoly. The main branches of Indian industry are: automotive, chemical, cement, food processing, mining, oil.

Sufficiently well developed in the country are also such industries as consumer electronics, mechanical engineering, pharmaceutical, metalworking and textile. In India, due to strong economic growth, the need for energy resources has increased significantly. Currently, the country is in sixth place in the world in terms of oil consumption and third in terms of oil consumption. hard coal.

international trade. The main trading partners are Russia, the United States, the United Kingdom and . Political strife has reduced trade with neighboring South Asian countries to a minimum, although there is now significant trade with Nepal, Sri Lanka, and Bhutan.

Division of labor in India

The division of labor is often based on gender. Age also affects the kind of work a person will be able to do, because very old or very young people are unable to perform the most difficult tasks. These jobs are being done by millions of adult men and women who have nothing more to offer their country than their muscles.

In addition to these basic divisions, it is a unique example of how the ancient and most basic principle of the organization of society took shape. Each of the many hundreds of castes traditionally had its own specialty and usually there was always a monopolist in the caste.


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