Banking Awareness: Importance of Co-Operative Marketing and Foreign Trade for Bank Interviews

Co-Operative Marketing and Foreign Trade

1) Co-operative Marketing Mechanism:

NAFED (National Agricultural Co-operative Marketing Federation India Limted):

It was established on 2nd October, 1958. It is registered under the Multistate Co-operative Societies Act. NAFED was set-up with objective marketing of agricultural produce to benefit farmers. It organise, promote and develop marketing, processing and storage of agricultural, horticultural and forest produce.

TRIFED (Tribal Co-operative Marketing Development Federation of India Limited):

It come into existence on 6th August, 1987 and got registered under the multistate co-operatice societies Act, 1984, (How the Multistate Co-operative Societies Act, 2002). The main objectives of TRIFED is to serve the interest of its member in more than one state for the social and economic betterment of its member by conducting its affair in professional democratic and autonomous manner through self help and mutual co-operation for undertaking marketing development of the tribal products.

2) Meaning of Foreign Trade:

The Exchange of goods and services between the two countries is termed as foreign trade. The purpose of foreign trade lies in meeting the domestic demands for goods and services.

There are two components of foreign trade:

Exports: When goods and services are sold to the foreign country for the motive of earning more profit, it is called Exports.

Imports: When purchasing goods and services from a foreign country to meet the domestic needs in the country is known as imports.

Foreign Trade Policy:

It is set of guidelines and instructions established by the Director General of Foreign Trade (DGFT) in matter related to the import and export of goods in India. 

Foreign Trade Policy 2009-2014

In India, at central level the foreign trade policies are administered by the Ministry of Commerce and Industry. In post liberalisation era the condition of foreign trade and India's share in global trade is improving significantly. Commerce Minister Mr. Anand Sharma on 27/08/2009 released the Foreign Trade Policy for the period of 2009-2014. This policy aims at achieving an annual export growth  of 15 percent with an annual target of 200 billion dollars. In new trade policy government extended two schemes for exporters, the Export Promotion Capital Goods Scheme (EPCGS) and the Duty Entitlement Passbook Scheme (DEPS).