NCERT Solutions for Class 12 Geography Chapter 8 International Trade

1. Choose the right answer from the four alternatives given below.

(a) Most of the world’s great ports are classified as:

• (a) Naval Ports
• (b) Oil Ports
• (c) Comprehensive Ports
• (d) Industrial Ports

Answer: (c) Comprehensive Ports.

(b) Which one of the following continents has the maximum flow of global trade?

• (a) Asia
• (b) North America
• (c) Europe
• (d) Africa

Answer: (c) Europe.

2. Answer the following questions in about 30 words.

(a) What is the basic function of the World Trade Organisation?

Answer: The basic function of the World Trade Organisation (WTO) is to set rules for the global trading system, promote free and fair trade among nations, and resolve disputes between its member countries. It also covers trade in services and intellectual property rights.

(b) Why is it detrimental for a nation to have negative balance of payments?

Answer: A negative balance of payments means a country is spending more on imports than it earns from exports. This leads to depletion of financial reserves, increases international debt, and can create inflationary pressures, harming the country’s overall economy.

(c) What benefits do nations get by forming trading blocs?

Answer: Nations forming trading blocs benefit from removal of trade tariffs and import duties among member countries, leading to increased intra-regional trade, larger markets, economic cooperation, and stronger bargaining positions in global trade.

3. Answer the following questions in not more than 150 words.

(a) How are ports helpful for trade? Give a classification of ports on the basis of their location.

Answer: Ports serve as essential gateways for international trade, allowing cargoes and travelers to move between countries. They provide facilities for docking, loading, unloading, and storage of goods. The importance of ports is reflected in the volume of cargo and ship traffic, which also signals the economic development of their hinterlands.

On the basis of location, ports are classified as:

• Inland Ports: Located away from the sea and linked through rivers or canals; accessible to flat-bottom ships or barges (e.g., Manchester, Rhine ports, Kolkata).
• Out Ports: Deep-water ports situated away from the actual port area to serve larger ships that cannot approach the main port (e.g., Athens and its out port Piraeus).

(b) How do nations gain from International Trade?

Answer: Nations gain from international trade by exchanging goods and services that they can produce efficiently for those they cannot. This is based on specialization, comparative advantage, complementarity, and transferability. Trade leads to higher production, a better standard of living, diffusion of knowledge and culture, and access to a wider variety of goods and services. It also contributes to economic organization and development, increases employment opportunities, and can help equalize prices and wages globally.

Why NCERT Solutions for Class 12 Geography Chapter 8 International Trade are Essential

Mastering International Trade opens doors to understanding how economies connect globally. With NCERT solutions, students can clarify tough concepts and prepare confidently for the 2025-26 exams.

The chapter gives insight into trade systems, regional blocs, and world organizations, building a strong foundation in economic geography. Regular revision ensures conceptual clarity and boosts retention for scoring higher marks.

Practice with chapter-wise solutions sharpens your exam strategy. Focus on key terms like balance of trade, trading blocs, and port types for quick revision before your Geography board exams.