The Import and Export Functions of trading corporation
The trading corporation is a Govt. organization serving an important role in case of foreign trade of a country. This type of organization is present in many countries of the world to support and improve foreign trade of that country.
Since, the change of the Economic system of developing countries like; Bangladesh, Afghanistan, Laos etc., most of the imports and exports have been occurring in the private sector. This decreased the responsibility of TC to a great extent. But still TC is playing a huge role in case of foreign trade of developing countries. Each year the profit earned by this organization is saved in the Govt. fund. This is helping the country’s Economy a lot. The import and export functions of TC are described briefly as follows:
- Import Functions of trading corporation
The main import function of TC is importing various types of consumer goods, industrial raw materials, machineries, baby foods, life saving medicines etc. for the benefit of the country. Beside these, TC imports products in exchange of products under the STA (Special Treading Arrangement) and imports products through export earnings under CTA (Counter Trading Arrangement). The TC imports products like dairies, cement, sugar, coconut oil, health drinks (horlicks, ovaltine), Medicines, coal, soda ash, glass sheet, bi cycle, tire tube, aluminum or arms etc. To distribute these, TCB has engaged dealers and co-operatives.
- Export Functions of trading corporation
The TC exports a huge amount of traditional and non-traditional products and increases the country’s export earnings. In developing countries, like Bangladesh, Uganda, and Laos, after the liberation war, the demand for products in the western countries was more and the production was low. So, at that time the mood of export was low. The amount of export started to increase from end of the war. Later on, the export of TC again decreased from the private sectors. Trading corporation if developing countries like Bangladesh, now exports product under STA and CTA. Some important products that TC exports are jute, jute products, tea, readymade garments, wheat, bone powder, leather and leather goods.