What is domestic trade
Domestic trade
The details about domestic trade are explained here.
Domestic trade, also known as internal trade or home trade, is the exchange of domestic goods within the boundaries of a country. This may be sub-divided into two categories, wholesale and retail. Wholesale trade is concerned with buying goods from manufacturers or dealers or producers in large quantities and selling them in smaller quantities to others who may be retailers or even consumers. Wholesale trade is undertaken by wholesale merchants or wholesale commission agents.
Retail trade is concerned with the sale of goods in small quantities to consumers. This type of trade is taken care of by retailers. In actual practice, however, manufacturers and wholesalers may also undertake retail distribution of goods to bypass the intermediary retailer, by which they earn higher profits.
The importance of domestic trade in a country is that it facilitates exchange of goods within the country. By doing this it also makes sure that factors of production reach to the right places so that the economy of the country can grow. By allowing all different types of goods and services to reach to all parts of the country it improves the standard of living of the residents of the country as well as the employment rate of the country. And it helps the growth of an industry by ensuring the availability of raw materials.
Traders from outside the country will have to come in contact with internal traders, because it is not easy to come directly into another country and get the required products.
This post describes about domestic trade. Comment below your thoughts about this post domestic trade.
Learn Exports Imports Free, Click here
Click here to know GST rate of your goods or service
Procedures under Re-exports
Re warehousing procedures under STP and EOU units.
Register with Export Promotion Council
Risks and solutions in export business
RISKS NOT COVERED BY MARINE INSURANCE
Rummaging
Travelers to India under import duty exemption, Frequently Asked Questions Part 2
How to export from India to Eritrea?
Documents required for Export from Eritrea
Customs procedures for Eritrea Export
Who has to obtain GST registration in India?
Does GST registration number of my firm change time to time in India?
Is GST registration required for a public sector undertaking?
Is amendment of GST registration allowed in India?
Cancellation of GST registration in India
Centralized GST registration of services permitted in India?
Retired from business ownership. Fresh GST registration in India?
GST Registration for Job workers in India
GST registration mechanism in India
Pre-registration of credit card necessary for GST payment in India
Is GST Registration required for a Job worker in India?
Meaning of term GST Returns under GST
Payment voucher under GST
Sanction of refund under GST