1. Foreign Trade Policy

2. FOREIGN TRADE POLICY AND BALANCE OF
PAYMENTS
Advanced Countries:

restrict their imports and provide a sheltered market for their own industries

3. promote their exports so that their expanding industries could secure foreign markets. Discriminating Protection Import restriction since 1923 to protect domestic industries against foreign competition
4. Features
Restricted imports using import licensing, import quotas, import duties etc.
Banning or keeping to the minimum the import of non-essential consumer goods
Comprehensive control of various items of imports
Liberal import of machinery, equipment, and other developmental goods to support heavy industry-based economic growth
Afavourable climate for the policy of import substitution.
Setting up of trading institutions and through other fiscal measures, subsidies etc. the promotion of exports
5. PHASES OF INDIAS TRADE POLICY
Five distinct phases in Indias trade policy can be noted as follows:

The first phase: 194748 to 195152

6. BOP with dollar adverse boost exports in above dollar area 7. The second phase: 195253 to 195657 8. Import licenses liberalized 9. Reducing export duties 10. Abolishing export quotas 11. The third phase: 195758 to June 1966 12. Export promotion drive launched 13. Import substitution industries encouraged 14. The fourth phase started after devaluation of the rupee in June 1966 15. Liberalized imports and expand exports 16. Last phase after 197576 17. Import liberalization to encourage export promotion