Export trade is necessary to sell domestic surplus goods, to make better utilization of resources, to earn foreign exchange, to increase national income, to generate employment and to increase Government revenue.

When goods are imported from one country with the purpose of re-exporting to another country, it is called 'Entrepot Trade'. Import duty is not levied on these goods.
The need for Entrepot Trade are:
(i) Entrepot trade helps the import of goods where adequate banking facility is not available.
(ii) When, the volume of trade is not enough to carry regular foreign trade.
(iii) When, it is difficult to establish direct link between the exporting country and the consuming country.

1. Trade between two or more nations is called international trade or foreign trade.
2. Trade between two countries is called bilateral trade.
3. Trade among many countries is called multilateral trade. So, foreign trade may be bilateral or multilateral.
Need For International Trade:
Foreign trade increases the income of the country, natural resources are better utilized and the economic growth rate increases. It promotes development in science and technology.

1. The essence of trade is to make goods and services available to those persons who need them and are able and willing to pay for them.
2. Trade is conducted in order to earn profit.
3. Trade acts as an intermediary in exchange of commodities between the producer and consumer.

1. Anandha maligai goods traders
2. Apollo pharmacy
3. Ulavar sandhai

Retail trade deals with distribution of goods in small quantities to the consumers.

Wholesale Trade:
"Purchase of goods in bulk from the manufacturers and selling them in smaller quantities to other intermediaries" is known as wholesale trade.

Export trade means the sale of domestic goods to foreign countries.
Examples:
(i) Export of Iron ore from India to Japan.
(ii) Selling of Tea from India to England.
(iii) Export of Jasmine flowers from Madurai to Singapore.

Example:
i. Indian diamond merchants in Surat import uncut diamonds from South Africa, they cut and polish the diamonds in their units in India and re-export them to the International Diamond Market in Amsterdam.
ii. India imports rubber from Thailand and export it to Japan.

Types of Foreign Trade:
i. Import Trade
ii. Export Trade