Question

Which of the following is not an example of internal trade?

• A. Ramesh selling a pair of shoes to his neighbour.
• B. A resident of Jalandhar purchasing his clothes from Chennai.
• C. Handicrafts of Jaipur being sold in Jaisalmer.
• D. Tea of Assam being purchased by the government of England.

Answer 1

The correct option is D Tea of Assam being purchased by the government of England.

Internal trade is the trade that happens within or between states of a country, and domestic currency is used as a medium of payment. Internal trade occurs through roadways, railways, waterways and airways. Cochin, Mumbai, Haldia and Chennai are some of the cities which have major ports in India that are hubs of trade.
Option (d) is not an example of internal trade because the trade is happening between two different countries.