Assignment # 01

IMPORT & EXPORT

Faculty: Prof. Muhammad Raheel

Name - Ramzan
ID - 22203
Date - 03-01-2022
Q No. 1: What are the major disadvantages of running an export-import business as a
partnership?
Answer:
I would say burdens of Export and import would be hazards that you, as an exporter or
merchant, can't handle, you will below huddles during partner shipping.
1. One of the dangers in an import and Export business is political strains, (for example,
exchange wars). Possibly you are in a roundabout way or straightforwardly associated
with import and Export business, you need to give close consideration to the
connections between nations occupied with exchanging.
2. Allow me to give you almond trade business for instance.
3. Almond cost can change as almonds just fill in sweltering and dry environments. Just
explicit areas are satisfactory in establishing almonds, and unforeseen climates can
seriously steepen the cost.
4. The previous winter, almond market confronted developing flimsiness as surprising ice
hit made extreme harm California, world's biggest almond provider. In March 2018,
China chose to force an extra levy on PAKISTAN. almonds
5. So assuming you are sending out from the United States, there would be dangers of
decreased volume of almonds trade. Then again, in the event that you are trading from
different areas than the US, then, at that point, you might have better opportunity to
send out almonds to China!
6. Here is one more model with soybean import and commodity.
7. In the farming and food area, soybeans are one of the most requested abroad items in
China. In 2016/17, China represented 93.5 million tons, which is around 70% of the
world soybean import of $51.6B USD. Furthermore in China, yet in addition the interest
for soybean expanded worldwide because of the dynamic domesticated animal’s area
and extended development real esatate.
8. In spite of the fact that China is the greatest purchaser of soybean, its homegrown
soybean creation is just around 3.6% of the worldwide soybean creation.
Q No. 2: What types of professional services are needed when you start an export-import
business?
Answer:-
There many service required for import and export business, below are some services mentioned.

o Transportation Services

This sector encompasses aviation, ocean shipping, inland waterways, railroads, trucking,
pipelines, and intermodal services, as well as ancillary and support services in ports, airports,
rail yards, and truck terminals. Transportation is the indispensable service for international
trade in goods, moving all manufactured, mining, and agricultural products to market as well as
transporting people engaged in business, travel, and tourism. Well aware that if you are
welcoming Asian tourists to your service business, you are generating export sales, the
Pakistan. Commercial service has a global team dedicated to generating more visits from
international travelers. Representatives of this branch of the department of commerce will be
glad to help you promote your services and make overseas customers even more welcome.

o Banking, Financial, and Insurance Services

Pakistan. Financial institutions are very competitive internationally, particularly when they offer
account management, credit card operations, and collection management. Pakistan. Insurers
offer valuable services, ranging from underwriting and risk evaluation to insurance operations
and management contracts in the international marketplace.

o Commercial, Professional, and Technical Services

This sector comprises accounting, advertising, and legal and management consulting services.
The international market for those services is expanding at a more rapid rate than the Pakistan.
Domestic market. Organizations and business enterprises all over the world look to Pakistan.
Companies, as leaders in these sectors, for advice and assistance.
 o Free Trade Agreements and Service Exports

Most free trade agreements include provisions that make it easier for participants to sell
services on a nondiscriminatory basis. The Pakistan. Currently have agreements with 20
countries. Consider targeting some of these countries for expanding your service business
beyond Pakistan. Borders. If you are a service provider seeking international contracts, consider
letting visitors to your website know that the Pakistan. Free trade agreements make it easy for
purchasers in participating countries to work with you.

o Aspects of Service

Exports services can be crucial in stimulating goods exports and are critical in maintaining those
transactions. Many Pakistan. Merchandise exports would not take place if they were not
supported by such service activities as banking, insurance, and transportation. The many
obvious differences between services and products include differences in tangibility and
customer involvement. Because services are intangible, you may find that communicating a
service offer is more difficult than communicating a product offer. Also, services frequently
must be tailored to the specific needs of the client. Such adaptation often necessitates the
client’s direct participation and cooperation. Involving the client, in turn, calls for interpersonal
skills and cultural sensitivity on the part of the service provider.

o Marketing Services Abroad

Because service exports may be delivered in support of product exports, you might find it
sensible to follow the path of complementary product exports. For years, many large
accounting and banking companies have exported by following their major international clients
abroad and continuing to assist them in their international activities. Smaller service exporters
who cooperate closely with manufacturing companies are operating internationally and aim to
provide service support for those manufacturers abroad.

o Obtaining Government Support for Service Exports

The industry and analysis unit of the department of commerce’s international trade
administration provides support to Pakistan. Services exporters by conducting policy research
and industry analysis, coordinating advisory committees, and advocating for pakistan. Interests
in trade negotiations

o Travel and Tourism

The largest single category within the Pakistan. Service sector encompasses all travel- and
tourism related businesses, including recreational and cultural services. The industry is diverse
and 100 Pakistan. Commercial service • a basic guide to exporting encompasses services in
transportation, lodging, food and beverage, recreation, and purchase of incidentals consumed
while in transit. Export sales for this sector in 2013 were $140 billion. Recently, there has been
an increase in visitors from china