Trade between India and maghreb countries in the era of liberalization

Abstract

Given the multiplicity of socio-economic permutation and combination, every country endeavours to protect and nurture its own interest first. International trade is becoming complex and highly competitive activity which has played a pivotal role in accelerating the pace of development. In the process of serving their own interest, the countries often create hindrances and try to lessen imports while provide subsidies and other benefits to their exporters for promoting them to export more. The countries worldover are adopting various strategies to develop their industries and services in such a way that they become self-sufficient and still generate some exportable surpluses. In the process many countries have obstructed the inflow of goods and services from abroad, while many countries are gradually opening up their markets and are trying to compete and beat them in the market. These efforts have generated a relatively a newer concept of economic regionalism. A few such examples are EEC, African Common Market, OPEC, and Arab Maghreb Union and perhaps the newly formed Commonwealth of Independent States (CIS) etc. These regional groups were formed by different countries with different objectives. For instances, OPEC and Commonwealth of Independent States were primarily formed to protect their market and industry. On the other hand regional groups are also formed to cooperate and share their resources, so as to make optimum use of it. The subject has occupied a center stage in the wake of recent worldwide economic development. Successful conclusion of prolonged GATT multilateral trade negotiations and the thrust on liberalization in the developing countries are the unprecedented developments. In recent years, Globalization, economic liberalization and global integration have become common in the developing countries.