Question

You live near Mumbai city. In your farm you have produced 1000 quintals of rice. There is a good demand for it in the overseas market than in the local market. A merchant from South Africa is ready to purchase this rice at a good price but he wants the import at Cape Town port within four months. Tell what you will do, as a good trader.

Answer 1

As a good trader, I would sell the 1000 quintals of rice to the merchant in South Africa because the overseas market offers a better price. I would transport the rice from my farm to Mumbai Port, pack and store it properly, and complete the necessary export formalities. Then I would send the rice by cargo ship through the Arabian Sea and Indian Ocean to Cape Town Port. I would plan the shipment well in advance so that the rice reaches Cape Town within four months and remains safe and undamaged during transportation.