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FOREIGN TRADE OF THE U.K.

In the 19th century Britain dominated in international trade. Early in the 20th century its position changed. The volume of world’s
exports increased but the percentage of British exports in world trade declined. But still foreign trade is vital to Britain’s livelihood. With a large population, small land area, and few natural recources, the country must depend on foreign trade to supply the raw material for English factories and to provide a market for the sale of the thousands of types of manufactured goods produced by English industries.

The United Kingdom’s principal exports are vehicles, machinery, manufactured goods and textiles. Her main imports are foodstaffs and most of the raw materials for industry. Britain imports half the food its needs.

Britain has got very sound economic ties with various countries of the world, especially the Commonwealth countries. The Commonwealth of Nations has grown out of the British Empire which came to an end with the Second world war. The Commonwealth countries are Canada, Australia, New Zealand and many other small countries and territories.

The United Kingdom has been a member of the European Free Trade Association since 1959, and a member of the European Economic Community since 1973.