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Answer: Transportation links producers and consumers and is the backbone of trade.

  • It carries raw materials to industries and finished goods to markets, both within a country and between countries.
  • It widens the market: goods produced in one region can be sold in distant regions, which leads to regional specialisation.
  • Cheap water transport (ships, canals like Suez and Panama) makes international trade in bulky goods possible.
  • Fast air transport supports trade in perishable and high-value goods such as flowers, medicines and electronics.
  • Good roads and railways help in quick movement of agricultural produce, reducing wastage and keeping prices stable.
  • Containerisation and multimodal transport reduce handling cost and time, increasing the volume of trade.

Thus trade grows wherever transport is efficient and cheap.

Doubtly AI · 29 Oct 2026 AI-verified · Nov 2026 Report
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