International Trade is Growing at Fast Pace IELTS Reading Questions Answers

G

In many countries deregulation has helped to drive the process along. But, behind the scenes, a series of technological innovations known broadly as containerisation and intermodal transportation has led to swift productivity improvements in cargo-handling. Forty years ago, the process of exporting or importing involved a great many stages of handling, which risked portions of the shipment being damaged or stolen along the way. The invention of the container crane made it possible to load and unload containers without capsizing the ship and the adoption of standard container sizes allowed almost any box to be transported on any ship. By 1967, dual-purpose ships, carrying loose cargo in the hold* and containers on the deck, were giving way to all-container vessels that moved thousands of boxes at a time.

H

The shipping container transformed ocean shipping into a highly efficient, intensely competitive business. But getting the cargo to and from the dock was a different story. National governments, by and large, kept a much firmer hand on truck and railroad tariffs than on charges for ocean freight. This started changing, however, in the mid-1970s, when America began to deregulate its transportation industry. First airlines, then road hauliers and railways, were freed from restrictions on what they could carry, where they could haul it and what price they could charge. Big productivity gains resulted. Between 1985 and 1996, for example, America's freight railways dramatically reduced their employment, trackage, and their fleets of locomotives - while increasing the amount of cargo they hauled. Europe's railways have also shown marked, albeit smaller, productivity improvements.

I

In America the period of huge productivity gains in transportation may be almost over, but in most countries the process still has far to go. State ownership of railways and airlines, regulation of freight rates and toleration of anti-competitive practices, such as cargo-handling monopolies, all keep the cost of shipping unnecessarily high and deter international trade. Bringing these barriers down would help the world’s economies grow even closer.

Questions 1-4

Reading Passage has Nine Paragraphs, A-I.

Which paragraph contains the following information?

Write the correct letter, A-I, in boxes 1-4 on your answer sheet.

Guidelines/ Tip to Answer these kinds of questions: 

These types of questions require the candidate to select the appropriate answer from the respective drop-down boxes beside them. Candidates need to skim the passage in order to find the associated keywords within the paragraph. Only then can they find the correct answer by scanning the exact words. 

A suggestion for improving trade in the future.
Answer: I   

Explanation: 

The answer to the above question can be found in paragraph I, in the 3rd and 4th lines. The previous lines (1-3) explain the various challenges in modern-day international trading. However, the suggestion for improvement is mentioned in the last line, stating that barriers need to be brought down to help economies across the world to grow closer.

The effects of the introduction of electronic delivery
Answer: F   

Explanation:

Paragraph F explains the impact of electronic delivery elaborately. International trade is growing at a startling pace because of the advent of various computer software and electronic transactions. This, in turn, has made logistic problems, like freight rates and cargo handling, meaningless. This is evident in the 2nd and 3rd lines of paragraph F, in the line that mentions that a computer's software can be exported even if it’s not loaded onto a ship. This is done by transmitting it using telephone lines.

 The similar cost involved in transporting a product from abroad or a local supplier
Answer: E    

Explanation:

Paragraph E mentions the substantial transportation costs that can hinder progress when International trade is growing at a startling pace. The issue is clearly stated in lines 3-5, which talk about the freight bills compared to buying them domestically.

The weakening relationship between the value of goods and the cost of their delivery
Answer: D    

Explanation:

We find the mention of the disproportion that can affect International trade growing at a startling pace in paragraph D. However, it is in the last line of the passage that the slowly diminishing connection between the value of goods and cost of delivery is mentioned. 

Questions 5-9

Do the following statements agree with the information given in passage?

In boxes 5-9 on your answer sheet, write

TRUE    if the statement agrees with the information

FALSE    if the statement contradicts the information

NOT GIVEN if there is no information on this

Guidelines/ Tip to Answer these kinds of questions: 

To answer questions 5-9, candidates need to find the coherence between the concept of the passage and the statement is given. Depending on the connection between the two, the answers can be TRUE or FALSE. However, in case of no correlation, the NOT-GIVEN option must be selected. 

5   International trade is increasing at a greater rate than the world economy.
Answer: TRUE 

Explanation:

The above statement stands true simply because it is mentioned in the first line of paragraph A, “International trade is growing at a startling pace.” This statement explains the increased impact of international trade on the global economy. 

6.  Cheap labour guarantees effective trade conditions.
Answer: FALSE  

Explanation:

We find the mention of “cheap labor” in China in the 7th line of paragraph B. Lines 7-9 explain how, despite cheaper labor, trading conditions may not always be favorable due to the wrong timing of the shipment arrival. Therefore, the above statement does not agree with what the author has said in the passage. 

7.  Japan imports more meat and steel than France.
Answer: NOT GIVEN

Explanation:

Although the phrase “meat and steel” is mentioned in the fourth line of paragraph C, the importer is not mentioned. Therefore, the “NOT GIVEN” option needs to be selected for this question. 

8. Most countries continue to prefer to trade with nearby nations.
Answer: TRUE 

Explanation:

Paragraph D talks about trade disproportionately between countries when it comes to making International trade grow at a startling pace. The first line implies that most nations prefer doing business with their nearby nations, and thus the above statement holds truth. 

9. Small computer components are manufactured in Germany.
Answer: NOT GIVEN

Explanation:

Although paragraph D mentions the "lightweight components," it says nothing about Germany's involvement. So, there is insufficient information to conclude the statement's validity in the question above.

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Questions 10-13

Complete the summary using the list of words, A-K, below.

Write the correct letter, A-K, in boxes 10-13 on your answer sheet.

Guidelines/ Tip to Answer these kinds of questions: 

These sections require candidates to locate the entire passage and find the correct word to complete the sentences. The answer is a single word, and candidates must choose the right one to make the statement whole. 

THE TRANSPORT REVOLUTION

Modern cargo-handling methods have had a significant effect on 10  
Answer: Trade   Locate as the business of moving freight around the world becomes increasingly streamlined.

Explanation:

The answer can be found in paragraph G, which says how deregulation and modern cargo handling have benefitted “the process.” Here, the process refers to International trade growing at a startling pace. So, the correct answer would be “trade,” as the paragraph explains the impact on the trades done globally. 

Manufacturers of computers, for instance, are able to import 11
Answer: Components  Locate  from overseas, rather than having to rely on a local supplier.

Explanation:

We find the mention of “hugely bigger freight bills” and how computer manufacturers can avoid them. This is mentioned in lines 3-5, where the author says importing components from overseas costs less than getting from local suppliers.

The introduction of 12 Answer: Container ships Locate has meant that bulk cargo can be safely and efficiently moved over long distances.

Explanation:

We find the mention of “shipping containers” and how they have transformed ocean shipping in the 1st line of paragraph H. This confirms that the introduction of container ships is the reason behind International trade growing at a startling pace safely. 

While international shipping is now efficient, there is still a need for governments to reduce 13 Answer: tariffs to free up the domestic cargo sector. 

Explanation:

We can find the word “tariffs” mentioned in paragraph G, line 3, as the reason behind increased shipping costs. However, in paragraph I, line 4, the challenge of shipping costs being “unnecessarily high” is mentioned. Now, the above statement talks about increasing efficiency to ensure that International trade is growing at a startling pace. So, the obvious answer would be reducing the tariffs here.