Question

Explain the significance of transportation.

Answer 1

1. Widens the market: If there had been no means of transport, the market for goods would have remained local. One region would not have been in a position to exchange its surplus goods with another. Unless goods can be moved safely and quickly, there is no option but to sell them in the local market. In the absence of transport, producers would not produce more than what the local market would absorb. Transport undertakes the physical distribution of goods. It removes geographical barriers by maintaining an unrestricted flow of goods between far-flung regions. Transport provides the possibility of trade with distant markets around the world.
2. Ensures large-scale production: Industrial units require the gathering of materials and workers in one place. Transport helps in assembling raw materials and workers. It enables the producers to produce goods with the help of raw materials acquired from distant places. Transport is indispensable not only for distributing goods but also for assembling raw materials for production. It enables business firms to obtain economies of scale.
3. Generates Public Revenue: Transport is a source of income for Central and State governments.
4. Promotes national unity: Transport connects villages and towns with big cities. It enables people to travel widely and to know one another better. Therefore, it helps in the removal of ignorance and prejudice. In this way, transport also contributes towards national integration and urbanisation. It makes the lives of people in remote areas more comfortable.
5. Helps national defence: In times of national crisis arising from war, internal disturbances or natural calamities, transport helps in the quick movement of troops, supplies and medical aid.
6. Provides employment: Transport provides direct and immediate employment for millions of people. Directly, millions of people are employed in the production, operating and servicing of vehicles. Moreover, it indirectly creates employment opportunities by providing a boost to trade and industry.
7. Improves standard of living: Quick means of transport facilitate large-scale production at low costs. As a result, more and more people can make use of the goods so produced. Transport enables consumers to use goods produced in far-off places. There is a greater variety in consumption patterns and consumers have a wider choice of goods.
8. Promotes national unity: Transport connects villages and towns with big cities. It enables people to travel widely and to know one another better. Therefore, it helps in the removal of ignorance and prejudice. In this way, transport also contributes towards national integration and urbanisation. It makes the lives of people in remote areas more comfortable.