Tradex as Worldwide Trader
Tradex FZCO, another wholly owned subsidiary, is engaged in trading business-generating investments primarily through its participation on worldwide market and other trading activities. It was formed in 2008 as Tradex decided to expand and innovate the company in the most ideal way of satisfying our clients. Our main warehouse facility covers 25,000m² used to store export orders as well as imported stock items.
These ventures generate not only investment income but also business for Tradex LLC and Tradex Engineering Industries LLC. Currently, Tradex FZCO, is actively engaged in trading business and development.
The Advantages of Trade
International trade brings a number of valuable benefits to a country, including:
1. The exploitation of a country's comparative advantage, which means that trade encourages a country to specialize in producing only those goods and services which it can produce more effectively and efficiently, and at the lowest opportunity cost.
2. Producing a narrow range of goods and services for the domestic and export market means that a country can produce in at higher volumes, which provides further cost benefits in terms of economies of scale.
3. Trade increases competition and lowers world prices, which provides benefits to consumers by raising the purchasing power of their own income, and leads a rise in consumer surplus.
4. Trade also breaks down domestic monopolies, which face competition from more efficient foreign firms.
5. The quality of goods and services is likely to increases as competition encourages innovation, design and the application of new technologies. Trade will also encourage the transfer of technology between countries.
6. Trade is also likely to increase employment, given that employment is closely related to production. Trade means that more will be employed in the export sector and, through the multiplier process, more jobs will be created across the whole economy.