International Trade In Minerals and Economic Development

International trade in minerals plays a very important role in the economic growth of many nations. Several less developed countries a1•e heavily dependent on their mineral exports for earning foreign exchange, which is needed for industrialization. Mineral exporting nations experience many problems in international mineral markets; the most important are tariff barriers, deteriorating terms of trade, instability in metal prices, etc. The formation of international mineral cartels to raise prices can be successful only to a limited extent and only for a short period of time.