Data Interpretation - 4 Pie Charts in a Set

Directions for questions – Refer to the following chart and solve the questions based on it.  

Consider the information provided in the figure below relating to India’s foreign trade in 1997 – 1998 and the first eight months of 1998 – 1999. Total trade with a region is defined as the sum of exports and imports from that region. Trade deficit is defined as the excess of imports over exports, and it may be negative.
a) USA
b) Germany

c) Other EU
d) UK
e) Japan
f) Russia
g) Other East – European Countries
h) OPEC
i) Asia
j) Other LDCs
k) Other Source of Imports 

Destination of Exports

Q1. With which region does India have the highest total trade in 1997 – 1998?
a) USA
b) Other EU countries
c) OPEC
d) Others
e) None of The Above

Solution

Option C

Total trade with a region = Sum of exports and imports from that region. From the pie charts for 1997 – 1998, we have the following sectors occupying the maximum area.

	Country	Exports	Imports	Trade
H	OPEC	3397.9	9379.2	12795.1
I	Asia	6796	5709	12505
G	East Europe	3397	7748	11145.9
C	EU	4757	4893.5	9650.5
A	USA	6456	3670	10126

Therefore, H – OPEC has the maximum trade with the India in 1997 – 1998

Q2. In 1997 – 1998, the amount of Indian exports (in million US $) to the region with which India has the lowest total trade, is approximately:
a) 750
b) 340
c) 220
d) 440
e) None of The Above

Solution

Option B

Using the pie chart, the region having the lowest trade is K = 1% of imports + 1% of exports

So, Indian exports are 1% of 3397.9 which is roughly 340 million US $

Q3. In 1997 – 1998, the trade deficit (in billion US $) for the region with which India has the highest trade deficit is approximately equal to:
a) 6.0
b) 3.0
c) 4.5
d) 7.5
e) None of The Above

Solution

Option A

	Imports	Exports	Trade Deficit
A	3670.11	6456.01	-2785.9
B	2038.95	2038.74	0.21
C	4893.48	4757.06	136.42
D	2446.74	2038.74	408
E	2038.95	2038.74	0.21
F	815.58	1019.37	-203.79
G	7748.01	3397.9	4350.11
H	9379.17	3397.9	5981.27
I	5709.06	6795.8	-1086.74
J	1631.16	1698.95	-67.79

So, it can be seen that region H has the highest trade deficit of approximately $ 6000 million or $6billion.

Q4. Which region has the lowest trade deficit with India in 1997 – 1998?
a) USA
b) Asia
c) Others
d) Other EU countries
e) None of The Above

Solution

Option A

Using the pie chart for 1997 – 1998, we can see that USA which is region A, has the lowest trade deficit.

(9% of imports – 19% of total exports)

(9/100 × 40779 – 19/100 × 33979)

Q5. Assume that the average monthly exports and imports to India during the remaining four months of 1998 – 1999 are the same as that for the first eight months of the year.

To which region did India’s exports register the highest percentage growth between 1997 – 1998 and 1998 – 1999?
a) Other East – European Countries
b) USA
c) ASIA
d) Exports have declined, therefore no growth
e) None of The Above

Solution

Option B

	Country	1998 - 99	1997 - 98
A	USA	7395.4	6456
G	East European Countries	3858.5	3397.9
H	OPEC	3215.4	3397.9

Now, the exports for 8 months have been given. According to new directions, we need to calculate exports for 12 months.

(21436 × 12) / 8 = $ 32, 154 million

So, maximum percentage increase is from region A (USA).

Q6. What is the percentage growth rate in India’s total trade deficit between 1997 – 1998 and 1998 – 1999?
a) 43%
b) 47%
c) 50%
d) 40%
e) None of The Above

Solution

Option B

Following is India’s total trade deficit:

	Country	1998 - 99	1997 - 98
1997 – 98	40779	33979	6800
1998 - 99	42189	32154	10035

Total imports for 1998 – 1999

= 28126 × 12 / 8

= $ 42, 189 million

Similarly, exports for 1998 – 1999

= $32154 million

Percentage growth rate

= 10035 – 6800/6800 × 100

= 47.6%

Therefore, option (b) is the correct answer.