Lesson video

Hello, my name's Miss Gilyeat, and I'm going to be your geography teacher for today.

In today's lesson, we are going to be learning about the importance of trade, which is lesson five of the globalisation topic.

Let's get going.

So your lesson outcome for today is that you can explain what trade is, and why countries trade with each other.

We've got four keywords for today's lesson.

So the first keyword is trade, which is the buying, selling, or exchanging of things between people, companies, and countries.

And import, so imports are goods and services brought in from another country.

Exports are goods and services sold to another country, and tax is money that is paid to the government to pay for things like schools and healthcare.

Now these four keywords are highlighted in bold throughout lessons, so if you need to refer back to them at any point, you can do.

We've got three learning cycles.

So to start off with, we're gonna look at what are commodities and manufactured goods, then we're gonna think about what is global trade, and then finally we're gonna think about the patterns that we see in global trade.

So let's get going with the first learning cycle, which is about what are commodities and manufactured goods? So commodities are things that can be grown or dug out of the ground, which can then be bought and sold.

So examples of commodities would include wheat, coffee beans, oil, and gold, okay? So they're all natural things which you extract from the earth.

Can you think of any other examples of commodities? Manufactured goods are things that are made by humans, not nature, and they are usually made in large quantities for selling.

So they have been made out of the raw materials that we've just spoken about.

The raw materials are changed in some way to create a new product.

So to start off with, if we think about our prior example, wheat is a commodity, but we might change that product or use it in a way to make a bread roll, which is a manufactured good, okay? So we've taken the raw material, we've done something to it to turn it into something else.

Okay, let's check our understanding.

So which of the following is manufactured? Is it A oil, B gold, or C, a table? The answer is C, a table.

Most manufactured goods are made out of a combination of materials.

So for example, bread is made from wheat flour, water, salt, sugar, and yeast.

All of those raw materials are combined together to create a bread roll, like the delicious tasty ones that we can see on the slide here.

This sofa is another example of a manufactured good, okay? And it's been made out of different raw materials.

Let's have a look of what has gone into this sofa.

So there's wood for the frame of the sofa, oil for the plastic foam, cotton for the material, and steel for the screws and springs, okay? So this one manufactured good has gotten lots of different raw materials.

Let's check our understanding.

So which of these is not a commodity? A wheat, B oil, or C computer? Okay, the answer is C.

C is not a commodity, because it is a manufactured good.

Okay, we're moving on to our first task for the lesson.

So for task A one, you'll see on the slide here we've got a table, so we've got commodities on the left and manufactured goods on the right.

What you are going to do is you're going to put the statements or the words below the table into the correct column.

So some of them are commodities, and some of them are manufactured goods.

So pause the video and have a go at that task.

Your second task for this, is I'd like you to have a go at matching the raw material to the manufactured good.

So which of those raw materials would go into making them manufactured good? So you can just link these up with a line, that's absolutely fine.

Okay, let's check our answers.

So your tables should have looked a little bit like this.

So for commodities we have bananas, wheat, carrots, and milk.

And for manufactured goods, computers, cars, clothes, TVs, headphones, and cakes.

Okay, for question two, cotton would've gone with t-shirt, wood with table, and wheat with bread.

So check your answers, and well done if you got all of those right.

Okay, so we're gonna move on to our second learning cycle now, which is what is global trade? Now trade is the buying, selling, or exchanging of things between people, companies, and countries.

Now we trade goods.

Now these are physical things that people can buy.

So on the slide there you've got an image of different goods that people could buy from the supermarket, but we can also trade services.

Now services are things that people can do or use.

So for example, education is a service, or healthcare.

Transport is something that we can use.

So yes, we can exchange and trade goods, but we can also buy and exchange services, which are things that people use.

So I want you to have a think.

Can you think of any other examples of goods and services? Maybe have a quick chat with your partner.

Okay, let's see what Laura and Andeep have got today.

So Laura has got a good example here.

So goods include things like clothes, food and furniture.

Well done, Laura.

And Andeep has said services include things like education, banking, and travel.

Both of those answers are absolutely spot on.

Okay, let's check our understanding.

So which of these is a service? A, banana, B, a bar, or C, banking? The answer is banking, because we use that service.

A lot of the things that we buy in the UK come from other countries in the world, and these are called imports, okay? So for example, most of the bananas that we eat in the UK are imported from South America.

So that means that's where the banana was grown, in South America, okay? And it has travelled all the way to the UK, and has been imported.

Now you might think, well why do we have to do this? For the example of bananas, we can't grow these at home, because we've not got the correct climate.

So that's why we import them from other countries.

The UK also sells things to other countries of the world, okay? Now, these are called exports.

For example, the UK sells pharmaceutical products to other countries.

Now this helps the UK make money, okay? So we can see there the arrow of products going out from the UK to another.

So exports is selling stuff to other countries.

When people in companies buy goods and services from another country, they often have to pay an import tax.

This is money which goes to the government, which can be used to spend things on, like education and healthcare, okay? So for example, if you were to buy a product from another country, some of that money that you spend is actually going to the government, and that's called an import tax, okay? On the slide here, we can see what are some of the main countries that the UK exports to.

So if you have a look, you've got the UK in the middle there.

Now the size of the circle represents how much money the UK is exporting, in terms of value of the goods to other countries.

So we can see the number one there is the United States.

So we are exporting 188.

2 billion pounds worth of goods and services to the US, okay? So that's our number one exporter out of all the countries.

So it might be worth just pausing the video there and discussing this map or this diagram, sorry, with your partner.

See which countries are some of the top countries that the UK exports to, can you see the top five? The buying and selling of goods and services between different countries is called global trade, okay? So governments around the world have special trading relationships.

Often these trading relationships reduce the amount of tax to be paid.

So yeah, later we'll learn about some of the different examples of these trading relationships in a later lesson, but the idea is that if countries can come together and create a trading relationship, they save each other money, because they're not gonna have to pay as much tax when they import from another country.

So let's check our understanding.

What is tax? A, money that's paid to the bank, B, money that is paid to companies, or C, money that is paid to the government? The answer is C, money that is paid to the government.

Well done if you got that correct.

Global trade connects us to other countries of the world.

Now this is an example of globalisation, okay? So we have already looked at this term earlier in the topic, 'cause this is what our whole topic is about.

But as a quick recap, so globalisation is the process by which countries around the world are becoming more connected, okay? Some people like to think this globalisation is the world getting smaller and smaller, because actually it's so easy to communicate, to travel, to exchange goods and services with other countries across the world.

So we are becoming more connected to the rest of the world.

So what I'd like you to do is think, can you think of any other ways we are connected to other countries around the world? So you might want to think about yourself, or you don't have to think about yourself, any different ways that you are connected to countries around the world, and how.

So you might have thought of some of these things.

So travel, so you might have travelled to a different country, you might have family and friends in a different country of the world, education and jobs, okay? So you might learn about different places of the world, okay? Or jobs, people can work for companies in a different country.

Okay, so what is globalisation? Is it A, the process by which countries and people are becoming more connected? B, the process by which earth is warming up? C, an increase in the number of people living on earth? So the answer is A, the process by which countries and people are becoming more connected.

Now, there are different reasons why countries trade with each other, so let's have a look at some of them.

So they might do it to obtain goods and services they cannot produce themselves.

So we spoke about that earlier example of the bananas.

In the UK we don't have the right climate to grow bananas.

So that's why we have to import them from other countries, because we want to eat them.

Trading with other countries also helps improve relationships.

Now, as we said earlier, some countries will have very special trading relationships where they don't have to pay as much tax when they import goods from them.

Obtaining goods and services that other countries may be able to produce more efficiently and at a lower cost.

So we will learn later that a lot of production in companies is now in lower income countries.

Now this does mean that countries can produce these goods at a cheaper rate, not always for the correct reasons, but it can mean that the the production process is cheaper.

And also accessing the global market, and therefore making more money.

So if a country wants to sell its product to another country of the world, it's reaching a whole different target audience, and therefore that company might be able to make more money.

Okay, so we're onto task B for the lesson.

So first of all, for task B one, I want you to describe what an export is.

And for question two, explain how global trade is an example of globalisation.

Pause the video and have a go at questions one and two.

Okay, so for question three I'd like you to have a go at completing the spider diagram by adding reasons why countries trade with each other.

So pause the video, and see if you can come up with four different reasons of why countries trade with each other.

Okay, let's check our answers.

So for question one, describing what an export is, so goods and services that are sold to another country.

And how global trade is an example of globalisation, so I've written a model answer here.

Now you didn't have to write this for word for word, but hopefully you should have got something along these lines.

So global trade connects us to other countries of the world.

This is an example of globalisation, as it shows that countries, people and companies are connected.

Governments around the world have special trading relationships.

Often these trading relationships reduce the amount of tax to be paid.

So pause the video, and you might want to see if you can add any extra detail to your answers.

Okay, so the reasons why countries trade with each other.

So allow businesses to access the global market and reach more customers, improve country relationships, allows countries to obtain goods and services that other countries may able to be able to produce more efficiently, and it allows countries to obtain goods and services that they cannot produce themselves.

Well done, if you managed to get all of those.

Okay, we're onto our third learning cycle for today's lesson.

So, what patterns can be seen in global trade? Now world maps can be used to see which countries trade with each other.

If we have a look at this map here, we can show arrows on the map show the trade in bananas, okay? So look at where the bananas are grown from, so that's where you've got the banana symbol, and the arrows show where they are going.

So if we study these types of maps in detail, we can see spatial patterns of global trade, what patterns can be seen in the banana trade.

So I want you to study this map I've got on the slide.

Now, look at where the bananas are coming from and where they are going to.

Can you spot any patterns of the movement of bananas? Okay, so let's have a look then.

So we can see here that most of the bananas in the world are grown between the tropics, okay? So around the equator.

So we've got quite a few in Central and South America, in Central Africa and in Southeast Asia.

Now most of those bananas are travelling north, okay? So they're going to the USA, they're going to the EU, and they're going to Central Europe and Russia, okay? And Northern Asia as well.

So most of those bananas are travelling or being exported to countries further away from the equator, in a northerly direction.

Right, let's check our understanding.

So what pattern does the banana trade map show? Is it A, bananas are grown near the tropics and are sold to countries further away from this region? Bananas are grown in the southern hemisphere, and are sold to countries in the northern hemisphere? Or C, bananas grow in the northern hemisphere and are sold to countries in the southern hemisphere? Which of those answers is correct? The answer is A.

So bananas are grown near the tropics, and are sold to regions further away.

Now, most items have a label saying where they are from.

Bananas and other food items have stickers, and clothes have labels, which show where they have been manufactured, okay? So for example, if you were to look at your t-shirt now and have a look at the label, it should have a little label to say where it was made.

If you buy an item of food, on the packaging, it should also say on it where that item of food has been made.

So, I'd like you to do just that.

Look at the label on an item of clothing you are currently wearing.

Where does it come from? Most clothes are manufactured in the continent of Asia, okay? So the countries in the world that are making the most food include China, India, Bangladesh, Vietnam, and Turkey, okay? So were any of your clothes made in those five countries? Let's check our understanding.

So which continent are most clothes manufactured, A Europe, B Africa, or C Asia? The answer is C, Asia.

Okay, we're onto our final task for the lesson, which is task C.

So first of all, what you are going to do is as a class, how many different countries are the clothes being worn by students in your class sourced from? So you need to go around, and it might be worth doing a tally or writing on the whiteboard, which different countries, or how many different countries that your clothes are coming from.

You are then gonna find out which three countries supply the most clothes being worn in your class.

Okay, so again it might be easier to do this on a whiteboard and create a tally chart.

You are then going to follow these instructions.

So mark the top three countries that your clothes come from on the map on the worksheet.

Draw lines from these countries to the UK, to show the journey that your clothes have taken.

So for example, if one of your top three countries that your clothes have come from is Bangladesh, you're going to find Bangladesh on the world map.

Now, you may need to use an atlas to find it.

You're gonna mark Bangladesh on, and draw a line to the UK to show the journey of the item of clothing that you are wearing has come from.

Now you can label the lines to show the items and how far they have travelled, okay? So on that line you might draw, for example, my t-shirt, okay? Now if you have got access to an Atlas Digital Map or the internet, it might be quite useful to find out what the actual distances those clothing items have travelled, okay? So follow the instructions and have a go at completing your world map.

Okay, oh and as a quick reminder, components of your clothes may have come from different parts of the world, too.

So for question four, for task C, I'd like you to use the data to complete the bar chart on the amount of money the UK makes from the exports of different products each year, okay? So meat and drinks has been created, has been filled in for you.

Now just to to to be clear, the Y axis is the amount in billions of pounds.

So you need to finish the table to say how much the UK makes from fish exports, so use the information in the table, and fruit and vegetable exports.

So you are completing the bar chart.

Once you've done your bar chart, you can have a go at answering these questions from using the information.

So what is the average amount of money made from the exports in the bar chart? What is the range in the amount of money made from the exports in the bar chart? And what might limit the quantity of meat exports from the UK? Pause the video and have a go at those questions.

Okay, let's have a look at an example of my map here.

So, there's my house in the UK.

Now my school trousers came from China, which is 7,990 kilometres away.

My polo shirt was from Hong Kong, which is 9,617 kilometres away.

And my coat was from Bangladesh, which was 8,135 kilometres away.

They have travelled quite a long way to get to the UK.

Now, your bar chart should look a bit like this.

So fish was one billion, and fruit and vegetables was six billion.

And the answers to the maths questions should be this.

So the average amount of money the UK made from exports, well you had to add all the different numbers together and then divide it by four, 'cause that's how many different components there were, and that gives you the answer 4.

25 billion pounds.

The range in the amount of money made from the exports.

So the highest one was eight billion with drinks, and the lowest one was one billion with fish.

So one, sorry, eight minus one is seven billion.

And what might limit the quantity of meat exports from the UK? Now it can be hard to export meat, as it needs to be refrigerated, otherwise it will go off.

So it makes it harder to export meat all around the world.

Now, that's the case for lots of different products such as dairy products, or things like flowers as well, because they need to be refrigerated and they don't have a long shelf life before they go off.

Okay, so a summary of today's lesson.

So commodities are raw materials which can be bought and sold.

Manufacturing uses raw materials to make other goods for sale.

Global trade involves exporting goods from one country and importing them to other countries.

People and companies often have to pay tax when they import and export goods from other countries.

Countries trade for many different reasons, and import and export data can be used to show the types and the amounts of things that countries trade around the world.

Now, that's it for today's lesson.

You did a really fantastic job there, 'cause we covered lots of content, so well done.

Right, that's it for me.

So I will see you later, goodbye.