An examination of volume and direction of internal trade in India. While there is an almost unanimous view of the benefits of trade – fueling economic growth, supporting a greater number of and better paying employment, raising living standards and enhancing the consumer surplus with affordable goods and services, contemporary research has primarily looked at external trade i.e. trade across national borders. This has led to an under-appreciation of the quantum and the effects of internal trade i.e. trade within national borders. This is of particular significance for larger economies such as India.