problems of distribution of commodities

  problems of distribution of commodities in West Africa. Inadequate storageThis especially affects perishable products which come seasonally.

During harvest, there is an excess supply of these products; but there is scarcity as soon as the excess is over.-problems of distribution of commodities

The distribution of commodities in West Africa varies depending on the specific country and the nature of the commodity in question. However, some commodities are commonly distributed throughout the region. Here are a few examples:

Oil and Gas: West Africa is a significant producer and exporter of oil and gas. Countries such as Nigeria, Angola, and Ghana have well-established oil industries and export their products to international markets.

These commodities are typically distributed through pipelines, tanker ships, and export terminals.

Agriculture Products: West Africa has a rich agricultural sector, and commodities like cocoa, coffee, cotton, palm oil, and rubber are produced in significant quantities.

These commodities are distributed through various channels, including local markets, international trade, and processing industries.

Minerals: Several West African countries have substantial mineral resources. For instance, Guinea is one of the world\’s largest producers of bauxite, while Sierra Leone is known for its diamond mines.

These minerals are often distributed through global commodity markets and international trade channels.

Timber: West Africa is home to vast forest resources, and timber is an important commodity. Countries like Ghana, Ivory Coast, and Liberia export timber products, including logs, sawn timber, and plywood.

Distribution typically involves shipping to regional and international markets.

Fish and Seafood: With a long coastline, West Africa has a significant fishing industry. Countries like Senegal, Nigeria, and Ghana are known for their fish and seafood exports. Distribution involves processing facilities, local markets, and international trade.

MAJOR PROBLEMS OF DISTRIBUTION OF COMMODITIES IN WEST AFRICA

Packaging problems: The packaging of goods is not standardized. This may result in damage or loss in transit

Hoarding and speculations: The traders can create artificial scarcity for some commodities especially during festive periods such as Christmas and Ramadan.

Artificial scarcity can also occur as a result of change in government policies. This disrupts the distributive process and increase price unnecessarily-problems of distribution of commodities

Inadequate transport system: The poor transport system also affects commodity distribution and marketing in the country. The roads are so bad that commodities sustain great damage due to accidents.

Long chain of distribution: There are too many middlemen. The numerous links along the chain of distribution make the price of commodities to increase considerably.

Inadequate infrastructural facilities: facilities like telephone and electricity which can help to facilitate the processing and marketing of goods are not adequate.

Insecurity on the roads: Distribution is affected as a result of the activities of armed bandits on the roads.

Administrative bottlenecks in the collection and handling of goods: Excessive delay in the supply and delivery of commodities is a common feature in the West African distribution systems.

Processing of necessary papers at supply points or depots causes considerable loss of time problems of distribution of commodities

Inadequate information: The producers, sellers and buyers do not get adequate information regarding the prevailing market conditions.

  ECONOMIC ACTIVITIES THAT CAN IMPROVE EFFECTIVE DISTRIBUTION AND MARKETING OF COMMODITIES IN WEST AFRICA

Construction of roads: This will help to move harvested products from the rural areas to urban centers.

Provision of storage facilities: provision of adequate storage facilities is necessary to prevent wastage and ensure that goods produced are not taken to the market at once.

Establishment of national supply company: The establishment of a national supply company like the N.N.S.C will go a long way to stabilizing prices and make goods readily available as problems of distribution of commodities

Reduction in the number of middlemen: Reducing the number of middlemen will go a long way toward reducing the prices of commodities.

Establishment of more marketplaces: The establishment of more marketplaces in rural areas will make commodities easily available for purchase.

Establishment of marketing boards: Marketing boards should be established to handle the distribution of certain agricultural products.

Improvement in a communication system: The communication system should be improved in order to provide adequate information about the market situation to buyers and sellers.

Encouragement of co-operative societies: The formation of co – operative societies should be encouraged as they help to buy commodities in bulk and sell to consumers at cheaper prices problems of distribution of commodities

problems of distribution of commodities

  1. economic tools for nation building
  2. budgeting
  3. factors affecting the expansion of industries
  4. mineral resources and the mining industries
  5. demand and supply
  6. types of demand curve and used
  7. advertising industry
  8. factors of production
  9. entrepreneur
  10. joint stock company
  11. public enterprises
  12. private enterprises
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