Agriculture Reference
In-Depth Information
rental, security, tax). Seasonality, fruit taste (sweetness), labour costs (including
physical hardships undergone, risks involved in collection, handling and
transportation of the heavy fruits), critical need of households for immediate
cash, and the quantities of fruit available, compared with demand, are the key
factors determining fruit prices. Traders look at the number of suppliers bringing
fruit to the market, listen to first-hand information from villagers and observe
buying behaviour. It is estimated that the average profit percentage is
approximately 50% (Karaan et al ., 2005), but this may vary depending on the
need to solve prevailing and immediate domestic and other problems. Generally,
prices of fruits were set jointly, with the collectors/wholesalers who sold first in the
season, determining the prices. Other traders then followed by asking the same
prices. Negotiation with buyers was another form of price-setting. This method of
pricing was done to avoid conflict between competitors. Pricing at retail level was
similar to those for the collectors/wholesalers in both method and factors
considered. In order of importance, the main factors appeared to be the order
price, taking the price set by other traders and total cost, and the prices set by the
first sellers. Fruit prices are also affected by the lack of a standard unit of
measurement for selling fruits. The quantities of fruits are measured using
different utensils such as cups, bowls, plates, tins and buckets, thus making it very
difficult to compare prices (Ramadhani, 2002).
14.2.5 Market conditions
One of the greatest problems associated with the trading of indigenous fruits is
market infrastructure. Lack of storage facilities and protection from the weather
result in fruit spoilage and lower quality of goods (Kaaria, 1998; Ramadhani,
2002). Many traders also sell their wares outside the markets because of limited
space inside. These traders basically put their produce on the floor, or lay down
a piece of cloth to prevent the goods from getting dirty (Kaaria, 1998). Fruits in
the wholesale section of the Mbare market (Harare, Zimbabwe) are stored in
large heaps on the open ground with no cover to protect them from the sun,
wind and rain. This method of bulk storage has a detrimental effect on fruit
quality. Fruit at the bottom of the heaps are squashed by the weight of the fruit
above, while the sun bakes the fruit at the top. As a result, up to one-third of
the fruit is spoiled. In Zambia, collectors and wholesalers store their fruits
mostly at home and in the open. Most of them store their fruits in containers or
in sacks, with only a small percentage storing fruits loose on the ground.
Damage to fruits due to handling during public and private transportation and
harvesting accounts for 83% of the total fruit loss and is the most economically
important loss experienced by collectors/wholesalers. Other sources of loss are
rotting (11%), excessive heat (3%), and the use of inappropriate containers,
such as sacks instead of baskets (3%).
Retailers, like wholesalers, also stored their fruits in a variety of places, such
as market buildings. Fruits are stored in containers or loose on the ground.
Sales turnover was approximately 1.5 days, while fruits took about 3 days
before becoming rotten. The main reasons for fruit losses among fruit retailers
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