Demand and supply are arguably business terms that form the basis of the flow of goods and services. They have to do with much of the extremes to bring the balance between the producer and the market. Usually, the producer is at the mercies of the consumer, regardless of how quality their goods and services may be. If there is no desire and hunger for them, their work is rendered in fertile.
Kenya is not only a nation that economically depends on tea and coffee production to sustain its pride. Floriculture is also an area invested by the country’s government and has proven to be of worth. However, a number of challenges have stuck their ugly heads as pertaining to storage of the perishable goods. Well, most of the agricultural produce has as well been trapped by the same obstacle.
Warehousing has been a huge challenge as the exponential potential of the East African country continues to flex its wing, expanding its territories. Poor storage facilities have been the epitome of close to 20 per cent drop in the growing of flowers sector, as they lack a place they can temporarily be “safe-guarded” before they are released to the market. The need for better storing facilities have been the cry of many producers as they tend to keep their stock until the need to be release arises.
With a few customary changes set to happen, there are others who have gone ahead to make their own storage facilities. It is a challenge especially when one meets a need for which he was not groomed for yet has to make a change by himself. Not only the slow changes have made a number of producers to shift to Do-It-Yourself solutions but some of the warehouses have an absolute, unhealthy environment that may cause the decrease in quality of these goods.
In 2014, Kenya earned $531m from floriculture industry, exporting 125 tonnes of flowers. However, with the situation seemingly to be harder than before, the sector could be on the verge of losing close to $100m for retailers, in addition to considerable losses for producers. There are warehouses coming up to curb this situation, but time waits for no man and therefore other avenues of a reviving hope have to be looked into.
With the shortage of warehouses being the next Goliath to be slained, it will be vital for the government to make a radical but well sought after decision, as it will stand to lose so much revenue that would be of great importance to its economy.