270 The rattan industry in the Ashanti and Western regions of Ghana
on their own discretion, mostly determined the prices of these products. The
export market for these products is not well defined.
The sale of processed rattan goods is highly dependent upon the season
and the time of year. During Christmas, Easter and other religious holidays
more products are bought than during ordinary days, and sales are better in
the dry season than the wet seasons because during the latter access to raw
materials becomes difficult.
Profit margins were slightly higher in the urban markets than the rural
markets, the reason being that the standard of living is higher in urban areas
than in rural areas. It was also because products sold in urban areas were
better designed and had more value added with respect to chemical
preservation and finishing than those generally found in rural areas. Carpenters
in urban areas sometimes used some rattans to decorate part of their furniture,
to add value and style.Price setting
The pricing of products usually depends on the type of product, amount and
cost of raw material used and the finishing of the products. The price of the
product tends to be higher with improved finishing (Table 3), that is, similar
products may have different prices depending on the processing and finishing
technology used. No standardisation is done, and price variation among
processors was almost nil. However, depending on the bargaining skills of a
buyer and the economic position of processors a particular item may be sold
lower than a similar item elsewhere.Product Processing technology Price in cedisLow 100,000
Living room furniture Medium 120,000
High 250,000Low 92,000
Dining set Medium 100,000
High 200,000Laundry baskets Low 6,000
Medium 10,000Baby’s cot Low 5,000
Medium 7,000Divider shelves Low 20,000
Medium 50,000Table 3. Prices for finished products15Rattan.p65 270 22/12/2004, 11:05