Price perception on weights and measures at the local markets of Ghana

Abstract

In local markets in Ghana, merchants typically place vegetables and crops in pales, cans or plastic containers of varying sizes even though the central government has introduced standard weights and measures for more efficient market transactions. The introduction of these standardized weights and measures appears to be a prerequisite for nearly all aspects of economic growth. This paper used a questionnaire survey to understand how marketers perceive and interpret weights and measures in selling or buying three main vegetables (tomato, pepper, and eggplant) and rice in Berekum municipality, Ghana. Using a random selection of 30 marketers and 30 farmers, the research examined the types of weights and measures used in the market to understand how marketers perceived weights and measures in price setting. In addition, various policies governing these local measures were examined to better understand their perceptions and interpretations. The results indicated that despite long experience in marketing and the use of ad hoc weights and measures, 55 percent of respondents did not adhere to standards or policies in setting prices. About 44 percent of retailing was done using the popular traditional weights called “olonka” and 69 percent of wholesale was done using baskets. About 60 percent of respondents perceived weights and measures as a reliable tool for trade, setting prices, and maximizing profit. The use of containers or varying sizes and shapes imposed market inefficiencies and pricing challenges on the local market. This paper concludes with recommendations on how responsible market agencies can craft standard weights and measures by taking into consideration the existing customary practices.