Dependence of countries on export of limited range of raw materials

Dependence on few commodities has remained high in many developing countries. Rather than diversification of commodity patterns of trade, in several countries concentration has increased over the past decade; only a few countries have made tangible progress in diversification, primarily based on agro-business. High levels of investment in and substantial rationalization of the commodity sector in many developing countries have resulted mainly in productivity increases benefiting world markets, but only to a small extent in benefits for producers.

1. Low commodity prices are detrimental to the producing countries because they force them to sell their limited supplies at "give-away" prices. It is detrimental to industrial countries in the long run because these low prices hinder the necessary development of resource productivity. In this way a "lose-lose" situation is created in which no one benefits. The future consumer in both the richer and poor countries becomes the victim of this wastefulness.

1. Underdeveloped export potential
2. Instability of the commodities trade
3. Economic non-viability of small countries
4. Economic dependence

1. Long-term shortage of commodities
2. Limited employment base
3. Inadequate farm crop diversity
4. Economic dependence of countries on the drug trade

1. Unstable economic base

1. Unstable supply of raw materials
2. Undeveloped channels for commercial initiative
3. Uncoordinated global restructuring of production
4. Reduction in demand for primary commodities due to technological change
5. Overpowering competitive markets
6. Limited approaches to economic planning
7. Lack of rural industrialization
8. Archaic marketing methods
9. Absence of long-term economic planning agencies

1. Weakness of socio-economic infrastructure
2. Global economic stagnation

1. Time consuming procedures
2. Haphazard community growth patterns
3. Dependence of national economies on a single source of finance

1. Integrating humanitarian issues and sustainable development
2. Exporting limited range of raw materials

1. Dependence
2. Limitedness
3. Unplanned