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| Factors Affecting the Effectiveness of Warehouse Receipt System in Tanzania |
Muhsin M. Danga, Mwajuma Juma Kaudundeand Peter B Kadilikansimba
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Abstract:
The purpose of this study was to assess the effectiveness of Warehouse Receipt System in selected districts using exploratory sequential design. The sample size of the study constituted two hundred (200) respondents from the selected districts of which purposive sampling procedure was adopted for getting the full picture of Warehouse Receipt System in Tanzania. The study was conducted in Lindi Region in two districts namely: Kilwa and Nachingwea District. The study results revealed ineffective Warehouse Receipt System in Lindi Region since most of the decisions are made without adherence to the rule of law. Apart from that, many respondents disagreed with the way the system is supported by the Government and the performance of cooperative society. Likewise, the study findings revealed lack of transparency, public awareness, and the existence of high cost of transactions. For effective Warehouse Receipt System stakeholder including government should provide competency based training to all practitioners of Warehouse Receipt System to create public awareness on warehouse receipt system. , To strengthen the system, stakeholders are also advised to allocate sufficient funds for recruiting qualified staff and procuring appropriate stores equipments. Furthermore, licensed warehouse operators are advised to embrace modern storage facilities that will enhance their day to day activities and attain good performance of the system. It is a high time for the government to restructure the whole system and come up with the system that will befit farmers' needs rather than subjecting them to unnecessary transaction costs. From these highlighted factors, this study recommends further researches to be conducted on factors affecting warehouse receipt system by scaling study scope.
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