Disadvantages of warehousing

Name:Deepa Jaiswar Roll no:497 Class:Sybcom/E Group:3

Warehousing is not effective because of the following reasons:

There are no adequate transport facilities between the place of production and warehouses.

Lack of sufficient storage facilities for different commodities such as perishable and non-perishable commodities.

Complicated formalities are to be fulfilled at the warehouses.The illiterate and innocent farmers are not able to cope with these procedures.

Complicated process of Barcode technology can reduce the storing of goods by some producers.

Unavoidable delay for obtaining financial assistance may cause loss to the owner of the goods.Warehousing involves renting space,as well as the cost of labor and materials to maintain and operate the warehouse, which can be expensive.Also consider that may need a lot of space in order to store extra inventory without it being damaged or lost.