UNSOLD STOCKS OF FOOD OIL, THE UNFAIR COMPETITION FROM ASIA IS THREATING LOCAL COMPANIES

Hard time for the vegetable oil producers of Bobo Dioulasso.

We are at SN CITEC one the big producers of vegetable oil in Burkina Faso. Here the machines are running in slow motion. More than 60 percent representing 400 thousands oil cans are waiting to be sent in the markets. But till January to now, only 40 percent of oil have been sold. This situation is jeopardizing the future of this company and at the same time the jobs. According to this representative of SN SITEC, this is due to the illegal competition.

SN CITEC is not the only one company that is suffering from the unsold stocks. The vegetable oil company called Fatim Oil is also crossing this bad time. At Fatim oil company more than 70.000 oil cans are stored waiting for clients. Watan Oil Company is facing the same hard time. For the promotor of Watan Oil, this year is very worst. Since January they have just sold 200 oil cans. For him, the cause of this unsold stock is related to unfair competition of vegetable oil from Asia.

Likewise those vegetable oil companies, all the companies producing vegetable oil are in this wave of unsold stocks. The main reason is as already said, the illegal competition.

For the representative of SN CITEC, the Asian vegetable oil are forbidden in some countries because of their bad quality. The company will cease working in 20 days if we do not sell.

This illegal competition has some bad side effects on the economy. Many companies will shut down if any solution is found and workers will be fired. In addition to that, the consumption of the bad oil can cause health trouble such as cancers and other diseases.

The promotors of those vegetable oil companies have already met the minister of commerce to talk about this issue. Till now, they are waiting for the solutions. Without a quick solution, many jobs will be lost and farmer will se their incomes reduced because the food oil is made of cotton seeds essentially in Burkina Faso.