Abstract:
To plan a suitable organizational growth as well as for great contribution for the economy, ECX
need to identify the basic problems. Hence, the purpose of this study is to examine the basic
challenges of ECX on coffee: with the reference of yirgachiffe, sidama, harari and jimma coffee.
Both quantitative and qualitative methods, using responses given by 168 trade members in ECX
from different occupation (student, farmer, fulltime merchant and government employees), is
employed in the analysis. To collect the necessary data the researcher used questionnaires and
telephone interviews and also probability sampling technique especially, systematic random
sampling was used.
A descriptive method of data analysis was employed using Statistical Package for Social
Scientists (SPSS) Version 16. The findings result from this study reveal that shortfall of
agricultural product, physical infrastructure, macroeconomic instability, price fluctuation, lack
of adequate warehouses that accommodate ECX participants request,. Higher penalty cost
imposed on the participants for not withdrawing their commodity from the warehouses, poor
quality of warehouse service insufficient time to store and transfer the commodity, inefficient and
inadequate in store credit; discouraging the membership requirement of ECX, expensive
membership seat fee and exposed for corruption were found to be amongst the fore front
challenges to the success of ECX.
