Question

What are the long term factros affecting the demand for primary commodity or commodities?

Answer 1

Income:

When income of the consumers rise their entire consumption increases. They consume more at the prevailing price or even at the same price. They switch over from inferior goods or necessary goods to luxuries. With decrease in income their demand will decreases even at the same price

Population:

An increase in population of region will result in an increased demand of various goods. Also, the composition of population determines the demand of certain goods proportionately. For example, an increased number of females in the region will generate more demand for sarees, ornaments, cosmetics etc