required to encourafe new primary development. This increase6 spread between "survival" prices and "new mine" price suggests that extreme price variations could be the norm for the balance of the 1980s as the market moves from shortage -and the neec for new capacity to periods of temporary over-supply. Such a development would hardly be welcome tc either prccucers or con­ sumers. 180. As consumption has fallen, capacity has also been recuced. In part this reflects temporary closures, but it also represents, in some cases,the exhaustion of ere bodies and the fact that new mines are not being developed to replace them. Even a compara­ tively small revival in demand could put a strain on supplies .. With reduced supply capability, gross revenues are unlikely to expand in line with prices, and the financing of new caracity from internal resources will remain a problem. Thus, important as the longer-term capital funding rnay be, the procucers' current concern is for revenue to finance existing operations and inven­ tories. Some prooucer country governments have assisted through currency devaluation. However, if prices anc revenues are to be sustained, reduced demand must be met by recuced supply. Note: 1/ International Financial Statistics, vol.XXXV, No. 11 (November 1982), p. 57. 84 ~/EGA /CI1. 9/5 E. TRANSPORT AND COMMUNICATIONS 1. Introduction 181. In the two previous Surveys the current status of transport and communication infrastructure in African developin€ countries was extensively examined. l/ The region remair.s grossly under­ equipped, and services remain equally inefficient. Read density in Africa ranges from a low of about 0. 007 kilometres per scuare kilometre (km/sq km) in the Upper Volta to a high of l km/sa km in Mauritius, with an over-all regional median of 0.005 km/sq km. This compares with the average for developed countries of 0.5 
**Analysis**
The text discusses the challenges faced by producers of a specific commodity, likely minerals, due to fluctuating prices and reduced demand, which affects their ability to finance new capacity and operations. It also touches on the topic of transport and communication infrastructure in African developing countries. These themes suggest that the text is primarily focused on economic development and the extractive industry.

**Category**
Economic development, Industry