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What is the value of rice fragrance? Consumer evidence from Senegal

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  • Diagne, Mandiaye
  • Demont, Matty
  • Ndour, Maïmouna

Abstract

Urban demand for fragrant rice is increasing rapidly in Senegal, but little is known about the value of rice fragrance and the drivers of its demand. We conducted experimental auctions in Dakar to elicit urban consumers’ willingness to upgrade from non-fragrant to fragrant rice and their willingness to pay for domestic versus imported fragrant rice, and assessed the drivers of demand for rice fragrance through a double-hurdle model. The average value of rice fragrance is estimated to be around US$ 0.12 kg-1, as suggested by the 20% price premiums consumers are willing to pay on top of the price of non-fragrant rice. These price premiums further increase to 35% for consumers who express positive buying intentions towards domestic fragrant rice. The value of rice fragrance is found to be driven by factors such as ethnicity, household size, and awareness of fragrance and local fragrant rice.

Suggested Citation

  • Diagne, Mandiaye & Demont, Matty & Ndour, Maïmouna, 2017. "What is the value of rice fragrance? Consumer evidence from Senegal," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 12(2), June.
    • Handle: RePEc:ags:afjare:258603
    DOI: 10.22004/ag.econ.258603
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    References listed on IDEAS

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    1. Demont, Matty & Fiamohe, Rose & Kinkpé, A. Thierry, 2017. "Comparative Advantage in Demand and the Development of Rice Value Chains in West Africa," World Development, Elsevier, vol. 96(C), pages 578-590.
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    5. Demont, Matty & Rutsaert, Pieter & Ndour, Maimouna & Verbeke, Wim, 2013. "Reversing Urban Bias in African Rice Markets: Evidence from Senegal," World Development, Elsevier, vol. 45(C), pages 63-74.
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    Cited by:

    1. Demont, Matty & Fiamohe, Rose & Kinkpé, A. Thierry, 2017. "Comparative Advantage in Demand and the Development of Rice Value Chains in West Africa," World Development, Elsevier, vol. 96(C), pages 578-590.
    2. Ogura, Tatsuya & Sakurai, Takeshi, 2019. "Does a Market-Oriented Variety Change Rice Farming in SSA?: Evidence from a New Aromatic Rice Variety in Northern Ghana," Japanese Journal of Agricultural Economics (formerly Japanese Journal of Rural Economics), Agricultural Economics Society of Japan (AESJ), vol. 21.
    3. Indrani Saha & Alvaro Durand-Morat & Lawton Lanier Nalley & Mohammad Jahangir Alam & Rodolfo Nayga, 2021. "Rice quality and its impacts on food security and sustainability in Bangladesh," PLOS ONE, Public Library of Science, vol. 16(12), pages 1-17, December.
    4. Abdulai Adams & Emmanuel Tetteh Jumpah & Kehinde Damilola Ilesanmi & Hajei Douri Bennin, 2019. "Analysis of parboiled rice processing in northern region of Ghana: determinants, constraints and opportunities," Asian Journal of Agriculture and rural Development, Asian Economic and Social Society, vol. 9(2), pages 284-297, December.
    5. Caitlin L. Herrington & Mywish K. Maredia & David L. Ortega & Victor Taleon & Ekin Birol & Md Abdur Rouf Sarkar & Md Shajedur Rahaman, 2023. "Rural Bangladeshi consumers’ (un)willingness to pay for low‐milled rice: Implications for zinc biofortification," Agricultural Economics, International Association of Agricultural Economists, vol. 54(1), pages 5-22, January.
    6. Bairagi, Subir K. & Mohanty, Samarendu & Ynion, Jhoanne & Demont, Matty, 2017. "Determinants of Consumer Preferences for Rice Attributes: Evidence from South and Southeast Asia," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258384, Agricultural and Applied Economics Association.
    7. My, Nguyen H.D. & Demont, Matty & Van Loo, Ellen J. & de Guia, Annalyn & Rutsaert, Pieter & Tuan, Tran Huu & Verbeke, Wim, 2018. "What is the value of sustainably-produced rice? Consumer evidence from experimental auctions in Vietnam," Food Policy, Elsevier, vol. 79(C), pages 283-296.
    8. Faye, Ndèye Fatou & Faye, Amy & Sy, Mouhamed Rassoul & Lee, Seungmin & McPeak, John, 2022. "Domestic Or Imported? An Analysis Of Rice Demand In Senegal," PRCI Policy Briefs 322052, Michigan State University, Department of Agricultural, Food and Resource Economics, Food Security Group.
    9. Demont, Matty & Britwum, Kofi, 2022. "Local versus Imported: Understanding the Role of Colonial and Cultural Heritage in Shaping Mauritanian Consumers’ Rice Preferences," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322366, Agricultural and Applied Economics Association.

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