IDEAS home Printed from https://ideas.repec.org/p/ags/aaea15/204881.html
   My bibliography  Save this paper

Do farmers value rice varieties tolerant to droughts and floods? Evidence from a discrete choice experiment in Odisha, India

Author

Listed:
  • Arora, Anchal
  • Bansal, Sangeeta
  • Ward, Patrick S.

Abstract

Abiotic stresses such as droughts and floods significantly constrain rice production in India. New stress tolerant technologies have the potential to reduce yield variability and help insulate farmers from the risks posed by these hazards. Using discrete choice experiments conducted in rural Odisha, we estimate farmers’ valuation for drought-tolerant (DT) and submergence-tolerant (SubT) traits embodied in rice cultivars. Our results demonstrate that farmers in both drought-prone as well as submergence prone regions value reduction in yield variability offered by new, stress-tolerant cultivars, and would generally be willing to pay a significant premium for these traits. While virtually all farmers perceive the threat of drought and are willing to pay for protection against drought risk, only farmers in flood-prone areas would be willing to pay for rice that can withstand being submerged for prolonged periods, suggesting the potential for market segmentation along geographical or ecological lines.

Suggested Citation

  • Arora, Anchal & Bansal, Sangeeta & Ward, Patrick S., 2015. "Do farmers value rice varieties tolerant to droughts and floods? Evidence from a discrete choice experiment in Odisha, India," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 204881, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea15:204881
    DOI: 10.22004/ag.econ.204881
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/204881/files/AAEA%20-%20Paper%20-%20Do%20farmers%20value%20rice%20varieties%20tolerant%20to%20droughts%20and%20floods.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.204881?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Ward, Patrick S. & Ortega, David L. & Spielman, David J. & Singh, Vartika, 2014. "Heterogeneous Demand for Drought-Tolerant Rice: Evidence from Bihar, India," World Development, Elsevier, vol. 64(C), pages 125-139.
    2. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555.
    3. Mottaleb, Khondoker A. & Rejesus, Roderick M. & Mohanty, Samarendu & Murty, M.V.R. & Li, Tao & Valera, Harold Glenn & Gumma, Murali Krishna, 2012. "Ex Ante Impact Assessment of a Drought Tolerant Rice Variety in the Presence of Climate Change," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124745, Agricultural and Applied Economics Association.
    4. Hausman, Jerry & McFadden, Daniel, 1984. "Specification Tests for the Multinomial Logit Model," Econometrica, Econometric Society, vol. 52(5), pages 1219-1240, September.
    5. Dalton, Timothy J. & Yesuf, Mahmud & Muhammad, Lutta, 2011. "Demand for Drought Tolerance in Africa: Selection of Drought Tolerant Maize Seed using Framed Field Experiments," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103712, Agricultural and Applied Economics Association.
    6. Jayson L. Lusk & Ted C. Schroeder, 2004. "Are Choice Experiments Incentive Compatible? A Test with Quality Differentiated Beef Steaks," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(2), pages 467-482.
    7. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    8. Krishna, Vijesh V. & Qaim, Matin, 2007. "Estimating the adoption of Bt eggplant in India: Who Benefits from public-private partnership?," Food Policy, Elsevier, vol. 32(5-6), pages 523-543.
    9. Hurd, Brian H., 2006. "Water Conservation and Residential Landscapes: Household Preferences, Household Choices," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 31(2), pages 1-20, August.
    10. Hess, Stephane & Hensher, David A., 2010. "Using conditioning on observed choices to retrieve individual-specific attribute processing strategies," Transportation Research Part B: Methodological, Elsevier, vol. 44(6), pages 781-790, July.
    11. Pablo Villalobos & Carlos Huenchuleo, 2010. "Ecosystem Service Valuation of Ruil (Nothofagus Alessandrii) Forests in Central Chile: An Application of the Choice Experiment Method," Chapters, in: Jeff Bennett & Ekin Birol (ed.), Choice Experiments in Developing Countries, chapter 9, Edward Elgar Publishing.
    12. Jeff Bennett & Ekin Birol (ed.), 2010. "Choice Experiments in Developing Countries," Books, Edward Elgar Publishing, number 13208.
    13. Girma G. Selassie & Yiannis Kountouris, 2010. "Fishing Permit Price and Wetland Conservation: A Choice Experiment on the Value of Improved Environmental Quality of Lake Awassa, Ethiopia," Chapters, in: Jeff Bennett & Ekin Birol (ed.), Choice Experiments in Developing Countries, chapter 4, Edward Elgar Publishing.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Khan, Md. Tajuddin & Kishore, Avinash & Joshi, Pramod Kumar, 2016. "Gender dimensions on farmers’ preferences for direct-seeded rice with drum seeder in India:," IFPRI discussion papers 1550, International Food Policy Research Institute (IFPRI).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Arora, Anchal & Bansal, Sangeeta & Ward, Patrick S., 2015. "Eliciting farmers’ valuation for abiotic stress-tolerant rice in India:," IFPRI discussion papers 1409, International Food Policy Research Institute (IFPRI).
    2. Khan, Md. Tajuddin & Kishore, Avinash & Joshi, Pramod Kumar, 2016. "Gender dimensions on farmers’ preferences for direct-seeded rice with drum seeder in India:," IFPRI discussion papers 1550, International Food Policy Research Institute (IFPRI).
    3. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    4. Shiwen Quan & Yinchu Zeng & Xiaohua Yu & Te Bao, 2018. "WTP for baby milk formula in China: Using attribute nonattendance as a priori information to select attributes in choice experiment," Agribusiness, John Wiley & Sons, Ltd., vol. 34(2), pages 300-320, March.
    5. Ward, Patrick S. & Makhija, Simrin, 2018. "New modalities for managing drought risk in rainfed agriculture: Evidence from a discrete choice experiment in Odisha, India," World Development, Elsevier, vol. 107(C), pages 163-175.
    6. Mohammed H. Alemu & Søren B. Olsen, 2017. "Can a Repeated Opt-Out Reminder remove hypothetical bias in discrete choice experiments? An application to consumer valuation of novel food products," IFRO Working Paper 2017/05, University of Copenhagen, Department of Food and Resource Economics.
    7. Hoyos Ramos, David, 2010. "Using discrete choice experiments for environmental valuation," BILTOKI 1134-8984, Universidad del País Vasco - Departamento de Economía Aplicada III (Econometría y Estadística).
    8. Abedullah, A. & Kouser, S. & Ibrahim, M., 2018. "Consumer preferences and willingness to pay for Aflatoxin- Free Milk in Pakistan," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 275957, International Association of Agricultural Economists.
    9. Ortega, David L. & Wang, H. Holly & Wu, Laping & Hong, Soo Jeong, 2015. "Retail channel and consumer demand for food quality in China," China Economic Review, Elsevier, vol. 36(C), pages 359-366.
    10. Jianhua Wang & Jiaye Ge & Yuting Ma, 2018. "Urban Chinese Consumers’ Willingness to Pay for Pork with Certified Labels: A Discrete Choice Experiment," Sustainability, MDPI, vol. 10(3), pages 1-14, February.
    11. Illichmann, R. & Abdulai, A., 2014. "Analysis of Consumer Preferences and Wilingness-To-Pay for Organic Food Products in Germany," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 49, March.
    12. Joachim Marti, 2012. "Assessing preferences for improved smoking cessation medications: a discrete choice experiment," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 13(5), pages 533-548, October.
    13. Ortega, David L. & Wang, H. Holly & Wu, Laping & Olynk, Nicole J., 2011. "Modeling heterogeneity in consumer preferences for select food safety attributes in China," Food Policy, Elsevier, vol. 36(2), pages 318-324, April.
    14. Kanchanaroek, Yingluk & Termansen, Mette & Quinn, Claire, 2013. "Property rights regimes in complex fishery management systems: A choice experiment application," Ecological Economics, Elsevier, vol. 93(C), pages 363-373.
    15. Liesivaara, Petri & Myyrä, Sami, 2014. "Government policies in changing climate and the demand for crop insurance," 88th Annual Conference, April 9-11, 2014, AgroParisTech, Paris, France 170520, Agricultural Economics Society.
    16. Carnegie, Rachel & Wang, Holly & Widmar, Nicole & Ortega, David, 2014. "Consumer Preferences for Quality and Safety Attributes of Duck in Restaurant Entrees: Is China A Viable Market for The U.S. Duck Industry?," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170717, Agricultural and Applied Economics Association.
    17. Ward, Patrick S. & Spielman, David J. & Ortega, David L. & Kumar, Neha & Minocha, Sumedha, 2015. "Demand for Complementary Financial and Technological Tools for Managing Drought Risk: Evidence from Rice Farmers in Bangladesh," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 204882, Agricultural and Applied Economics Association.
    18. Carlsson, Fredrik & Frykblom, Peter & Johan Lagerkvist, Carl, 2005. "Using cheap talk as a test of validity in choice experiments," Economics Letters, Elsevier, vol. 89(2), pages 147-152, November.
    19. Anastassiadis, Friederike & Liebe, Ulf & Musshoff, Oliver, 2012. "Finanzielle Flexibilität In Landwirtschaftlichen Investitionsentscheidungen: Ein Discrete Choice Experiment," 52nd Annual Conference, Stuttgart, Germany, September 26-28, 2012 137142, German Association of Agricultural Economists (GEWISOLA).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aaea15:204881. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.