IDEAS home Printed from https://ideas.repec.org/p/ags/iaae18/277459.html
   My bibliography  Save this paper

Are Urban Consumers in Niger Willing to Pay for Safe and Nutritious Food?

Author

Listed:
  • Nakelse, T.
  • Dalton, T.

Abstract

Nondiversified and poor-quality diets are some of the main causes of hidden hunger and associated illnesses. Yet there is limited research on consumer valuation of food quality attributes especially those related to nutritional quality in low-income countries. Consequently, we assess urban consumers preference for food quality attributes of value-added cereal products in Niamey, Niger. We combine qualitative and quantitative methods to assess 205 randomly sampled consumers preferences and the willingness-to-pay (WTP) for food quality attributes. Multinomial logit models are estimated using Maximum Simulated Likelihood and comparing two alterative specifications of consumer preferences. In addition, we account for taste and preference heterogeneity inherent to consumers responses to a change in quality attributes. We find that consumers are highly sensitive to the nutritional quality attribute as measured by the expiration date, the presence of micronutrients, and the product origin. These results suggest a market demand for quality food products beyond traditional cereals but demand is heterogenous and class-dependent. Food processors and policymakers should better communicate quality attributes of products through a sound promotion strategy marked by quality labeling. Keywords: Food Labeling, Consumer Surplus, Choice Experiment, Niger, Nutrition, WTP THIS PAPER SHOULD BE ENTERED INTO THE T.W. SCHULTZ YOUNG ECONOMIST COMPETITION. Acknowledgement : This study was made possible by the support of the Feed the Future Innovation Lab for Collaborative Research on Sorghum and Millet through the United States Agency for International Development (USAID). The contents are the sole responsibility of the authors and do not necessarily reflect the views of USAID or the United States Government. Program activities are funded by the United States Agency for International Development (USAID) under Cooperative Agreement No. AID-OAA-A-13-00047.

Suggested Citation

  • Nakelse, T. & Dalton, T., 2018. "Are Urban Consumers in Niger Willing to Pay for Safe and Nutritious Food?," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277459, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae18:277459
    DOI: 10.22004/ag.econ.277459
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/277459/files/727.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.277459?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. Rose Fiamohe & Tebila Nakelse & Aliou Diagne & Papa A. Seck, 2015. "Assessing the Effect of Consumer Purchasing Criteria for Types of Rice in Togo: A Choice Modeling Approach," Agribusiness, John Wiley & Sons, Ltd., vol. 31(3), pages 433-452, June.
    2. Demont, Matty & Rutsaert, Pieter & Ndour, Maimouna & Verbeke, Wim & Seck, Papa Abdoulaye & Tollens, Eric, 2012. "Experimental auctions, collective induction and choice shift: Willingness-to-pay for rice quality in Senegal," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126861, International Association of Agricultural Economists.
    3. David Revelt & Kenneth Train, 1998. "Mixed Logit With Repeated Choices: Households' Choices Of Appliance Efficiency Level," The Review of Economics and Statistics, MIT Press, vol. 80(4), pages 647-657, November.
    4. Abdulai, Awudu & Aubert, Dominique, 2004. "A cross-section analysis of household demand for food and nutrients in Tanzania," Agricultural Economics, Blackwell, vol. 31(1), pages 67-79, July.
    5. 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.
    6. Julie A. Caswell & Eliza M. Mojduszka, 1996. "Using Informational Labeling to Influence the Market for Quality in Food Products," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1248-1253.
    7. Louviere,Jordan J. & Hensher,David A. & Swait,Joffre D. With contributions by-Name:Adamowicz,Wiktor, 2000. "Stated Choice Methods," Cambridge Books, Cambridge University Press, number 9780521788304.
    8. Andrew Daly & Stephane Hess & Kenneth Train, 2012. "Assuring finite moments for willingness to pay in random coefficient models," Transportation, Springer, vol. 39(1), pages 19-31, January.
    9. Andreas C. Drichoutis & Panagiotis Lazaridis & Rodolfo M. Nayga, 2005. "Nutrition knowledge and consumer use of nutritional food labels," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 32(1), pages 93-118, March.
    10. Jayson L. Lusk & Darren Hudson, 2004. "Willingness-to-Pay Estimates and Their Relevance to Agribusiness Decision Making," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(2), pages 152-169.
    11. Louviere, Jordan J., 1991. "Experimental choice analysis: Introduction and overview," Journal of Business Research, Elsevier, vol. 23(4), pages 291-297, December.
    12. Scarpa, R. & Thiene, M. & Train, K., 2008. "Appendix to Utility in WTP space: a tool to address confounding random scale effects in destination choice to the Alps," American Journal of Agricultural Economics APPENDICES, Agricultural and Applied Economics Association, vol. 90(4), pages 1-9, January.
    13. Mhlanga, Saneliso & Naseem, Anwar, 2011. "Economic Analysis of Consumer Choices Based on Rice Attributes in the Food Markets of West Africa – The Case of Benin," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103795, Agricultural and Applied Economics Association.
    14. Moshe Ben-Akiva & Joffre Swait, 1986. "The Akaike Likelihood Ratio Index," Transportation Science, INFORMS, vol. 20(2), pages 133-136, May.
    15. Riccardo Scarpa & Mara Thiene & Kenneth Train, 2008. "Utility in Willingness to Pay Space: A Tool to Address Confounding Random Scale Effects in Destination Choice to the Alps," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(4), pages 994-1010.
    16. Brian R Chabowski & Saeed Samiee & G Tomas M Hult, 2013. "A bibliometric analysis of the global branding literature and a research agenda," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(6), pages 622-634, August.
    17. Jin, Zhongqi & Lynch, Richard & Attia, Samaa & Chansarkar, Bal & Gülsoy, Tanses & Lapoule, Paul & Liu, Xueyuan & Newburry, William & Nooraini, Mohamad Sheriff & Parente, Ronaldo & Purani, Keyoor & Ung, 2015. "The relationship between consumer ethnocentrism, cosmopolitanism and product country image among younger generation consumers: The moderating role of country development status," International Business Review, Elsevier, vol. 24(3), pages 380-393.
    Full references (including those not matched with items on IDEAS)

    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. Ana I. Sanjuán‐López & Helena Resano‐Ezcaray, 2020. "Labels for a Local Food Speciality Product: The Case of Saffron," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(3), pages 778-797, September.
    2. 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.
    3. Caputo, Vincenzina & Scarpa, Riccardo & Nayga, Rodolfo M. & Ortega, David L., 2018. "Are preferences for food quality attributes really normally distributed? An analysis using flexible mixing distributions," Journal of choice modelling, Elsevier, vol. 28(C), pages 10-27.
    4. Robert J. Johnston & Kevin J. Boyle & Wiktor (Vic) Adamowicz & Jeff Bennett & Roy Brouwer & Trudy Ann Cameron & W. Michael Hanemann & Nick Hanley & Mandy Ryan & Riccardo Scarpa & Roger Tourangeau & Ch, 2017. "Contemporary Guidance for Stated Preference Studies," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(2), pages 319-405.
    5. Broberg, Thomas & Daniel, Aemiro Melkamu & Persson, Lars, 2021. "Household preferences for load restrictions: Is there an effect of pro-environmental framing?," Energy Economics, Elsevier, vol. 97(C).
    6. Carson, Richard T. & Czajkowski, Mikołaj, 2019. "A new baseline model for estimating willingness to pay from discrete choice models," Journal of Environmental Economics and Management, Elsevier, vol. 95(C), pages 57-61.
    7. Ortega, David L. & Waldman, Kurt B. & Richardson, Robert B. & Clay, Daniel C. & Snapp, Sieglinde, 2016. "Sustainable Intensification and Farmer Preferences for Crop System Attributes: Evidence from Malawi’s Central and Southern Regions," World Development, Elsevier, vol. 87(C), pages 139-151.
    8. Weller, Priska & Elsasser, Peter, 2018. "Preferences for forest structural attributes in Germany – Evidence from a choice experiment," Forest Policy and Economics, Elsevier, vol. 93(C), pages 1-9.
    9. Caplan, Arthur J. & Akhundjanov, Sherzod B. & Toll, Kristopher, 2021. "Measuring heterogeneous preferences for residential amenities," Regional Science and Urban Economics, Elsevier, vol. 87(C).
    10. West, Grant H. & Snell, Heather & Kovacs, Kent & Nayga, Rodolfo M., 2020. "Estimation of the preferences for the intertemporal services from groundwater," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304220, Agricultural and Applied Economics Association.
    11. Teferi, Ermias Tesfaye & Kassie, Girma T. & Pe, Mario Enrico & Fadda, Carlo, 2020. "Are farmers willing to pay for climate related traits of wheat? Evidence from rural parts of Ethiopia," Agricultural Systems, Elsevier, vol. 185(C).
    12. Kemper, Nathan & Nayga, Rodolfo M. Jr. & Popp, Jennie & Bazzani, Claudia, 2016. "The Effects of Honesty Oath and Consequentiality in Choice Experiments," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235381, Agricultural and Applied Economics Association.
    13. Mohammed Hussen Alemu & Søren Bøye Olsen, 2020. "An analysis of the impacts of tasting experience and peer effects on consumers’ willingness to pay for novel foods," Agribusiness, John Wiley & Sons, Ltd., vol. 36(4), pages 653-674, October.
    14. Riccardo Scarpa & Cristiano Franceschinis & Mara Thiene, 2017. "A Monte Carlo Evaluation of the Logit-Mixed Logit under Asymmetry and Multimodality," Working Papers in Economics 17/23, University of Waikato.
    15. Bliemer, Michiel C.J. & Rose, John M., 2013. "Confidence intervals of willingness-to-pay for random coefficient logit models," Transportation Research Part B: Methodological, Elsevier, vol. 58(C), pages 199-214.
    16. Yang, Yang & Hobbs, Jill E. & Natcher, David C., 2020. "Assessing consumer willingness to pay for Arctic food products," Food Policy, Elsevier, vol. 92(C).
    17. Ozge Dinc‐Cavlak & Ozlem Ozdemir, 2021. "Comparing the willingness to pay through three elicitation mechanisms: An experimental evidence for organic egg product," Agribusiness, John Wiley & Sons, Ltd., vol. 37(4), pages 782-803, October.
    18. Mariel, Petr & Meyerhoff, Jürgen, 2018. "A More Flexible Model or Simply More Effort? On the Use of Correlated Random Parameters in Applied Choice Studies," Ecological Economics, Elsevier, vol. 154(C), pages 419-429.
    19. Ajayi, V. & Reiner, D., 2020. "Consumer Willingness to Pay for Reducing the Environmental Footprint of Green Plastics," Cambridge Working Papers in Economics 20110, Faculty of Economics, University of Cambridge.
    20. De Salvo, Maria & Scarpa, Riccardo & Capitello, Roberta & Begalli, Diego, 2020. "Multi-country stated preferences choice analysis for fresh tomatoes," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 9(3), December.

    More about this item

    Keywords

    Consumer/Household Economics;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:iaae18:277459. 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/iaaeeea.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.