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Farmer willingness to pay for seed-related information: rice varieties in Nigeria and Benin

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  • HORNA, J. DANIELA
  • SMALE, MELINDA
  • OPPEN, MATTHIAS VON

Abstract

This study examines farmers’ preferences for seed of new rice varieties (improved and NERICA) and their willingness to pay (WTP) for information embodied in the seed, in villages of Nigeria and Benin. Information might not generate rivalry among its users but excludability is certainly a characteristic of information and its delivery can generate incentives for private participation. Conjoint utility analysis is used to estimate the structure of farmers’ preferences for rice seed. Farmers prefer one variety based on the utility they obtain from its attributes, which depends on their own social and economic characteristics. Contingent methods are used to elicit preferences and rice seed price. The marginal values of attributes are estimated with an ordered probit regression. The WTP for seed-related information is derived from the utility model. The results have implications for the best way to finance extension services in the areas of intervention, particularly for new rice varieties.

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  • Horna, J. Daniela & Smale, Melinda & Oppen, Matthias Von, 2007. "Farmer willingness to pay for seed-related information: rice varieties in Nigeria and Benin," Environment and Development Economics, Cambridge University Press, vol. 12(06), pages 799-825, December.
  • Handle: RePEc:cup:endeec:v:12:y:2007:i:06:p:799-825_00
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    2. Linacre, Nicholas & Falck-Zepeda, José & Komen, John & MacLaren, Donald, 2006. "Risk assessment and management of genetically modified organisms under Australia's Gene Technology Act:," EPTD discussion papers 157, International Food Policy Research Institute (IFPRI).
    3. Taneja, Garima & Pal, Barun Deb & Joshi, Pramod Kumar & Aggarwal, Pramod & Tyagi, N.K., 2014. "Farmers’ preferences for climate-smart agriculture an assessment in the Indo-Gangetic plain:," IFPRI discussion papers 1337, International Food Policy Research Institute (IFPRI).
    4. Raghu, Prabhakaran T. & Das, Sukanya & Ravi, S. Bala & King, E.D. Israel Oliver, 2012. "Use of Contingent Valuation to Assess Farmer Preference for On-farm Conservation of Minor Millets: Case from South India," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 67(3).
    5. Probst, Lorenz & Houedjofonon, Elysée & Ayerakwa, Hayford Mensah & Haas, Rainer, 2012. "Will they buy it? The potential for marketing organic vegetables in the food vending sector to strengthen vegetable safety: A choice experiment study in three West African cities," Food Policy, Elsevier, vol. 37(3), pages 296-308.
    6. Paul J. Block & Kenneth Strzepek & Mark W. Rosegrant & Xinshen Diao, 2008. "Impacts of considering climate variability on investment decisions in Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 39(2), pages 171-181, September.
    7. Sukanya Das & S. Bala Ravi & Prabhakaran T. Raghu, 2015. "Assessing Farmer's Willingness to Participate in the On-farm Conservation of Minor Millet using Direct Compensation Payment," Working Papers id:7733, eSocialSciences.
    8. Takeshima, Hiroyuki, 2014. "Importance of rice research and development in rice seed policies: Insights from Nigeria:," IFPRI discussion papers 1343, International Food Policy Research Institute (IFPRI).
    9. Falck-Zepeda, Jose Benjamin & Gruère, Guillaume P. & Sithole-Niang, Idah (ed.), 2013. "Genetically modified crops in Africa: Economic and policy lessons from countries south of the Sahara," IFPRI books, International Food Policy Research Institute (IFPRI), number 978-0-89629-795-1.
    10. Raghu, P.T. & Das, S. & Ravi, S.B. & King, E.D.I.O, 2012. "Use of Contingent Valuation to Assess Farmer Preference for On-farm Conservation of Minor Millets: Case from South India," MPRA Paper 43348, University Library of Munich, Germany.
    11. Gruère, Guillaume & Giuliani, Alessandra & Smale, Melinda, 2006. "Marketing underutilized plant species for the benefit of the poor: a conceptual framework," EPTD discussion papers 154, International Food Policy Research Institute (IFPRI).
    12. Garima Taneja & Barun Deb Pal & Pramod K. Joshi & Pramod K. Aggarwal & N. K. Tyagi, 2014. "Farmers’ Preferences for Climate-Smart Agriculture: An Assessment in the Indo-Gangetic Plain," Working Papers id:5806, eSocialSciences.
    13. Gruère, Guillaume P., 2006. "An analysis of trade related international regulations of genetically modified food and their effects on developing countries:," EPTD discussion papers 147, International Food Policy Research Institute (IFPRI).
    14. Takeshima, Hiroyuki & Nagarajan, Latha & Salau, Sheu & Oyekale, Abayomi, 2010. "Nigerian farmers’ preferences on the timing of the purchase of rice, cowpea, and maize seeds:," NSSP working papers 20, International Food Policy Research Institute (IFPRI).
    15. Ulimwengu, John & Sanyal, Prabuddha, 2011. "Joint estimation of farmers' stated willingness to pay for agricultural services:," IFPRI discussion papers 1070, International Food Policy Research Institute (IFPRI).
    16. Prabhakaran Raghu & Sukanya Das & S. Ravi & E.D.Israel King, 2013. "Assessing Farmer ’s Willingness to Participate in the On - farm Conservation of Minor Millet using Direct Compensation Payment," Working Papers id:5329, eSocialSciences.
    17. Villegas, Laura & Smith, Vincent H. & Atwood, Joe & Belasco, Eric, 2. "Does Participation In Public Works Programs Encourage Fertilizer Use In Rural Ethiopia?," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 4(2).
    18. Caroline Mugure, Muchiri, 2012. "Economic Assessment of Losses Due to Fruit Fly Infestation in Mango and the Willingness to Pay for an Integrated Pest Management Package in Embu District, Kenya," Research Theses 243461, Collaborative Masters Program in Agricultural and Applied Economics.
    19. Dongmei Li & Mingming Liu & Guoyan Deng, 2010. "Willingness and determinants of farmers'adoption of new rice varieties," China Agricultural Economic Review, Emerald Group Publishing, vol. 2(4), pages 456-471, November.
    20. Meinzen-Dick, R., 2010. "Engendering agricultural research," IWMI Working Papers H043604, International Water Management Institute.
      • Meinzen-Dick, Ruth & Quisumbing, Agnes & Behrman, Julia & Biermayr-Jenzano, Patricia & Wilde, Vicki & Noordeloos, Marco & Ragasa, Catherine & Beintema, Nienke, 2010. "Engendering agricultural research," IFPRI discussion papers 973, International Food Policy Research Institute (IFPRI).
    21. Prabhakaran T. Raghu & Sukanya Das & S. Bala Ravi & E.D.Israel Oliver King, 2012. "Assessing Farmer’s Willingness to Participate in the On-farm Conservation of Minor Millet using Direct Compensation Payment," Working Papers 2012-073, Madras School of Economics,Chennai,India.
    22. Labarta, Ricardo A., 2009. "Are small Sub-Sahara African farmers willing to pay for vegetative propagated orange fleshed sweetpotato planting material? Evidence from Central Mozambique," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49447, Agricultural and Applied Economics Association.
    23. Takeshima, Hiroyuki & Oyekale, Abayomi & Olatokun, Segun & Salau, Sheu, 2010. "Demand characteristics for improved rice, cowpea, and maize seeds in Nigeria: Policy implications and knowledge gaps," NSSP working papers 16, International Food Policy Research Institute (IFPRI).
    24. Di Falco, Salvatore & Chavas, Jean-Paul & Smale, Melinda, 2006. "Farmer management of production risk on degraded lands: the role of wheat genetic diversity in Tigray Region, Ethiopia," EPTD discussion papers 153, International Food Policy Research Institute (IFPRI).
    25. Smale, Melinda & Zambrano, Patricia & Falck-Zepeda, José & Gruère, Guillaume, 2006. "Parables: applied economics literature about the impact of genetically engineered crop varieties in developing economies," EPTD discussion papers 158, International Food Policy Research Institute (IFPRI).

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