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Consumers’ Willingness to Pay for Cassava Flour Inclusion in Bread, a Case Study of Lagos State, Nigeria

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  • Erih, E. A.
  • Oni, O. A.
  • Fashogbon, A. E.

Abstract

The study was conducted to address the issue of consumers’ willingness to pay for inclusion of cassava flour in bread in Lagos State. The data were collected randomly from a sample of 300 respondents in the state through the use of a well structured questionnaire. The contingent valuation method was adopted to estimate both the mean willingness to pay of consumers and the factors that affect their willingness to pay and these were analyzed using the bivariate probit model. The most significant model was the 10percent cassava flour inclusion as it has the highest number of significant variables (eight) followed by 20percent cassava flour inclusion with seven significant variables and 30 and 40percent cassava flour inclusion with six significant variables each. The factors that influenced consumers’ willingness to pay for CCW bread were the respondent’s age, gender, respondents’ awareness, married respondents, respondents with head position,and bread share which is the proportion of respondents income spent on bread to total income. The mean willingness to pay for bread with an inclusion of cassava flour at 10, 20, 30, and 40percent cassava flour inclusion were ?172.70, ?165.00, ?154.07, and ?142.78 respectively for initial bid while the mean willingness-to-pay at 10, 20, 30, and 40percent cassava flour inclusion were ?180.20, ?150.41, ?143.35, and ?127.36 respectively for subsequent bid. Arising from the result of this study, birth control policies were recommended among respondents in the study area.

Suggested Citation

  • Erih, E. A. & Oni, O. A. & Fashogbon, A. E., 2015. "Consumers’ Willingness to Pay for Cassava Flour Inclusion in Bread, a Case Study of Lagos State, Nigeria," Sustainable Agriculture Research, Canadian Center of Science and Education, vol. 4(2).
    • Handle: RePEc:ags:ccsesa:230399
    DOI: 10.22004/ag.econ.230399
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    References listed on IDEAS

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    1. Negrín, Miguel A. & Pinilla, Jaime & León, Carmelo J., 2008. "Willingness to pay for alternative policies for patients with Alzheimer’s Disease," Health Economics, Policy and Law, Cambridge University Press, vol. 3(3), pages 257-275, July.
    2. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555, January.
    3. Watson, Verity & Ryan, Mandy, 2007. "Exploring preference anomalies in double bounded contingent valuation," Journal of Health Economics, Elsevier, vol. 26(3), pages 463-482, May.
    4. Adepoju, Abimbola O. & Oyewole, Olaniyi O., 2013. "Households’ Perception And Willingness To Pay For Bread With Cassava Flour Inclusion In Osogbo Metropolis, Osun State, Nigeria," 2013 Fourth International Conference, September 22-25, 2013, Hammamet, Tunisia 160285, African Association of Agricultural Economists (AAAE).
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    Cited by:

    1. Innocent, Kwagala, 2018. "Consumer Acceptance And Willingness To Pay For Shelf Life Extended Fresh Cassava Roots In Uganda: Case Of Kampala District," Research Theses 276439, Collaborative Masters Program in Agricultural and Applied Economics.

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