Assessment of Factors Influencing Consumers’ Willingness to Pay for Organic Chicken in Urmia

Subject Areas : Agricultural Economics Research

SH Amiyan ¹ (Rural Development Graduate Student, University of Guilan)
محمد Kavoosi Kalashami ² (Assistant Professor of Agricultural Economics, College of Agriculture, University of Guilan.)
زهرا Amir ³ (Assistant Professor of Agricultural Economics, College of Agriculture, University of Guilan.)
سیامک Gheibi ⁴ (Assistant Professor of Food Science, Faculty of Agriculture, University of Guilan.)

Received: 2017-07-11 Accepted : 2017-12-16 Published : 2017-11-22

Keywords: Contingent Valuation, Willingness to pay, Ordered-Logit Model, Organic Products, Urmia city,

Abstract :

Food and food security is one of the most essential challenges for the
increasing population of the world. Informing about the dangers of the
application of antibiotics in poultry farming can encourage consumers
towards healthier products and the production of organic chicken. The
factors underpinning the adoption and consumption of organic chicken
were explored by contingency valuation method and Tobit model. Data
were collected with a self-designed questionnaire administered among
283 citizens in Urmia, Iran sampled by Mischel and Carson’s technique
in spring of 2015. The results showed that people who were more aware
of the benefits of organic chicken and had better attitude towards general
purchase component, healthy purchase component and the awareness of
the dangers of hormones and antibiotics exhibited more willingness to
consume these products. The frequency of chicken consumption per
week had a positive, significant impact on willingness to pay for organic
chicken. The expected value of more willingness to pay per kg organic
chicken was estimated at 33.92% as compared to industrial chicken as
the output of Tobit model revealed. Consequently, the more the
consumers are educated about nutrition and health of agricultural
products, the higher their willingness would be to pay for organic
products.

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