DETERMINANTS OF CONSUMER WILLINGNESS TO PAY FOR CERTIFIED SAFE VEGETABLES

Abstract

Vegetable production in urban and peri-urban areas involves use of wastewater for irrigation and agrochemicals, which pose risks to consumers’ health. To some degree, certification assures con-sumers of food safety. Certification is costly, requiring consumers to, at least partially, bear the cost. Consumer willingness to pay for certified vegetables was examined in Tamale, Ghana, based on a survey of 300 consumers using the contingent valuation method.Young, well-educated, and affluent consumers would pay price premiums for certified vegetables. A differentiated market could target educated and wealthy households when introducing certified vegetables. Consumer trust in local certification institutions need to be enhanced in Tamale. Consumers are willing to pay price premium for certified safe vegetables to avoid health-related risks associated with use of wastewater for irrigation and agrochemicals.