Epsilon Archive for Student Projects

Abstract

Consumer concerns about food safety are growing, and there is an increasing demand for quality fruits and vegetables. As such, fruit control procedures and standards should be based on understanding consumers’ choices and preferences. However, not much is known about what consumers are willing to pay for food safety attributes of fruits and vegetables, particularly in developing countries. The purpose of this study was to determine consumers' preferences and willingness to pay for food safety attributes of nectarines in the Polokwane municipality area of Limpopo, South Africa. A discrete choice experiment was employed to assess consumer preferences for nectarine attributes, namely, appearance, food safety certification, country of origin, and price. Primary data was collected through face-to-face interviews using a structured questionnaire from 152 participants in various supermarket chains around the Polokwane Municipality. A conditional logit model was utilized for the data analysis. Results show that consumers prefer and are willing to pay R27.70 more for nectarines that are produced in South Africa relative to nectarines that are imported. They are also willing to pay R16.63 more for nectarines that have a label that communicates information on the safety checks done by health officials relative to no communication received from them. Furthermore, consumers are willing to pay R12.28 less for nectarines that were bruised relative to nectarines that were wholesome looking. Consumer characteristics such as age and income significantly impact the willingness to pay for food safety attributes of nectarines. If policymakers and supermarket chains can effectively react to changes in consumer demand, it can result in new business opportunities. This study’s results will contribute richly to the discourse on overcoming food safety challenges through more stringent regulations and policies, such as an efficient food labelling system.