The determinants of willingness to pay for organic fertilizers: the case of smallholder vegetable farmers in Mpumalanga, South Africa

Abstract

The extensive use and production of chemical fertilizers poses a threat to the environment. Smallholder farmers in South Africa are characterized by low productivity. The adoption of sustainable agricultural practices such as the use of organic fertilizer is crucial. Although there have been studies on the adoption of organic fertilizer, the socio-economic factors determining the farmer’s willingness to pay remain unclear. Therefore, this study was aimed at investigating the factors that affect willingness to pay for organic fertilizers by smallholder vegetable farmers. The study was arranged as a cross-sectional design where the data was collected using structured questionnaires from 131 randomly selected registered smallholder vegetable farmers. The collected data was analyzed using both descriptive statistics and a binary logistic regression model. The findings revealed that 61.83% of farmers were female and 38.17% male. In addition, the findings also indicate that 61.83% of the farmers were adults above the age of 35. Furthermore, the findings revealed that 70.23% of the farmers were willing to pay for organic fertilizers, suggesting a demand for organic fertilizers. The binary logistic results show that level of education (0.071), amount spent on fertilizer (0.043), and if challenges were encountered when using organic fertilizers (0.044), were positively influencing WTP, increasing WTP for organic fertilizers. These findings conclude that education is a major barrier in WTP for organic fertilizers. Therefore, it is recommended that farmers are educated on the benefits of organic fertilizers and procedures of application, including curing or organic manure for safe application in the field. Due to the high percentage of farmers willing to pay for organic fertilizers, it is recommended that organic fertilizers be commercialized for a stable supply to meet demand.