Producer valuation of Geographical Indications-related attributes of export crops in Kenya: A choice experiment analysis

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Date
2019
Authors
Maina, F.W.,
Ackello-Ogutu, C.,
Mburu, J.
Egelyng, H.
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Africa’s agricultural development beyond 2020 Vision
Abstract
Globally, there is an increase in the protection of unique products as geographical indications (GI). GI provide consumers with information on product quality, reducing information asymmetry and creating opportunities for increased producer prices. Differentiating products based on production region is evident in the export market of beverage crops. Promotion of GIs is dependent on, among others, the products comparative advantage, producer preferences and market demand, generating considerable surplus to the producers. The objective of the study was to determine producers’ valuation of attributes related to protection of export commodities as GI in Kenya. The study focused on Murang’a coffee (n=135), and Kirinyaga tea (n=137). Producers were given efficient choice sets with market and institutional attributes. From the analysis, coffee producers were more likely to register their commodities as geographical indications protected at regional level and having a minimum guaranteed return. Tea producers valued minimum guaranteed return most but preferred factory level protection. Tea producers were less likely to protect their products with GI compared to coffee producers. Protection of export commodities as GI may provide solution to reducing marketing and pricing challenges to producers. However, as shown by the tea analysis, efficient field and factory management should also be evident.
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Maina, F.W., Ackello-Ogutu, C., Mburu, J. and Egelyng, H. (2019). Producer valuation of Geographical Indications-related attributes of export crops in Kenya: A choice experiment analysis. Presented at 6th African Conference of Agricultural Economists on Rising to meet new challenges: Africa’s agricultural development beyond 2020 Vision
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