Households’ consumption willingness for locally processed rice in Kogi State, Nigeria

A.O. Ojo, O.M. Animoku, M.A. Ojo

Department of Agricultural Economics and Extension Technology, Federal University of Technology, P.M.B. 65, Minna, Niger State, Nigeria

(Manuscript received 1 November 2018; accepted for publication 4 March 2019)

Abstract. Importation of rice in Nigeria discourages local production and hinders the realization of the self-sufficiency goal of the Nigerian Government. With improvement in processing technology and information on its health benefits, consumers of rice are gradually shifting ground for locally produced rice. Hence, this paper explores the priority of local rice in household food expenditure in Kogi State, Nigeria. Simple randomized sampling technique was used to select a sample of 120 respondents. Primary data were sourced from civil servants within the locality. Statistical tools involved descriptive statistics and regression models for the assessment of the households’ attitude, their monthly expenditure, determinants of consumption preference and demand for local rice. The findings revealed that the majority of the households preferred local rice due to the good health benefits and palatability, among others. About 58.3% of the households spent ₦20000 – ₦40000 (1 NGN = 0.0028 USD) on food while 72.2% spent about ₦5000 on local rice monthly. Household income, household size, age, taste, expenditure on food and non-food were the main factors that affected preference for local rice. The study also indicated that local rice in the study area was price elastic and income inelastic. Increased awareness of the nutritional benefits of local rice and its quality improvement has increased the consumers’ preference for local rice in the area.