Economics and Marketing
Toktam Mohtashami
Abstract
Given the importance of saffron corms in improving crop yields, it is necessary to supply standard corms that meet the standards required to ensure high yields, especially in the early years of cultivation. Given that currently, there is no official market for this product (standard corm), this study ...
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Given the importance of saffron corms in improving crop yields, it is necessary to supply standard corms that meet the standards required to ensure high yields, especially in the early years of cultivation. Given that currently, there is no official market for this product (standard corm), this study attempted to use the conditional valuation method to measure the maximum willingness to pay of saffron farmers for this non-marketed product, while investigate the factors affecting the selection of this type of corms. The study population consisted of 150 saffron growers in Torbat Heydariyeh and Zaveh area of Razavi Khorasan province. Using Multiple Logit Model to determine factors affecting the selection of one of the certified saffron corms (Type A, corm weighing 5-10 g and up to 60% flowering in the first year, Type B corm weighing 10-15 g and 80% flowering in the first year, Type C corms weighing 15-20 g and up to 90% flowering in the first year, Type D corms weighing more than 20 g and more than 90% flowering in the first year), it was found that increase in education, area, pre-crop treatment and having a lateral occupation significantly increases the probability of selecting corms type A. In contrast, increasing of age and onion weight decreases the likelihood of selection of these corms. Likewise, in selection of B and C corms, education, area of cultivation, lateral occupation, age and pre-cultivation treatment were found to be significant and effective. After estimating the parameters of the Multi Logit model, the expected mean value of willingness to pay (WTP) was set at 82500 Rials, which is higher than the current average price of corms available on the market indicating that saffron growers are willing to pay more for these certified corms.
