Promoting Organic Production & Consumption: A Case of Punjab, Pakistan

Abstract

The study seeks to investigate the impact of major determinants influencing marketing potential and consumer’s willingness to pay for organic vegetables in Punjab, Pakistan. In this regard, two districts (Lahore and Toba Tek Singh) were selected purposively. Information was collected for the main organic vegetables. Convenient sampling technique was used to collect data because limited numbers of respondents were available. A sample size of 50 organic farmers (25 from each district) and 50 consumers (25 from each district) was selected. Multivariate regression analysis was employed to identify and evaluate the effects of marketing potential (farmers) and the consumer’s willingness to pay for organic vegetables in the study area. According to selected organic vegetable growers’ potential existed for the organic vegetables farming in the country and major variables influencing significantly the market potential for organic vegetables as income, price, no pesticide residues whereas hygienic food and more nutrients in the organic vegetables affecting insignificantly the market potential for organic vegetables in the study area. The relationship between the dependent variable (demand for organic vegetables) and independent variables (income, hygienic food, price, pesticide residues and more nutrients in the organic vegetables) was estimated by using a regression model. On the other hand, a consumer survey was conducted in order to delineate the effect of consumer’s willingness to pay for organic vegetables in the selected area. The findings of the research depicted that no synthetic pesticide residues, appearance and prices of organic vegetables influencing significantly the consumer’s willingness to pay for organic vegetables whereas quality, long shelf life and taste affecting insignificantly the consumer’s willingness to pay for organic vegetables in the study area. The price of the organic vegetables should be low that’s why every consumer will purchase organic vegetables instead of conventional vegetables. It should be assured by the government that there are no pesticide residues in the organic vegetables. The farming community may be motivated to produce quality seeds of organic vegetables. A pilot farming program should be initiated with joint involvement of public and private sectors.