Consumer preference for rice quality characteristics in Accra and the effects of these preferences on price

Abstract

Consumer preferences for quality characteristics of rice in Accra have specific effects on the price of rice. Statistical analysis of the relationship between income and education of consumers and the quality of rice they prefer, reveal a significant relationship between income and education on shape and aroma. Also, taste, retail price and absence of foreign matter are the quality attributes that most consumers prefer. Low percentage broken, type of packaging and advertisement are the factors least cited by consumers as influencing their choice of rice in Accra. A hedonic price estimation model reveals that consumers of rice in Accra pay highest premiums for taste, aroma and shape. Consumers also pay some premium for smaller percentage broken and scarcity of a type of rice in the market. Any breeding programme for rice for Ghanaian markets should emphasize on the inherent quality characteristics consumers are sensitive to and these include taste, swelling capacity, aroma, cooking time, and shape. Processors and marketers should aim at reducing breakage of grain and levels of foreign matter in the final product. Extension systems should incorporate the production of quality rice in their messages to farmers, processors and traders.