Examining Gender Differences in Willingness to Pay for Climate-Resilient Coffee Varieties among Smallholder Farmers in the Eastern Sidama Zone, Ethiopia

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Abstract

Climate change threatens smallholder coffee farmers’ livelihoods in Ethiopia, creating high demand for climate-resilient coffee technologies. This study investigates smallholder coffee farmers’ willingness to pay (WTP) for improved, climate-resilient coffee varieties and examines gender-based differences in demand in the Eastern Sidama Zone, Ethiopia. Using a contingent valuation method with a double-bounded dichotomous choice format, the overall mean WTP for tree was estimated at ETB 8.10, with a 95% confidence interval of ETB 5.88–9.99, indicating a positive and statistically significant WTP at the 1% level. Disaggregated by household headship, male-headed households exhibited a mean WTP of ETB 5.45, while female-headed households showed a substantially higher mean WTP of ETB 13.40, with narrower confidence intervals for women, implying more precise estimates. Econometric results from a bivariate probit model show that education, age, coffee farm size, and smartphone ownership increase WTP, while higher initial bid levels, off-farm income, and larger family size reduce it. These findings imply strong latent demand for climate-resilient coffee varieties and underscore pronounced gender differences in valuation, with female-headed households demonstrating greater readiness to invest. Policy implications include the need for gender-responsive pricing and subsidy schemes, targeted extension and training for women farmers, and leveraging digital tools to disseminate information on improved varieties. Incorporating these insights into breeding, dissemination, and credit programs can enhance adoption of climate-resilient coffee technologies and strengthen the livelihoods and resilience of smallholder farmers.

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