Consumers’ Preferences and Willingness to Pay (WTP) for Traceable Liquid Milk: A Survey in Dhaka, Bangladesh

Abstract

ABSTRACT Consumers’ concerns about food safety have recently escalated in many developing nations as a result of repeated food safety incidents. Many countries, including Bangladesh, are trying to introduce more stringent food safety control measures such as food traceability. However, not much is known about the preferences of Bangladeshi consumers for food traceability, including whether they are willing to pay for traceable foods. This study attempts to fill this gap by evaluating factors that may influence consumers’ preferences and WTP for traceable liquid milk. Based on survey data obtained from 384 consumers in Dhaka in 2021, our results indicate that consumers are ready to pay almost 12% price premium for traceable liquid milk than for non-traceable liquid milk. Interval regression analysis reveals that international third-party certification, branding, price, information on contaminants, income, and milk consumption are important factors in determining consumers’ WTP for traceable liquid milk.