Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda

There is a great potential to close the nutrient recycling loop, support a ‘circular economy’ and improve cost recovery within the waste sector and to create viable businesses via the conversion of waste to organic fertilizers. Successful commercialization of waste-based organic fertilizer businesse...

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Main Authors: Danso, George K., Otoo, Miriam, Ekere, W., Ddungu, S., Madurangi, Ganesha
Format: Journal Article
Language:Inglés
Published: MDPI 2017
Subjects:
Online Access:https://hdl.handle.net/10568/89142
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author Danso, George K.
Otoo, Miriam
Ekere, W.
Ddungu, S.
Madurangi, Ganesha
author_browse Danso, George K.
Ddungu, S.
Ekere, W.
Madurangi, Ganesha
Otoo, Miriam
author_facet Danso, George K.
Otoo, Miriam
Ekere, W.
Ddungu, S.
Madurangi, Ganesha
author_sort Danso, George K.
collection Repository of Agricultural Research Outputs (CGSpace)
description There is a great potential to close the nutrient recycling loop, support a ‘circular economy’ and improve cost recovery within the waste sector and to create viable businesses via the conversion of waste to organic fertilizers. Successful commercialization of waste-based organic fertilizer businesses however largely depends on a sound market. We used a choice experiment to estimate farmers’ willingness-to-pay (WTP) for faecal sludge and municipal solid waste-based (FSM) compost in Kampala, Uganda and considered three attributes—fortification, pelletization and certification. Our results reveal that farmers are willing to pay for FSM compost and place a higher value on a ‘certified’ compost product. They are willing to pay US $0.4 per kg above the current market price for a similar certified product, which is 67 times higher than the cost of providing the attribute. Farmers are willing to pay US $0.127 per kg for ‘pelletized’ FSM compost, which is lower (0.57 times) than the cost of providing the attribute. On the other hand, farmers require US $0.089 per kg as a compensation to use ‘fortified’ FSM compost. We suggest that future FSM compost businesses focus on a ‘certified and pelletized’ FSM product as this product type has the highest production cost–WTP differential and for which future businesses can capture the highest percentage of the consumer surplus. The demand for FSM compost indicates the benefits that can accrue to farmers, businesses and the environment from the recycling of organic waste for agriculture.
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spelling CGSpace891422025-02-24T06:54:18Z Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda Danso, George K. Otoo, Miriam Ekere, W. Ddungu, S. Madurangi, Ganesha faecal sludge urban wastes solid wastes composts willingness to pay nutrients resource recovery cost recovery organic fertilizers farmer participation economic aspects There is a great potential to close the nutrient recycling loop, support a ‘circular economy’ and improve cost recovery within the waste sector and to create viable businesses via the conversion of waste to organic fertilizers. Successful commercialization of waste-based organic fertilizer businesses however largely depends on a sound market. We used a choice experiment to estimate farmers’ willingness-to-pay (WTP) for faecal sludge and municipal solid waste-based (FSM) compost in Kampala, Uganda and considered three attributes—fortification, pelletization and certification. Our results reveal that farmers are willing to pay for FSM compost and place a higher value on a ‘certified’ compost product. They are willing to pay US $0.4 per kg above the current market price for a similar certified product, which is 67 times higher than the cost of providing the attribute. Farmers are willing to pay US $0.127 per kg for ‘pelletized’ FSM compost, which is lower (0.57 times) than the cost of providing the attribute. On the other hand, farmers require US $0.089 per kg as a compensation to use ‘fortified’ FSM compost. We suggest that future FSM compost businesses focus on a ‘certified and pelletized’ FSM product as this product type has the highest production cost–WTP differential and for which future businesses can capture the highest percentage of the consumer surplus. The demand for FSM compost indicates the benefits that can accrue to farmers, businesses and the environment from the recycling of organic waste for agriculture. 2017 2017-10-31T08:31:09Z 2017-10-31T08:31:09Z Journal Article https://hdl.handle.net/10568/89142 en Open Access MDPI Danso, G. K.; Otoo, Miriam; Ekere, W.; Ddungu, S.; Madurangi, Ganesha. 2017. Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda. Resources, 6(3):1-17. doi: 10.3390/resources6030031
spellingShingle faecal sludge
urban wastes
solid wastes
composts
willingness to pay
nutrients
resource recovery
cost recovery
organic fertilizers
farmer participation
economic aspects
Danso, George K.
Otoo, Miriam
Ekere, W.
Ddungu, S.
Madurangi, Ganesha
Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title_full Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title_fullStr Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title_full_unstemmed Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title_short Market feasibility of faecal sludge and municipal solid waste-based compost as measured by farmers’ willingness-to-pay for product attributes: evidence from Kampala, Uganda
title_sort market feasibility of faecal sludge and municipal solid waste based compost as measured by farmers willingness to pay for product attributes evidence from kampala uganda
topic faecal sludge
urban wastes
solid wastes
composts
willingness to pay
nutrients
resource recovery
cost recovery
organic fertilizers
farmer participation
economic aspects
url https://hdl.handle.net/10568/89142
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