Factors Affecting Consumers' Willingness to Pay for Geographically Indicated Products: The Case of Niksar Walnut

Abstract

Undoubtedly, supply demand balance must be ensured for the development of geographically indications products. In order to increase the demand for geographically indications products, firstly, consumers should be aware of the geographically indications products and have information about the benefits and advantages of these products. Undoubtedly, as with other agricultural products, price is also an important issue for purchases in geographical indications products. Therefore, it was aimed to determine the factors affecting consumers' willingness to pay for geographical indications products in the Tokat province. For this purpose, face to face survey was conducted with 382 consumers. It was determined that 49,21% of the consumers who participated in the research wanted to pay more price for a product with a geographical indications label. According to the results of the probit analysis, a positive relation was found between awering that Niksar walnut is a geographical indications product and the willingness to pay for geographical indications products. However, a negative correlation was found between monthly food expenditure and tendency to pay for geographical indications products.