Farmers' willingness to pay for private agricultural advisory services: the case of citrus growers in the Mitidja, Algeria

Description of the subject. In Algeria, agricultural advice tends to diversify and intensify as farmers’ needs become more specific. Objectives. The article aims to examine farmers' willingness to pay (WTP) for agricultural advisory services in a context of growing privatization. The goal is also to better understand the farmers’ advisory needs, their motivation and the socio-economic factors that influence the ability to afford privatized advice. Method. The study concerned citrus production and involved 362 farmers in the Mitidja plain (121 in the wilaya of Boumerdes, 241 in Blida). This study uses the contingent valuation method to estimate farmers' WTP for agricultural advice combined with an Ordinary Least Square model to analyze its determinants. Results. The results indicate that 90% of farmers are willing to pay for private advice, with an average estimated willingness to pay (WTP) of 1,269 DZD (9.42 $) per visit. The WTP is positively conditioned by the level of specialization in crop production, household size, the farmer’s level of education, the efficiency of the advisors and the satisfaction with the service. Additionally, it was found that farmers primarily seek advice on disease treatment and fertilizer use. Conclusions. This study demonstrates that the privatization of agricultural advisory services is possible in Algeria, provided that the advisory supply aligns farmers’ needs.