What Is the Possibility of Commercializing African Indigenous Crops?—The Case of Ethiopia

Abstract

Africa has a rich diversity of indigenous crops whose commercial and economic value have been underutilized. Eragrostis tef is a crop with great potential for production and commercialization in Ethiopia. The nutritional and curative values of tef are recognized not only in Ethiopia but also in the global market. Economically, tef and its value chain are a source of livelihood for more than six million small-scale Ethiopian farmers. Its large-scale commercialization has the potential to transform the livelihoods of many impoverished people. However, little research has been conducted to assess Ethiopian consumers’ attitudes toward tef products. The objective of this study is to understand product attributes that would affect consumer purchasing decisions. The study is based on pasta and baby food, the two most important products that could be made out of tef. The attributes analyzed are the inclusion of tef in the products, price, organic certification, and brand origin. The study relies on survey data that were randomly collected from 318 respondents and secondary data from the central statistical agency. The attributes were subjected to conjoint analysis, a method that is commonly used in consumer market research with hypothetical products consisting of multiple attributes to understand customers’ preference for different components of the product. The results of the analysis show that the inclusion of tef flour in the products is the most important factor consumers would consider when buying pasta or baby food. Further, consumers are interested in brand origin as they have a strong inclination to buy domestic brands and prefer products with organic certification. In the case of baby food, Ethiopians are likely to buy products containing more tef flour, packaged in sealed can rather than a paper bag, and concentrated in iron or protein. However, they are less willing to pay a premium even for products they perceive to be of greater utility. The preference for domestic brands and processed food with tef implies that there is opportunity for local brands to grow if they can understand and satisfy consumer expectations. It also means that consumers are interested in business practices that promote sustainable livelihoods. Overall, these findings suggest the potential for commercialization of tef products in Ethiopia and that the development of its value chain could combat nutritional deficiencies in the country.