Fertilizer Price Hikes, Willingness to Pay, and Crop Switching

Fertilizer is a critical input for crop productivity, but price volatility poses challenges for farmers. Recent fertilizer price hikes in Ghana have forced households to reconsider input use, crop choices, and willingness to pay. This study examines how price shocks influence farmer decisions, including crop switching to less input-intensive alternatives. The broader challenge is that fertilizer price volatility undermines productivity and food security. Poor households are disproportionately affected, reducing input use and shifting to low-input crops. Understanding willingness to pay and crop switching behavior is critical for designing policies that stabilize input markets.

Household survey data was collected to capture fertilizer use, willingness to pay, and crop choice under price shocks. Econometric models were applied to measure the impact of price hikes on input use and crop switching. Qualitative interviews provided insights into farmer perceptions of fertilizer affordability and coping strategies. Comparative analysis was conducted across income groups to capture heterogeneity in responses. This dual approach ensured findings were both statistically rigorous and contextually grounded.