The study used contingent valuation to solicit monetary values from researchers and farmers on how much they were willing to sell and buy agricultural innovations from research respectively. A probit model was then employed to identify the determinants of researchers’ willingness to sell innovations from research. Furthermore, a multivariate (MV) probit model was estimated to explain key determinants of farmers’ willingness to pay (WTP) for such innovations (technologies). Multi-stage sampling methods were used to obtain data from 360 farmers and 51 research scientists for the study. Though majority of farmers were willing to pay for agricultural innovations, the amounts they were prepared to pay (average of GHâ‚µ6.00), were far less than what the researchers wanted them to pay (average of GHâ‚µ50.00). The probability of a researcher accepting payment for innovations from research was high for the following categories of researchers: younger researchers; researchers who were members of professional bodies; and researchers with a high number of publications. The following categories of farmers also had a higher probability of paying for research output: younger farmers; farmers with high level of formal education; native farmers; farmers who had contacts with extension staff; and farmers with high income from their previous farming and non-farming activities. Considering the wide disparity between researchers’ WTA payment for innovations and farmers’ WTP, commercialization of research is possible but cannot be run on full cost-recovery. Government should therefore set up a statutory fund dedicated to agricultural research as a way of subsidizing agricultural innovations.
Key words: Agricultural innovations, contingent valuation, multivariate probit model, willingness to pay, willingness to accept, probit model.
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