Dairy Farmers’ Willingness to Pay for Sex-sorted Semen based Artificial Insemination under an Alternative Institutional Mechanism in India

Sex-sorted semen based artificial insemination (SSS-AI) emerged as a significant breeding intervention for dairy animals to accelerate genetic improvement and enhance herd productivity by substantially increasing the probability of female calf births. In major milk-producing states in India, in spite of the potential benefits of SSS-AI, its adoption remained low due to different constraints, especially its high price premium compared with conventional AI technology. This study estimated dairy farmers’ willingness to pay (WTP) for SSS-AI under an alternative institutional delivery mechanism involving doorstep service provision and payment through a milk collection centre through a check-off system. Based on a primary survey conducted in two major milk-producing states in India-Uttar Pradesh and Haryana-the study found that the adoption of conventional AI was more than 90%, whereas SSS-AI adoption was low. Dairy farmers’ WTP for SSS-AI was elicited using double-bounded contingent valuation. The estimated median WTP for a single dose of SSS-AI under the proposed institutional mechanism varied between ₹674 and ₹793. Factors such as education of the farmer, herd size and access to formal extension services had a significant positive association with WTP. Farmers in Uttar Pradesh exhibited significantly lower WTP compared to Haryana. The results indicated a significant demand for SSS-AI among dairy farmers, but liquidity constraints, limited awareness and service–delivery gaps limited its adoption. Farmer-friendly institutional innovations, along with strengthened extension and breeding infrastructure, were found to be critical for scaling SSS-AI in India.