Private Landowners' Willingness to Engage in Legal Trade in Rhino Horn in South Africa

Despite multiple regulations that are intended to protect black (Diceros bicornis) and white rhinoceros (Ceratotherium simum) populations, both species remain under threat from poaching. South Africa, which contained 95% of... [ view full abstract ]

Despite multiple regulations that are intended to protect black (Diceros bicornis) and white rhinoceros (Ceratotherium simum) populations, both species remain under threat from poaching. South Africa, which contained 95% of Africa’s white rhino population and 40% of its black rhino population in 2010, is under particular pressure from poaching.  Approximately one third of its rhino population is managed on private lands.  As such, private landowners in South Africa play a critical role in rhino conservation and recovery efforts.  However, given the considerable costs of poaching and anti-poaching enforcement, private landowners are under pressure to remove rhinos from their lands.  To help defray the costs of rhino ownership, in April 2017 South Africa legalized the domestic, commercial trade of rhino horn.  To determine whether global legal trade in rhino horn would incentivize rhino conservation on private lands, in 2017 we implemented a stated preference survey in South Africa.  We used a combination of best-worst scaling and dichotomous choice experiments to elicit landowners’ preferences for how global trade in rhino horn should be structured, and the price per unit horn required to participate in this trade.  A total of 171 surveys were completed.  Final analysis of survey data will be presented, along with insights on how the structure of a legal rhino horn market might affect rhino conservation on private lands.  Preliminary analysis suggests that while a minimum land requirement per rhino would not affect landowners’ willingness to engage in rhino horn trade, market structure is of key concern.  If a central selling organization (CSO) is implemented then landowners prefer that it be operated by a company like De Beers.  The highest payment per unit horn is required to incentivize landowners to enter into the market if a CSO operated by South Africa’s Department of Environmental Affairs is implemented (~ZAR 162,550/kg of horn; USD 12,467/kg).  The size of landowners’ properties, their current rhino ownership status, their opinions of rhino horn trade, and their trust in government are significant determinants of their willingness to enter the market, which is reflected in the price per kilogram of horn they require to enter the market.