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Valuations of ‘Sustainably Produced’ Labels on Beef, Tomato, and Apple Products

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  • Tonsor, Glynn T.
  • Shupp, Robert S.

Abstract

This study evaluates consumer perceptions of what “sustainably produced” food labels imply and estimates corresponding demand for products carrying these labels. Results suggest that the typical U.S. consumer is not willing to pay a positive premium for beef, tomatoes, or apple products labeled as “sustainably produced.” Demand is particularly sensitive to inferences consumers make regarding what a “sustainably produced” food label implies. Suggestions for future work and implications of standardizing the definition of sustainability are provided.

Suggested Citation

  • Tonsor, Glynn T. & Shupp, Robert S., 2009. "Valuations of ‘Sustainably Produced’ Labels on Beef, Tomato, and Apple Products," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 38(3), pages 1-13, December.
    • Handle: RePEc:ags:arerjl:59249
    DOI: 10.22004/ag.econ.59249
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    1. Kaiser, Harry M. & Scherer, Clifford W. & Barbano, David M., 1992. "Consumer Perceptions And Attitudes Towards Bovine Somatotropin," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 21(1), pages 1-11, April.
    2. Marta-Pedroso, Cristina & Freitas, Helena & Domingos, Tiago, 2007. "Testing for the survey mode effect on contingent valuation data quality: A case study of web based versus in-person interviews," Ecological Economics, Elsevier, vol. 62(3-4), pages 388-398, May.
    3. Johnson, Richard D & Levin, Irwin P, 1985. "More than Meets the Eye: The Effect of Missing Information on Purchase Evaluations," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 12(2), pages 169-177, September.
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    Cited by:

    1. Sackett, Hillary & Shupp, Robert & Tonsor, Glynn, 2016. "Differentiating “Sustainable” From “Organic” And “Local” Food Choices: Does Information About Certification Criteria Help Consumers?," International Journal of Food and Agricultural Economics (IJFAEC), Alanya Alaaddin Keykubat University, Department of Economics and Finance, vol. 4(3), pages 1-15, July.
    2. Aluisio Goulart Silva & Maurizio Canavari & Alcido Elenor Wander, 2018. "Consumer preferences and willingness-to-pay for integrated production label on common beans," Economia agro-alimentare, FrancoAngeli Editore, vol. 20(1), pages 11-28.
    3. White, Robin R. & Brady, Michael, 2014. "Can consumers’ willingness to pay incentivize adoption of environmental impact reducing technologies in meat animal production?," Food Policy, Elsevier, vol. 49(P1), pages 41-49.
    4. Chengyan Yue & Ben Campbell & Charles Hall & Bridget Behe & Jennifer Dennis & Hayk Khachatryan, 2016. "Consumer Preference for Sustainable Attributes in Plants: Evidence from Experimental Auctions," Agribusiness, John Wiley & Sons, Ltd., vol. 32(2), pages 222-235, April.
    5. Deely, John & Hynes, Stephen & Barquín, José & Burgess, Diane & Álvarez-Martínez, Jose Manuel & Silió, Ana & Finney, Graham, 2022. "Are consumers willing to pay for beef that has been produced without the use of uncontrolled burning methods? A contingent valuation study in North-West Spain," Economic Analysis and Policy, Elsevier, vol. 75(C), pages 577-590.
    6. Wen Lin, 2023. "The effect of product quantity on willingness to pay: A meta‐regression analysis of beef valuation studies," Agribusiness, John Wiley & Sons, Ltd., vol. 39(3), pages 646-663, July.
    7. Sackett, Hillary M., 2011. "Consumer Perceptions of Sustainable Farming Practices: A Best-Worst Scenario," Graduate Research Master's Degree Plan B Papers 115966, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    8. De Salvo, Maria & Scarpa, Riccardo & Capitello, Roberta & Begalli, Diego, 2020. "Multi-country stated preferences choice analysis for fresh tomatoes," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 9(3), December.
    9. Tait, Dr Peter & Saunders, Prof Caroline & Guenther, Meike & Rutherford, Paul, 2013. "Valuing environmental sustainability attributes of food products in India and China: decomposing the value of New Zealand’s ‘Clean-Green’ brand," 2013 Conference, August 28-30, 2013, Christchurch, New Zealand 187036, New Zealand Agricultural and Resource Economics Society.
    10. White, Robin R. & Brady, Michael & Capper, Judith L. & Johnson, Kristen A., 2014. "Optimizing diet and pasture management to improve sustainability of U.S. beef production," Agricultural Systems, Elsevier, vol. 130(C), pages 1-12.
    11. Leach, Allison M. & Emery, Kyle A. & Gephart, Jessica & Davis, Kyle F. & Erisman, Jan Willem & Leip, Adrian & Pace, Michael L. & D’Odorico, Paolo & Carr, Joel & Noll, Laura Cattell & Castner, Elizabet, 2016. "Environmental impact food labels combining carbon, nitrogen, and water footprints," Food Policy, Elsevier, vol. 61(C), pages 213-223.
    12. Tonsor, Glynn T. & Wolf, Christopher A., 2011. "On mandatory labeling of animal welfare attributes," Food Policy, Elsevier, vol. 36(3), pages 430-437, June.
    13. Sackett, Hillary M. & Shupp, Robert S. & Tonsor, Glynn T., 2012. "Discrete Choice Modeling of Consumer Preferences for Sustainably Produced Steak and Apples," 2012 AAEA/EAAE Food Environment Symposium 123517, Agricultural and Applied Economics Association.

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