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Economic Importance of Local Food Markets: Evidence from the Literature

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  • Ekanem, Enefiok
  • Mafuyai, Mary
  • Clardy, Arvazena

Abstract

In recent years, the demand for local food by consumers has grown significantly. The Direct-to-consumer marketing of local foods grossed $4.8 billion in 2008. Many studies have addressed purchases of local food directly from producers in the southeastern region of the United States. Many of these studies show that consumers of local foods are willing to pay premiums for local foods. Data from the 2012 US Census of Agriculture shows that, on average, direct-to-consumer food sales accounted for 5.5% of all farm sales. The goal of this paper is to enhance awareness of the growing demand for local foods. Specific objective is to discuss the contributions of local food markets to the economy. Secondary data from existing research and the Census of Agriculture were used in summarizing information presented in this paper. Evidence from literature reviewed shows that local markets have positive impacts on the local economy.

Suggested Citation

  • Ekanem, Enefiok & Mafuyai, Mary & Clardy, Arvazena, 2016. "Economic Importance of Local Food Markets: Evidence from the Literature," Journal of Food Distribution Research, Food Distribution Research Society, vol. 47(1), pages 1-8, March.
    • Handle: RePEc:ags:jlofdr:232302
    DOI: 10.22004/ag.econ.232302
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    References listed on IDEAS

    as
    1. Low, Sarah A. & Vogel, Stephen J., 2011. "Direct and Intermediated Marketing of Local Foods in the United States," Economic Research Report 118025, United States Department of Agriculture, Economic Research Service.
    2. Palma, Marco A. & Morgan, Kim & Woods, Timothy & McCoy, Sean, 2013. "Response of Land Grant Universities to the Increase in Consumer Demand for Local Foods in the South," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 28(4), pages 1-5.
    3. Hand, Michael S., 2010. "Local Food Supply Chains Use Diverse Business Models To Satisfy Demand," Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, United States Department of Agriculture, Economic Research Service, pages 1-6.
    4. Ahearn, Mary & Sterns, James, 2013. "Direct-to-Consumer Sales of Farm Products: Producers and Supply Chains in the Southeast," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 45(3), pages 497-508, August.
    5. Holcomb, Rodney B. & Palma, Marco A. & Velandia, Margarita M., 2013. "Food Safety Policies and Implications for Local Food Systems," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 28(4), pages 1-4.
    6. Martinez, Stephen W. & Hand, Michael S. & Da Pra, Michelle & Pollack, Susan L. & Ralston, Katherine L. & Smith, Travis A. & Vogel, Stephen J. & Clark, Shellye & Lohr, Luanne & Low, Sarah A. & Newman, , 2010. "Local Food Systems: Concepts, Impacts, and Issues," Economic Research Report 96635, United States Department of Agriculture, Economic Research Service.
      • Martinez, Steve & Hand, Michael & Da Pra, Michelle & Pollack, Susan & Ralston, Katherine & Smith, Travis & Vogel, Stephen & Clarke, Shellye & Lohr, Luanne & Low, Sarah & Newman, Constance, 2010. "Local food systems: concepts, impacts, and issues," MPRA Paper 24313, University Library of Munich, Germany.
    7. Zepeda, Lydia & Li, Jinghan, 2006. "Who Buys Local Food?," Journal of Food Distribution Research, Food Distribution Research Society, vol. 37(3), pages 1-11, November.
    8. Goodwin, H.L., 2013. "Theme Overview: Developing Local Food Systems in the South," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 28(4), pages 1-2.
    9. Kim Darby & Marvin T. Batte & Stan Ernst & Brian Roe, 2008. "Decomposing Local: A Conjoint Analysis of Locally Produced Foods," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(2), pages 476-486.
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    11. Amory Starr & Adrian Card & Carolyn Benepe & Garry Auld & Dennis Lamm & Ken Smith & Karen Wilken, 2003. "Sustaining local agriculture Barriers and opportunities to direct marketing between farms and restaurants in Colorado," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 20(3), pages 301-321, September.
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    Cited by:

    1. Wille, Stefan Clemens & Barklage, Britta & Spiller, Achim & von Meyer-Höfer, Marie, 2018. "Challenging factors of farmer-to-consumer direct marketing: An empirical analysis of German livestock owners," DARE Discussion Papers 1807, Georg-August University of Göttingen, Department of Agricultural Economics and Rural Development (DARE).

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