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Product Attributes and Consumer Willingness to Pay for Environmental Management Systems in Agriculture: Using the Choice Modeling Technique

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  • Straub, Matthew O.
  • Thomassin, Paul J.

Abstract

Consumer concerns in food purchasing contain a number of elements, including food safety, environment, animal welfare, and other social issues. The purpose of this study was to examine consumer perceptions of the potential benefits of products that are produced using an environmental management system (EMS) in agriculture, and to identify those factors that influence choice. The choice modeling technique uses consumer responses (preferences) to estimate Montrealers= willingness to pay (WTP) for production practices that decrease the impacts on the environment, as well as for other potential benefits of EMS production. Results indicate that consumers are willing to pay a price premium for these environmental benefits. This could provide a justification for government to provide incentives for environmental farm management practices and support to certification and labelling programs.

Suggested Citation

  • Straub, Matthew O. & Thomassin, Paul J., 2006. "Product Attributes and Consumer Willingness to Pay for Environmental Management Systems in Agriculture: Using the Choice Modeling Technique," 2006 Annual meeting, July 23-26, Long Beach, CA 21051, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea06:21051
    DOI: 10.22004/ag.econ.21051
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    File URL: https://ageconsearch.umn.edu/record/21051/files/sp06st02.pdf
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    References listed on IDEAS

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    Cited by:

    1. Camillus Abawiera Wongnaa & Faizal Adams & Richard Kwasi Bannor & Dadson Awunyo-Vitor & Isaac Mahama & Bismark Afoakwa Osei & Yaw Owusu-Ansah & Angelina Ackon, 2019. "Job creation and improved consumer health through commercialisation of tiger nut yoghurt: a willingness to pay analysis," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 9(1), pages 1-22, December.
    2. Gilles Grolleau & Naoufel Mzoughi & Alban Thomas, 2007. "What drives agrifood firms to register for an Environmental Management System?," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 34(2), pages 233-255, June.
    3. Villano, Renato & Chang, Hui-Shung (Christie) & Kewa, John & Irving, Donald, 2016. "Factors Affecting Consumers’ Willingness to Pay for Good Quality Sweetpotato in Papua New Guinea," Australasian Agribusiness Review, University of Melbourne, Department of Agriculture and Food Systems, vol. 24, April.
    4. Maples, McKenzie & Morgan, Kimberly L. & Harri, Ardian & Hood, Kenneth & Interis, Matthew, 2014. "Consumer Willingness to Pay for Environmental Production Attributes in Tomatoes: A Southeastern Consumer Survey," 2014 Annual Meeting, February 1-4, 2014, Dallas, Texas 162504, Southern Agricultural Economics Association.

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