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Contingent Valuation of Consumers’ Willingness-to-Pay for Organic Food in Argentina

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  • Rodriguez, Elsa M.
  • Lacaze, Maria Victoria
  • Lupin, Beatriz

Abstract

Throughout these last years, organic agriculture has undergone a remarkable expansion due, among other things, to the greater interest shown by consumers aware of food safety concerns involving real or perceived quality risks [1]. This paper aims to estimate consumers’ willingness to pay (WTP) for organic food products available in the Argentinean domestic market, with a view to providing some useful insights to gain support and outline strategies for promotion of organic production, marketing, regulation, and labelling programs of organic food products. A Binomial Multiple Logistic Regression model is estimated with data from a food consumption survey conducted in Buenos Aires city, Argentina, in April 2005. The Contingent Valuation Method was chosen in order to calculate their WTP for five organic selected products: Regular Milk, Leafy Vegetables, Whole Wheat Flour, Fresh Chicken and Aromatic Herbs. The empirical results reveal that consumers are willing to pay a premium for these products and that although prices play an important role, lack of store availability and of a reliable regulatory system to mitigate quality risks constraint consumption of organic products in this country.

Suggested Citation

  • Rodriguez, Elsa M. & Lacaze, Maria Victoria & Lupin, Beatriz, 2008. "Contingent Valuation of Consumers’ Willingness-to-Pay for Organic Food in Argentina," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43947, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae08:43947
    DOI: 10.22004/ag.econ.43947
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    2. Belaya, Vera & Hansen, Heiko & Pinior, Beate, 2012. "Measuring The Costs Of Foodborne Diseases: A Review And Classification Of The Literature," 52nd Annual Conference, Stuttgart, Germany, September 26-28, 2012 138195, German Association of Agricultural Economists (GEWISOLA).
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    4. Fuchshofen, Nicolas & Hirsch, Darya & Brodtmann, Lilian Irene & Terlau, Wiltrud, 2018. "Production, Consumption and the Actor's Landscape in the Argentinean Organic Agricultural and Food Sector," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 9(5), December.
    5. Adepoju, Abimbola O. & Oyewole, Olaniyi O., 2013. "Households’ Perception And Willingness To Pay For Bread With Cassava Flour Inclusion In Osogbo Metropolis, Osun State, Nigeria," 2013 Fourth International Conference, September 22-25, 2013, Hammamet, Tunisia 160285, African Association of Agricultural Economists (AAAE).
    6. Monika Foltyn-Zarychta, 2021. "Future-Generation Perception: Equal or Not Equal? Long-Term Individual Discount Rates for Poland," Energies, MDPI, vol. 14(24), pages 1-19, December.

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