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The Impact of Information on the Willingness-to-Pay for Labeled Organic Food Products

Author

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  • Rousseau, Sandra

    (Hogeschool-Universiteit Brussel (HUB), Belgium)

  • Vranken, Liesbet

Abstract

Organic labels potentially play an important role in shaping consumer preferences for organic food products. Information implied by the presence of labels can be used by consumers to facilitate their consumption decisions. Therefore, we investigate the influence of the provision of objective information on the willingness-to-pay of consumers for labeled organic apples in Flanders (Belgium). Initially, we find that Flemish consumers are willing to pay a positive price premium of approximately 33 eurocent per kilogram for labeled organic apples. After the provision of information on the actual environmental and health effects of organic apple production, this price premium becomes even more pronounced and amounts to approximately 56 eurocent per kilogram.

Suggested Citation

  • Rousseau, Sandra & Vranken, Liesbet, 2011. "The Impact of Information on the Willingness-to-Pay for Labeled Organic Food Products," Working Papers 2011/04, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
    • Handle: RePEc:hub:wpecon:201104
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    Cited by:

    1. Jerop, Rebecca, 2012. "Consumer Willingness to Pay for Dairy Goat Milk in Siaya County, Kenya," Research Theses 243449, Collaborative Masters Program in Agricultural and Applied Economics.
    2. Masaya Ota & Yusuke Sakata & Takao Iijima, 2019. "Fair trade information eliminates the positive brand effect: product choice behavior in Japan," Asian Journal of Sustainability and Social Responsibility, Springer, vol. 4(1), pages 1-14, December.

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    More about this item

    Keywords

    Organic food production; willingness-to-pay; choice experiment; apples;
    All these keywords.

    JEL classification:

    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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