number of downloads : 633

Open Date : 2017-10-23
1.42 MB
Author
NAGAO, Megumi Postgraduate School of Agriculture, Food and Rural Development, Newcastle University, U.K.
YASUNAGA, Nobuyoshi Faculty of Life and Environmental Science, Shimane University
Description
This study clarifies the relation between consumer preference and value added of organically and locally processed foods. Using stated preference data obtained from investigation, we estimated consumer preferences and willingness to pay (WTP) for attributes of a processed food product (tomato juice) differentiated with respect to organic and local production labelling and a series of other claims such as food additives, concentrated or salted variants and price. Market survey was also conducted to compare with the WTP data. Results indicated that consumers were willing to pay more for a product made from locally or organically grown tomatoes. However, consumers preferred a product without food additives the most. Interaction effects between consumer preference and examinee attributes demonstrated that those with relatively high income chose tomato juice with better quality for all attributes. The comparisons indicated considerable differences between WTP and market value. For example, consumers indicated a WTP of ¥98 in value added of organically processed food, while a value of only ¥0.9 was actually added in the market. This implies that value added of organically processed food is less than it should be. On the other hand, consumers demonstrated a WTP of ¥76 in value added of locally processed food. While a value of ¥170 value was added in the market. This suggests that the market value of locally processed food is more than consumers' WTP and that the sale of locally processed food has been hampered by the price.
Subject
Choice experiment
consumer preference
interaction effects
organic and local processed food
tomato juice
Journal information
Bulletin of the Faculty of Life and Environmental Science Shimane University 22 , 27 - 32 , 2017-09-30
Publisher
島根大学生物資源科学部
Rights
島根大学生物資源科学部
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