IDEAS home Printed from https://ideas.repec.org/a/eee/eneeco/v86y2020ics0140988319304360.html
   My bibliography  Save this article

How does farmers' current usage of crop straws influence the willingness-to-accept price to sell?

Author

Listed:
  • Zuo, Alec
  • Hou, Lingling
  • Huang, Zeying

Abstract

To further develop the second-generation biofuel industry, both government and business sectors need to better comprehend the full costs of buying crop straws from farmers – understanding transportation and baling costs alone is insufficient. Due to the limited market activity of crop straws, this paper uses the contingent valuation method to elicit farmers' willingness-to-accept (WTA) price to sell their crop straws in northeast China. The results from finite mixed models showed that the estimated WTA for maize straw was 9.6 yuan/ton, 43.2 yuan/ton and 83.2 yuan/ton across different farm groups. For rice straw, the WTA for the first farm group was 51 yuan/ton and 204 yuan/ton for the second group. Our results also show that both rice and maize farmers place a higher price on crop straw if it is used in more productive ways, such as for domestic fuel, animal feed or selling; but place a lower price when it is burnt as crop residue in the field.

Suggested Citation

  • Zuo, Alec & Hou, Lingling & Huang, Zeying, 2020. "How does farmers' current usage of crop straws influence the willingness-to-accept price to sell?," Energy Economics, Elsevier, vol. 86(C).
    • Handle: RePEc:eee:eneeco:v:86:y:2020:i:c:s0140988319304360
    DOI: 10.1016/j.eneco.2019.104639
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0140988319304360
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.eneco.2019.104639?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jikun Huang & Jiping Ding, 2016. "Institutional innovation and policy support to facilitate small-scale farming transformation in China," Agricultural Economics, International Association of Agricultural Economists, vol. 47(S1), pages 227-237, November.
    2. Christiaensen, Luc & Heltberg, Rasmus, 2014. "Greening China's rural energy: new insights on the potential of smallholder biogas," Environment and Development Economics, Cambridge University Press, vol. 19(1), pages 8-29, February.
    3. Madhu Khanna & Xiaoguang Chen & Haixiao Huang & Hayri Onal, 2011. "Supply of Cellulosic Biofuel Feedstocks and Regional Production Pattern," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(2), pages 473-480.
    4. Komarek, Adam M. & McDonald, Cam K. & Bell, Lindsay W. & Whish, Jeremy P.M. & Robertson, Michael J. & MacLeod, Neil D. & Bellotti, William D., 2012. "Whole-farm effects of livestock intensification in smallholder systems in Gansu, China," Agricultural Systems, Elsevier, vol. 109(C), pages 16-24.
    5. Chen, Xiaoguang, 2016. "Economic potential of biomass supply from crop residues in China," Applied Energy, Elsevier, vol. 166(C), pages 141-149.
    6. Erenstein, Olaf, 2011. "Cropping systems and crop residue management in the Trans-Gangetic Plains: Issues and challenges for conservation agriculture from village surveys," Agricultural Systems, Elsevier, vol. 104(1), pages 54-62, January.
    7. Giannoccaro, Giacomo & de Gennaro, Bernardo C. & De Meo, Emilio & Prosperi, Maurizio, 2017. "Assessing farmers' willingness to supply biomass as energy feedstock: Cereal straw in Apulia (Italy)," Energy Economics, Elsevier, vol. 61(C), pages 179-185.
    8. Loomis, John B., 2014. "2013 WAEA Keynote Address: Strategies for Overcoming Hypothetical Bias in Stated Preference Surveys," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 39(1), pages 1-13, April.
    9. Ping Qin & Fredrik Carlsson & Jintao Xu, 2011. "Forest Tenure Reform in China: A Choice Experiment on Farmers’ Property Rights Preferences," Land Economics, University of Wisconsin Press, vol. 87(3), pages 473-487.
    10. Zheng, Chaohui & Liu, Yi & Bluemling, Bettina & Chen, Jining & Mol, Arthur P.J., 2013. "Modeling the environmental behavior and performance of livestock farmers in China: An ABM approach," Agricultural Systems, Elsevier, vol. 122(C), pages 60-72.
    11. Pratt, Michelle R. & Tyner, Wallace E. & Muth, David J. & Kladivko, Eileen J., 2014. "Synergies between cover crops and corn stover removal," Agricultural Systems, Elsevier, vol. 130(C), pages 67-76.
    12. Altman, Ira & Bergtold, Jason & Sanders, Dwight & Johnson, Tom, 2015. "Willingness to supply biomass for bioenergy production: A random parameter truncated analysis," Energy Economics, Elsevier, vol. 47(C), pages 1-10.
    13. Glithero, N.J. & Ramsden, S.J. & Wilson, P., 2013. "Barriers and incentives to the production of bioethanol from cereal straw: A farm business perspective," Energy Policy, Elsevier, vol. 59(C), pages 161-171.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Gérard, Maxence & Jayet, Pierre-Alain, 2023. "European farmers’ response to crop residue prices and implications for bioenergy policies," Energy Policy, Elsevier, vol. 177(C).
    2. Maxence Gérard & Pierre-Alain Jayet, 2023. "European farmers’ response to crop residue prices and implications for bioenergy policies [Réponse des agriculteurs européens aux prix des résidus de cultures et implications pour les politiques bi," Post-Print hal-04071932, HAL.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gérard, Maxence & Jayet, Pierre-Alain, 2023. "European farmers’ response to crop residue prices and implications for bioenergy policies," Energy Policy, Elsevier, vol. 177(C).
    2. Maxence Gérard & Pierre-Alain Jayet, 2023. "European farmers’ response to crop residue prices and implications for bioenergy policies [Réponse des agriculteurs européens aux prix des résidus de cultures et implications pour les politiques bi," Post-Print hal-04071932, HAL.
    3. Townsend, T.J. & Sparkes, D.L. & Ramsden, S.J. & Glithero, N.J. & Wilson, P., 2018. "Wheat straw availability for bioenergy in England," Energy Policy, Elsevier, vol. 122(C), pages 349-357.
    4. Rosburg, Alicia & Miranowski, John & Jacobs, Keri, 2016. "Modeling biomass procurement tradeoffs within a cellulosic biofuel cost model," Energy Economics, Elsevier, vol. 58(C), pages 77-83.
    5. Fang, Guozhu & Zhang, Xiaoheng & Qi, Chunjie, 2021. "Are Integrated Crop-Livestock Systems More Technical Efficiency? Evidence from Small Farmers in China," 2021 Conference, August 17-31, 2021, Virtual 315129, International Association of Agricultural Economists.
    6. Scott M. Swinton & Felix Dulys & Sarah S.H. Klammer, 2021. "Why Biomass Residue Is Not as Plentiful as It Looks: Case Study on Economic Supply of Logging Residues," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 1003-1025, September.
    7. Giannoccaro, Giacomo & de Gennaro, Bernardo C. & De Meo, Emilio & Prosperi, Maurizio, 2017. "Assessing farmers' willingness to supply biomass as energy feedstock: Cereal straw in Apulia (Italy)," Energy Economics, Elsevier, vol. 61(C), pages 179-185.
    8. Rincon, Luis & Puri, Manas & Kojakovic, Ana & Maltsoglou, Irini, 2019. "The contribution of sustainable bioenergy to renewable electricity generation in Turkey: Evidence based policy from an integrated energy and agriculture approach," Energy Policy, Elsevier, vol. 130(C), pages 69-88.
    9. Miao, Ruiqing & Khanna, Madhu, 2017. "Costs of meeting a cellulosic biofuel mandate with perennial energy crops: Implications for policy," Energy Economics, Elsevier, vol. 64(C), pages 321-334.
    10. Hou, Lingling & Chen, Xiaoguang & Kuhn, Lena & Huang, Jikun, 2019. "The effectiveness of regulations and technologies on sustainable use of crop residue in Northeast China," Energy Economics, Elsevier, vol. 81(C), pages 519-527.
    11. Yiyun Liu & Rui Zhao & Kuo-Jui Wu & Tao Huang & Anthony S. F. Chiu & Chenyi Cai, 2018. "A Hybrid of Multi-Objective Optimization and System Dynamics Simulation for Straw-to-Electricity Supply Chain Management under the Belt and Road Initiatives," Sustainability, MDPI, vol. 10(3), pages 1-17, March.
    12. Komarek, Adam M. & Li, LingLing & Bellotti, William D., 2015. "Whole-farm economic and risk effects of conservation agriculture in a crop-livestock system in western China," Agricultural Systems, Elsevier, vol. 137(C), pages 220-226.
    13. Luo, Tao & Khoshnevisan, Benyamin & Huang, Ruyi & Chen, Qiu & Mei, Zili & Pan, Junting & Liu, Hongbin, 2020. "Analysis of revolution in decentralized biogas facilities caused by transition in Chinese rural areas," Renewable and Sustainable Energy Reviews, Elsevier, vol. 133(C).
    14. Alhassan, Mustapha & Gustafson, Christopher R. & Schoengold, Karina, 2017. "Effects of Information Framing on Smallholder Irrigation Farmers’ Willingness to Pay for Groundwater Protection: The Case of Vea Irrigation Scheme in Ghana," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258432, Agricultural and Applied Economics Association.
    15. Yang Yang & Ji-Qin Ni & Weiqing Bao & Lei Zhao & Guang Hui Xie, 2019. "Potential Reductions in Greenhouse Gas and Fine Particulate Matter Emissions Using Corn Stover for Ethanol Production in China," Energies, MDPI, vol. 12(19), pages 1-14, September.
    16. Weng, Yuwei & Chang, Shiyan & Cai, Wenjia & Wang, Can, 2019. "Exploring the impacts of biofuel expansion on land use change and food security based on a land explicit CGE model: A case study of China," Applied Energy, Elsevier, vol. 236(C), pages 514-525.
    17. Jian Wei & Hui Xiao & Hao Liu & Xiaotao Huang & Dahong Zhang, 2022. "Does the Collective Forestland Tenure Reform Promote Rural Households’ Forestry Inputs? Based on Dual Perspectives of Rural Households’ Divergence and Inter-Generational Differences," Sustainability, MDPI, vol. 14(20), pages 1-23, October.
    18. Ewa Zawojska & Pierre-Alexandre Mahieu & Romain Crastes & Jordan Louviere, 2016. "On a way to overcome strategic overbidding in open-ended stated preference surveys: A recoding approach," Working Papers 2016-34, Faculty of Economic Sciences, University of Warsaw.
    19. Roy Brouwer & Solomon Tarfasa, 2020. "Testing hypothetical bias in a framed field experiment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 68(3), pages 343-357, September.
    20. Wade, Tara & Kurkalova, Lyubov & Secchi, Silvia, 2016. "Modeling Field-Level Conservation Tillage Adoption with Aggregate Choice Data," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(2), May.

    More about this item

    Keywords

    Crop residue; CVM; WTA; China;
    All these keywords.

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eneeco:v:86:y:2020:i:c:s0140988319304360. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eneco .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.