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Consumer Preferences for Country‐of‐Origin Labeling in Protected Markets: Evidence from the Canadian Dairy Market

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  • Amanda Norris
  • John Cranfield

Abstract

Recent trade agreements will expand Canada's market access commitments for dairy products. We explore whether Canadian consumers will respond to the increased presence of imported dairy products using a discrete choice experiment that accounts for price, country‐of‐origin (COO), production method, brand, and traceability. We use four processed dairy products to illustrate potential trade‐offs: Gouda and cheddar cheese, ice cream, and yogurt. There are statistically significant discounts associated with COO effects. These discounts vary with the dairy product and are large compared to consumer valuation of other included attributes. We find large premiums for traceability programs, suggesting that the absence of assurances related to traceability may mute actual market penetration arising from increased access to the Canadian dairy market.

Suggested Citation

  • Amanda Norris & John Cranfield, 2019. "Consumer Preferences for Country‐of‐Origin Labeling in Protected Markets: Evidence from the Canadian Dairy Market," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 41(3), pages 391-403, September.
    • Handle: RePEc:wly:apecpp:v:41:y:2019:i:3:p:391-403
    DOI: 10.1093/aepp/ppz017
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    Cited by:

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    4. Kelvin Balcombe & Dylan Bradley & Iain Fraser, 2021. "Do Consumers Really Care? An Economic Analysis of Consumer Attitudes Towards Food Produced Using Prohibited Production Methods," Journal of Agricultural Economics, Wiley Blackwell, vol. 72(2), pages 452-469, June.

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