Consumer Willingness to Pay for Locally Grown Produce Designed to Support Local Food Banks and Enhance Locally Grown Producer Markets
AbstractThis study investigates the possibility of using local food banks as a distributor in the local food supply chain. The specific research objective is to estimate the price premium consumers are willing to pay at retail outlets for locally grown products, if consumers have knowledge that a portion of the purchase price will be used as a donation to support local food banks. Preliminary estimates reveal that households are willing to pay (WTP) 22.90% more for locally grown produce relative to non-locally grown, and 14.64% more for locally produced animal products. In absolute terms, consumers are WTP a $0.15 per pound premium for locally grown produce and $0.43 per pound premium for local animal products. When it was noted that a food bank donation is incorporated into product price, consumers are willing to pay a price dedicated donation premium of 4.80% ($0.03 per pound) for locally grown produce and 5.80% ($0.15 per pound) for local animal products. Results were found to vary by respondent income and gender.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Agricultural and Applied Economics Association in its series 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. with number 150288.
Date of creation: 2013
Date of revision:
Contact details of provider:
Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202
Phone: (414) 918-3190
Fax: (414) 276-3349
Web page: http://www.aaea.org
More information through EDIRC
Demand and Price Analysis; Food Consumption/Nutrition/Food Safety;
This paper has been announced in the following NEP Reports:
- NEP-AGR-2013-06-24 (Agricultural Economics)
- NEP-ALL-2013-06-24 (All new papers)
- NEP-MKT-2013-06-24 (Marketing)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Hinson, Roger A. & Bruchhaus, Michael N., 2005. "Louisiana Strawberries: Consumer Preferences and Retailer Advertising," Journal of Food Distribution Research, Food Distribution Research Society, vol. 36(01), March.
- Eastwood, David B. & Brooker, John R. & Orr, Robert H., 1987. "Consumer Preferences For Local Versus Out-Of-State Grown Selected Fresh Produce: The Case Of Knoxville, Tennessee," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 19(02), December.
- Jekanowski, Mark D. & Williams, Daniel R., II & Schiek, William A., 2000. "Consumers' Willingness To Purchase Locally Produced Agricultural Products: An Analysis Of An Indiana Survey," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 29(1), April.
- Biermacher, Jon T. & Upson, Steve & Miller, David C. & Pittman, Dusty, 2007. "Economic Challenges of Small-Scale Vegetable Production and Retailing in Rural Communities: An Example from Rural Oklahoma," Journal of Food Distribution Research, Food Distribution Research Society, vol. 38(3), November.
- Loureiro, Maria L. & Hine, Susan E., 2002. "Discovering Niche Markets: A Comparison Of Consumer Willingness To Pay For Local (Colorado Grown), Organic, And Gmo-Free Products," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 34(03), December.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.