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Willingness to pay for organic food in Argentina: evidence from a consumer survey

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  • Rodríguez, Elsa Mirta M.
  • Lacaze, María Victoria
  • Lupín, Beatriz

Abstract

Throughout these last years, organic agriculture has undergone a remarkable expansion due, among other things, to the greater interest shown by consumers aware of food safety concerns involving real or perceived quality risk. The paper aims to estimate consumers' willingness to pay (WTP) for organic food products available in the Argentinean domestic market, with a view to providing some useful insights to gain support and outline strategies for promotion of organic production, marketing, regulation, and labeling programs of organic food products. A Binomial Multiple Logistic Regression model is estimated with data from a food consumption survey conducted in Buenos Aires city, Argentina, in April 2005. The Contingent Valuation Method was chosen in order to calculate their WTP for five organic selected products: regular milk, leafy vegetables, whole wheat flour, fresh chicken and aromatic herbs. The empirical results reveal that consumers are willing to pay a premium for these products and that although prices play an important role, lack of store availability and of a reliable regulatory system to mitigate quality risks constraint consumption of organic products in this country.

Suggested Citation

  • Rodríguez, Elsa Mirta M. & Lacaze, María Victoria & Lupín, Beatriz, 2009. "Willingness to pay for organic food in Argentina: evidence from a consumer survey," Nülan. Deposited Documents 1285, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
  • Handle: RePEc:nmp:nuland:1285
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    5. Lupín, Beatriz & Lacaze, María Victoria & Rodríguez, Elsa Mirta M., 2007. "Las percepciones de riesgo de los consumidores en alimentos lácteos: aplicación de una regresión logística ordinal," Nülan. Deposited Documents 1287, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    6. Owusu, Victor & Owusu, Michael Anifori, 2010. "Measuring Market Potential for Fresh Organic Fruit and Vegetable in Ghana," 2010 AAAE Third Conference/AEASA 48th Conference, September 19-23, 2010, Cape Town, South Africa 95955, African Association of Agricultural Economists (AAAE).
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    8. Rodríguez, Elsa Mirta M. & Lupín, Beatriz & Lacaze, María Victoria, 2007. "Los atributos de calidad en el consumo de alimentos diferenciados: aplicación de metodologías de evaluación e implicancias de política," Nülan. Deposited Documents 797, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    9. Wei, Shuqin & Ang, Tyson & Jancenelle, Vivien E., 2018. "Willingness to pay more for green products: The interplay of consumer characteristics and customer participation," Journal of Retailing and Consumer Services, Elsevier, vol. 45(C), pages 230-238.
    10. Idda, Lorenzo & Madau, Fabio A. & Pulina, Pietro, 2008. "The Motivational Profile of Organic Food Consumers: a Survey of Specialized Stores Customers in Italy," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43946, European Association of Agricultural Economists.
    11. My, Nguyen H.D. & Demont, Matty & Van Loo, Ellen J. & de Guia, Annalyn & Rutsaert, Pieter & Tuan, Tran Huu & Verbeke, Wim, 2018. "What is the value of sustainably-produced rice? Consumer evidence from experimental auctions in Vietnam," Food Policy, Elsevier, vol. 79(C), pages 283-296.
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