Consumers' Willingness to Pay for Organic Vegetables : Empirical Evidence from Nepal

• Autorzy: Kumar Bhattarai
• Języki publikacji: EN

Abstrakty

EN

Due to undesirable health effects of conventional agricultural products, consumers are encouraged to prefer organic products. This study analyzes consumers' willingness to pay for organic vegetables in Kathmandu valley, Nepal, by applying single bounded dichotomous choice contingent valuation method. For this, the sample of 120 respondents was chosen randomly from four vegetable markets of Kathmandu valley. 94% of the respondents were found to be interested for organic vegetables whereas 86% were willing to pay for the offered bid premium. Majority of the respondents were found not to believe that vegetables available at their markets are really organically grown. The study has found that bid premium, education, household size, consumer perception about the presence of chemical residue in conventional vegetables and experience of suffering from vegetable borne diseases were the factors influencing consumers' willingness to pay a premium price for organic vegetables. The mean willingness to pay a premium price for organic vegetables was 25%. As there is a market for organic vegetables in Kathmandu valley, there is a necessity for sufficient supply of such vegetables. Organic certification of vegetables by the government or related institutions may help increase consumers' confidence in organic vegetables. (original abstract)

Słowa kluczowe

EN

Ecological agriculture; Vegetables; Valuation methodologies; Food prices

PL

Rolnictwo ekologiczne; Warzywa; Metodyka wyceny; Ceny żywności

• Czasopismo: Economics & Sociology
• Rocznik: 2019
• Tom: 12
• Numer: nr 3
• Strony: 132--146

Twórcy

autor

Kumar Bhattarai

• Tribhuvan University, Nepal

Bibliografia

• Adhikari, R.K. (2009). Economics of organic vs inorganic carrot production in Nepal. The Journal of Agriculture and Environment, 10. Kathmandu: Ministry of Agriculture and Cooperatives.
• Alberini, A. (1995). Optimal designs for discrete choice contingent valuation surveys: single-bound, double-bound, and bivariate models. Journal of Environmental Economics and Management, 28, 287-306. doi: 10.1006/jeem.1995.1019
• Arrow, K., Solow, R., Portney, P.R., Leamer, E.E., Radner, R., & Schuman, H. (1993). Report of the NOAA Panel on Contingent Valuation. Federal Register, 58(10): 4601-4614. Retrieved from http://www.economia.unimib.it/DATA/moduli/7_6067/materiale/noaa report.pdf
• Aryal, K.P. (2008).General perceptions of producer, traders and consumers about organic products in Kathmandu valley. In P. Chaudhary, K. Aryal, & D. Tharu (Eds.), Opportunities and Challenges of Organic Production and Marketing in South Asia. Paper presented at the national Policy Dialogue, pp. 120-124. Kathmandu: NPG.
• Aryal, K.P., Chaudhary, P., Pandit, S., & Sharma, G. (2009). Consumers' willingness to pay for organic products: A case from Kathmandu valley. The Journal of Agriculture and Environment, 10. Kathmandu: Ministry of Agriculture and Cooperatives.
• Benbrook, C., Zhao, X., Yáñez, J., Davies, N., & Andrews, P. (2008). New evidence confirms the nutritional superiority of plant-based organic foods. Retrieved from https://organic-center.org/reportfiles/Nutrient_Content_SSR_Executive_Summary_FINAL.pdf
• Bhattarai, K, Pathak, B., & K.C., B. (2017). An analysis of households' demand for improved solid waste management in Birendranagar municipality, Nepal. International Journal of Energy Economics and Policy, 7(4), 83-89. Retrieved from http://www.econjournals.com/index.php/ijeep/article/view/5354
• Boyle, K.J. (1990). Dichotomous-Choice, Contingent-Valuation Questions: Functional Form Is Important. Northeastern Journal of Agriculture and Resource Economics, 19(2), 125-131. Retrieved from http://purl.umn.edu/29039
• Boys, K.A., Willis, D.D., & Carpio, C.E. (2014). Consumer willingness to pay for organic and locally grown produce on Dominica: Insights into the potential for an organic island. Environment, Development and Sustainability, 16(3), 595-617. doi: 10.1007/s10668-013-9496-3
• Calia, P., & Strazzera, E. (2000). Bias and Efficiency of Single vs. Double Bound Models for Contingent Valuation Studies: A Monte Carlo Analysis. Applied Economics, 32(10), 1329-1336. doi: 10.1080/000368400404489
• Chuen-Khee, P., & Othman, J. (2010). Household demand for solid waste disposal options in Malaysia. International Journal of Environmental, Ecological, Geological and Marine Engineering, 4(7), 35-40. Retrieved from http://waset.org/publications/5977/household-demand-for-solid-waste-disposal-options-in-malaysia
• Coulibaly, O., Nouhoheflin, T., Aitchedji, C.C., Cherry, A.J., & Adegbola, P. (2013). Consumers' perceptions and willingness to pay for organically grown vegetables. International Journal of Vegetable Science, 17(4), 349-362. doi: 10.1080/19315260.2011.563276
• Diaz, F.J.M., Pleite, F.M.C., Paz, J.M.M., & Garcia, P.G. (2012). Consumer knowledge, consumption and willingness to pay for organic tomatoes. British Food Journal, 114(3), 318-334. doi: 10.1108/00070701211213447
• Government of Nepal (GON). (2008). Directive for national technical standards of organic agriculture production and processing system, 2007. Kathmandu: Ministry of Agriculture and Cooperatives.
• Govindasamy, R., DeCongelio, M., & Bhuyan, S. (2008). An evaluation of consumer willingness to pay for organic produce in the Northeastern U.S. Journal of Food Products Marketing, 11(4), 3-20. doi: 10.1300/J038v11n04_02
• Gregory, N.G. (2000). Consumer concerns about food. Outlook on Agriculture, 29(4), 251-257. Retrieved from http://journals.sagepub.com/doi/pdf/10.5367/000000000101293310
• Grossman, M. (1972). On the concept of health capital and the demand for health. The Journal of Political Economy, 80(2), 235-255. Retrieved from http://economics.sas.upenn.edu/~hfang/teaching/socialinsurance/readings/Grossman72(3.1).pdf
• Grunert, S.C., & Juhl, H.J. (1995). Values, environmental attitudes and buying of organic food. Journal of Economic Psychology, 16(1), 63-72. Retrieved from http://www.sciencedirect.com/science/article/pii/0167487094000348
• Harper, G.C., & Makatouni, A. (2002). Consumer Perception of Organic Food Production and Farm Animal Welfare. British Food Journal, 104(3/4/5), 287-299. doi: 10.1108/00070700210425723
• Hughes, D. (1995). Animal Welfare: The Consumer and the Food Industry. British Food Journal, 97(10). doi: 10.1108/00070709510104529
• Hughner, R.S., Mcdonagh, P., Prothero, A., & Shultz II, C.J. (2007). Who are Organic Food Consumers? A Compilation and Review of Why People Purchase Organic Food. Journal of Consumer Behaviour, 6, 1-17. doi: 10.1002/cb.210
• Jeanty, P.W. (2007). Constructing Krinsky and Robb Confidence Intervals for Mean and Median Willingness to Pay (WTP) Using Stata. Retrieved from: http://repec.org/nasug2007/pwj_nasug07.pdf
• Mitchell, R. C., & Carson, R. T. (1989). Using Surveys to Value Public Goods: The Contingent Valuation Method. Washington, DC: Resources for Future.
• Morgera, E., Caro, C. B., & Duran, G. M. (2012). Organic agriculture and the law. Retrieved from http://www.fao.org/docrep/016/i2718e/i2718e.pdf
• Nandi, R., Bokelmann, W., Gowdru, N.V., & Dias, G. (2016). Factors influencing consumers' willingness to pay for organic fruits and vegetables: Empirical evidence from a consumer survey in India. Journal of Food Products Marketing, 22, 1-22. doi:10.1080/10454446.2015.1048018
• Narine, L.K., Ganpat,, W., & Seepersad, G. (2015). Trinidadian consumers' willingness to pay for organic tomatoes. Journal of Agribusiness in Developing and Emerging Economies, 5(1), 76-91. doi: 10.1108/JADEE-04-2013-005
• Ortelli, D., Edder, P., & Corvi, C. (2004). Multiresidue analysis of 74 pesticides in fruit and vegetables by liquid chromatography-electrospray-tandem mass spectrometry. Anayitica Chimica Acta, 520:33-45. doi: doi:10.1016/j.aca.2004.03.037
• Pokharel, D.M., & Pant, K.P.(2009). Perspectives of organic agriculture and policy concerns in Nepal. The Journal of Agriculture and Environment, 10. Retrieved from http://www.nepjol.info/index.php/AEJ/article/viewFile/2135/1965
• Rana Bhat, B. (2008). Opportunitiy and challenges of organic certification Ssystem in Nepal. In P. Chaudhary; K. Aryal and D. Tharu (Eds.), Opportunities and Challenges of Organic Production and Marketing in South Asia. Paper presented at National Policy Dialogue, pp. 104-108. Kathmandu: NPG
• Schifferstein, H.N.J., & Oude Ophuis, P.A.M. (1997). Health related determinants of organic food consumption in the Netherlands. Food Quality and Preference, 9(3), 119-133. Retrieved from http://www.sciencedirect.com/science/article/pii/S095032939700044X
• Sriwaranun, Y., Gan, C., Lee, M., & Cohen, D.A. (2015). Consumers' willingness to pay for organic products in Thailand. International Journal of Social Economics, 42(5), 480-510. doi: 10.1108/IJSE-09-2013-0204
• Stan, H.J. (2000). Pesticide residue analysis in foodstuff applying capillary gas chromatography with mass spectrometric detection-state-of-the-art use of modified DFG-multimethod S19 and automated data evaluation. Journal of Chromatography A, 892(1-2), 347-377. doi: 10.1016/s0021-9673(00)308-3
• Wandel, M., & Bugge, A. (1997). Environmental concerns in consumer evaluation of food quality. Food Quality and Preferences, 8(1):19-26. Retrieved from http://www.sciencedirect.com/science/article/pii/S0950329396000043
• Yiridoe, E.K., Bonti-Ankomah, S., & Martin, R.C. (2005). Comparison of Consumer Perceptions and Preference toward Organic versus Conventionally Produced Foods: A Review and Update of the Literature. Renewable Agriculture and Food Systems, 20(4), 193-205. doi: 10.1079/RAF2005113

Identyfikatory

DOI

10.14254/2071789X.2019/12-3/9