Do Japanese consumers care about sustainable fisheries? Evidence from an auction of ecolabelled seafood

This paper investigates Japanese consumers' willingness to pay for Marine Stewardship Council (MSC) ecolabelled seafood using a sealed bid, second price auction. Participants in an experiment in Tokyo were provided varying degrees of information about the status of world and Japanese fisheries and the MSC program in sequential rounds of bidding on ecolabelled and nonlabelled salmon products. A random‐effects tobit regression shows that there is a statistically significant premium of about 20 per cent for MSC‐ecolabelled salmon over nonlabelled salmon when consumers are provided information on both the status of global fish stocks and the purpose of the MSC program. This premium arises from a combination of an increased willingness to pay for labelled products and a decreased willingness to pay for unlabelled products. However, in the absence of experimenter‐provided information, or when provided information about the purpose of the MSC program alone without concurrent information about the need for the MSC program, there is no statistically significant premium.     

Price premiums for ecolabelled seafood: MSC certification in Germany

Whether ecolabelled seafood actually provides incentives to improve the management of fisheries remains a controversial issue. A number of stated preference studies indicate a substantial willingness to pay for ecolabelled seafood. Early evidence from actual market data supports the existence of a premium, while more recent papers provide a more nuanced picture. In this paper, a hedonic price model for whitefish species on the German market is estimated that includes information on Marine Stewardship Council (MSC) labelling, the leading seafood ecolabel in Germany. The model also allows the potential premium to vary by species. Results indicate that MSC premiums in Germany vary substantially between species, from a hefty 30.6 per cent for the high‐end species cod, to a 4 per cent premium for Alaska pollock, and no premiums for saithe.     

Price Premiums for Providing Eco‐labelled Seafood: Evidence from MSC‐certified Cod in Sweden

Eco‐labelled seafood is an important tool to promote sustainable development in fisheries. A price premium on eco‐labelled seafood signals a return on investment in sustainable fishing methods, providing an incentive for fishers to adopt such methods. This paper investigates whether Swedish fishermen gained a price premium from participating in the Marine Stewardship Council (MSC)‐certified Swedish Eastern Baltic cod fishery in the period 2011–2012. Using a detailed dataset of landing tickets and log books, we apply a panel data methodology to estimate the MSC price premium. We cannot find reliable evidence that the consumer level premium for MCS cod is actually passed back to the producers in this case.     

Are French consumers ready to pay a premium for eco‐labeled seafood products? A contingent valuation estimation with heterogeneous anchoring

Could the future French eco‐label for fresh seafood products find its place in the French market? This study employs a contingent valuation method to estimate French consumers’ willingness‐to‐pay (WTP) for eco‐labeled fresh seafood products. We exploit original data from a survey carried out in 2010, where 626 participants responded to a double‐bounded dichotomous choice model, through an ascending or descending bid system. Controlling for shift and anchoring effects in random effect probit models, we significantly improve estimation of WTP and its determinants for the three species studied (monkfish, lobster, sole), in particular when using heterogeneous anchoring. We show that WTP is positively correlated to respondents’ income, and also to their environmental concern, to living alone, to living far from the coast, and to trusting NGOs or public institutions more than producer organizations to implement an eco‐label. We also show that the mean price premiums do not differ between species. Finally, on average, the maximum premium consumers accepted to pay is approximately 10% of the product price.     

Product Differentiation with Credence Attributes and Private Labels: The Case of Whitefish in UK Supermarkets

The retail market for seafood is dynamic with substantial competition both amongst retailers and between private labels and national brands. New product attributes are added in attempts to differentiate products and to attract consumers. Credence attributes, in particular those related to eco‐labels and fishing method, have become more common. But little is known about how these and other credence attributes are valued in the retail market. In addition, little is known about price differences between private labels. To estimate the value of these attributes, weekly in‐store observations of selected frozen whitefish products were conducted in seven UK retail chains in the city of Glasgow. An estimated hedonic model shows a substantial price premium for fishing method (line‐caught), a premium for both home (Scottish) and non‐home country of origin (Icelandic) and a premium for the Marine Stewardship Council eco‐label. An uncertified eco‐label owned by a large seafood manufacturer leads to reduced price. The study also reveals substantial price differences between private labels for whitefish. The results contribute new insights regarding opportunities for differentiation by credence attributes which may lead to more sustainable and effective resource use along the value chain for frozen whitefish.     

The impact of marketing systems on soil sustainability of agriculture in developing countries: a method and an application

This article is concerned with soil‐sustainability problems of agriculture in developing countries, in particular with soil erosion. The aim of our study is to develop a comprehensive model that explains the adoption of sustainable agricultural practices with respect to soil conservation. Our approach includes the following special features: (a) the model is comprehensive in that it includes a large number of institutional, personal–social, economic, and physical explanatory variables; (b) particular attention is paid to the influence of marketing systems on the adoption of sustainable agricultural practices, which to our knowledge has been neglected in past research; (c) the concept of adopting sustainable agricultural practices (ASAP) is differentiated into a limited number of basic components of soil conservation; and (d) the model is estimated by Principal Component Regression, which enhances efficient estimation of the impact of many explanatory variables on ASAP. Our model is applied to Cabuyal hillside farming in Colombia. The application demonstrates the usefulness of the proposed model. ASAP is differentiated into three basic components: soil‐disturbance control, soil‐protection practices, and run‐off control. It appears that soil‐disturbance control is particularly influenced by farmers' characteristics, such as education and managerial variables. The second component, soil‐protection practices, appears to be strongly influenced not only by farmers' managerial variables but also by their relationship with their environment, in particular marketing institutions. The third soil‐conservation component, run‐off control, is influenced by the physical characteristics of the plot and by the available farm labor. Our empirical results demonstrate the usefulness of the proposed model in designing agricultural policies, because it can determine which variables are more likely to influence the adoption of a specific type of soil conservation.     

Firm-level Intermediate Demand for Pacific Whiting Products: A Multi-attribute, Multi-sector Analysis

Variation in seafood prices resulting from differences in product characteristics are often obscured by highly aggregated data or data representing only upstream sectors. This can lead to myopic commodity-based analysis that fails to identify how changes in public and private fisheries management may impact product characteristics, market development, and long-run social benefits. Given these problems, alternative methods are needed to complement traditional demand, supply and cost-benefit analysis. Mail and personal surveys of seafood wholesalers were conducted to determine preferences for Pacific whiting products. The relative importance of fillet and headed and gutted product characteristics are determined using conjoint analyses and factorial-based market experiments. Estimation of relative profitability, probability of purchase and short-run "conditional" demand models reveal the importance of wholesaler characteristics, physical product characteristics and contractural arrangements. Marketing margins and demands for improved products are also estimated. Implications for private and public resource management are discussed.     

Consumer preferences for cowpea in Cameroon and Ghana

Consumer preference information is essential to targeting research. This paper reports an effort of a multi‐disciplinary team to measure the market value of cowpea characteristics. Five samples were purchased once per month in seven markets in Ghana and Cameroon starting in September 1996. In the market, price and vendor characteristics were noted. In the laboratory, size of grains, testa color, testa texture, eye color and damage levels were recorded. A hedonic pricing regression model was used. Results indicate that grain size is the most important characteristic. Consumers seem more sensitive to bruchid (Callosobruchus maculates) damage than hypothesized. Cowpeas with white testa command a clear premium only in one of the Ghanaian markets. In Ghana, black eyes sell at a premium, but in Cameroon black eyes are discounted. In general, this study indicates that quality characteristics are very important in West African food markets. Even low income consumers are willing to pay a premium for products that match their preferences, and they are vigilant in identifying products that do not meet their standards. Purchasing samples on a regular basis and hedonic pricing offers a practical way for biological scientists and economists to work together to measure these consumer preferences.     

Valuing an EU Animal Welfare Label using Experimental Auctions

The aim of this article is to determine consumers’ valuation for an EU Animal Welfare (EU‐CAW) Label for products providing higher animal welfare standards than the current legal requirements. Using revealed preference data from random nth price auction mechanism and two auction procedures, our results generally suggest that consumers are willing to pay a premium for an EU Animal Welfare (EU‐CAW) Label for cured ham. This finding is consistent in both the endowment and full‐bidding auction approaches we employed in our experiments conducted in Spain. The average premium that consumers are willing to pay for a cured ham with the EU‐CAW Label ranges between 19% and 23% of the average price of the regular cured ham that is currently available in supermarkets.     

Organic‐ and Animal Welfare‐labelled Eggs: Competing for the Same Consumers?

To understand the market for sustainable foods, it is important to allow for heterogeneous preferences. However, most studies of consumer preferences for sustainable foods only investigate average consumer preferences. They do not take into account that some consumer segments attempt to purchase as much sustainable food as possible, others are almost indifferent to the notion of sustainable food, and still others consider sustainable food a complete hoax. The aim of this study is to explore the preferences for various types of premium eggs across three consumer segments. We conduct a choice experiment including 900 Norwegian consumers and perform a behavioural segmentation based on the frequency of organic food purchase. We find that the segment purchasing the most organic food is, as expected, willing to pay a significant premium for organic eggs over eggs displaying only enhanced animal welfare. However, most consumers, who only occasionally purchase organic products, are unwilling to pay more for organic eggs than for enhanced animal welfare eggs, suggesting diminishing marginal utility for additional attributes. We find that a third consumer segment attempts to avoid organic eggs, even when they cost the same as other eggs. Our findings suggest that organic products will be unsuccessful in acquiring a larger share of the market as long as most consumers are unwilling to pay a premium for organic products with all their cost increasing sustainable attributes over products that have only a single sustainable attribute, in our case enhanced animal welfare.     

The expansion of intensive marine aquaculture in Turkey: The next‐to‐last commodity frontier?

Aquaculture is one of the fastest growing food‐producing sectors, and its share in global seafood production is rising significantly compared with capture fisheries. This transforms seafood production practices while allowing capital to expand to new marine commodity frontiers. Building on the conceptualization of aquaculture as a new frontier for capture fisheries, the article aims to uncover how commodity frontiers expand within the intensive marine aquaculture sector and shape the transformation of seafood production by focusing on its recent growth in Turkey. It analyses this transformation based on 22 in‐depth interviews with key social actors in Turkey, as well as a review of sector and state reports and the relevant legislations of Turkey and the European Union, and argues that the three‐pronged horizontal, vertical, and taxonomic expansion already observed in industrial capture fisheries has similarly taken place in intensive marine aquaculture through the commodity widening, deepening, and marketing strategies employed by aquaculture firms.     

渔业生态标签制度的发展与问题

在如何提高渔业资源可持续利用水平这一国际背景下,FAO倡导创设渔业生态标签并提出了初步设想,随后MSC进一步丰富和发展了这一制度。实践证明,生态标签制度通过市场力量,有助于提高渔业从业者保护渔业资源和环境的意识,因而有助于渔业资源的可持续利用。本文旨在系统介绍渔业生态标签制度的基本理念、发展过程、应用情况及其引发的问题。     

Seasonal Patterns and Regional Preferences in Japanese Household Demand for Seafood

This study addresses the little analyzed Japanese consumer demand for seafood. A demand system approach is used to analyze demand for a group of seafood products that make up the representative household's total expenditures on seafood for at-home consumption. The linear approximate Almost Ideal Demand System (U/AIDS) is applied to monthly data from 1980 through 1989 on the demand for seafood for three representative households: the average Japanese household, northern Japanese household, and southern Japanese household. Estimation results highlight effects of seasonality on demand for various seafood products; how seasonality effects defer by region; and differences in demand elasticities for seafood products both during the marketing year and across regions. Results from the analysis of the nationally representative household are contrasted with results from regionally representative house-holds to determine implications of viewing Japan as a single, homogeneous market.     

Competition between farmed and wild salmon: the Japanese salmon market

This article examines the Japanese market for salmon. This market is of interest, since it is the largest and most diversified salmon market in the world with wild and farmed species, from Europe and South and North America, competing in the same market. In contrast to the European Union (EU)‐ and U.S.‐markets, there have been neither trade conflicts nor trade restrictions. The Japanese market can hence provide information about the impact of bringing substantial quantities of a new product into a market, and the effect of large‐scale aquaculture on traditional fisheries. In this article, market integration between wild and farmed salmon on the Japanese market is examined, using both bivariate and multivariate cointegration analysis. Tests for the Law of One Price are also conducted. The results indicate that the species are close substitutes on the market, and that the expansion of farmed salmon has resulted in price decreases for all salmon species.     

Evaluating the long‐term impacts of promoting “green” agriculture in the Amazon

Frontier development in the Brazilian Amazon has created vast areas of largely deforested landscapes. Conservation efforts in these post‐frontier zones seek to protect the remaining forest fragments and promote sustainable agricultural practices that absorb labor, meet market demand, and generate ecosystem services. Assessments of these efforts often find that rates of sustained uptake are disappointingly low and that impacts are difficult to discern, but this could be due to the short‐time frames of both the efforts themselves and their evaluation. We investigate the impacts of participation in an internationally sponsored farmer association that for 15 years promoted sustainable agricultural practices in the heavily deforested state of Rondônia, Brazil. Using data from a georeferenced four‐period panel survey of farmers in combination with remote sensing data on land use spanning the life of the association, we apply matching methods to estimate the impacts of participation. We find that membership resulted in more diversified production systems, including more land allocated to agroforestry. Members also deforested less of their farms, but this difference is not statistically significant after we control for selection bias in membership.     

常州市渔业生产合法性审查工作的实践与思考

通过阐述水产养殖主体、苗种来源、产地、投入品、产品和记录六个方面的渔业生产合法性审查主要内容以及审查分工与审查程序,总结2011—2013年常州市渔业生产合法性审查工作的组织推进、综合评审、结果运用、规范管理等实践情况,分析渔业生产合法性审查工作中存在问题,并提出对策建议。建议在更高层面、更广范围推行渔业生产合法性审查工作,为渔业行政管理部门及其渔政监督机构深入推进依法行政、保障水产品质量安全、维护渔农民权益、促进渔业持续健康发展,探索一条全新的路径。     

Testing market integration for Japanese retail seafood markets

Although Japan is one of the largest seafood‐consuming countries, with various types of seafood products traded throughout the nation, few studies have explored how this market is integrated from the aspect of market price. Because Japanese consumers in different regions have different preferences for seafood, we focused our study to see how the regional seafood retail markets (Tokyo, Osaka, Nagoya, Sapporo, and Fukuoka) are integrated for 10 major seafood products (horse mackerel, short‐necked clams, yellowtail, scallops, cuttlefish/squid, flounder, tuna, mackerel, saury, and octopus) consumed in Japan. We applied the relatively new Phillips–Sul convergence test for our analysis. For most of the seafood products investigated in this study, our results indicate that the Japanese regional seafood markets cannot be integrated as a whole and that marketing strategies need to consider the peculiar characteristics of the regional seafood markets.     

Willingness to pay for brands: a cross‐region,cross‐category analysis

Using survey data collected in multiple locations (California and Texas in the United States and Revohot in Israel), we quantify category‐ and location‐specific variations of consumers’ willingness to pay (WTP) for brand products after controlling for consumer characteristics. We find that consumers have a similar qualitative assessment of brand value in different product categories across different locations. That is, consumers have a stronger preference and higher WTP for brands in consumer electronics, followed by clothing and then processed food, and the lowest in fresh produce. Furthermore, we simulate price premiums and market shares of brands relative to generic products in different categories. Simulation results suggest that brands in fresh produce have the highest price premium but lowest market share. Despite the similarities, the magnitude of WTP for brands as well as the simulated price premium and the corresponding market share in the same product category are location variant. The similarities and dissimilarities suggest validity of having global brand strategies adapted to local conditions, that is, the so‐called “thinking globally and acting locally” strategy.     

Land titling policy and soil conservation in the northern uplands of Vietnam

In Vietnam, a quasi-private property regime has been established in 1993 with the issuance of exchangeable and mortgageable long-term land use right certificates. Using primary qualitative and quantitative data collected in a mountainous district of Northern Vietnam, this paper investigates the role of the land policy in the adoption of soil conservation technologies by farmers. This issue is of crucial importance in the region where population growth and growing market demands have induced farmers to intensify agricultural production. While poverty has been reduced, environmental problems such as soil erosion, landslides, and declining soil fertility have become more severe over the past years. Our findings suggest that despite farmers’ awareness of erosion, soil conservation technologies are perceived as being economically unattractive; therefore, most upland farmers continue to practice the prevailing erosion-prone cultivation system. Focusing on agroforestry as one major soil conservation option, we estimate household and plot-level econometric models to empirically assess the determinants of adoption. We find that the possession of a formal land title positively influences adoption, but that the threat of land reallocations in villages discourages adoption by creating uncertainty and tenure insecurity. The analyses reveal that these two effects interact with each other but are of small magnitude. We conclude that the issuance of land titles is a necessary but not sufficient prerequisite to encouraging the adoption of soil conservation practices. However, current practices remain economically unattractive to farmers. This deficiency needs to be addressed by interdisciplinary research and complemented by strong efforts by local authorities to promote sustainable land use.     

Consumer Attitude towards Organic Labeling Schemes in Japan

ABSTRACT

Japan is the most lucrative organic market in the Asian region and is projected to account for about 80% of the Asian market revenues by 2009 (Kuhlmann and Jones, 2006). This study identifies Japanese consumer preference and interest in two major labeling information- source of organic certification/traceability and country of origin for organic food products. Stated preference method (SPM) based survey data was collected from two major cities in Japan in order to develop Japanese consumers' organic food choice model. Findings show that Japanese consumers are willing to pay 10% price premium for the organic food products compared to conventional products that have no specific labeling, suggesting a significant profit margin to be possibly captured by the organic producers and marketers. The Japanese consumers have perceived value of the JAS label in their stated preference and showed willingness to pay a price premium for this quality certification system, which validates the importance of government-regulated mandatory labeling. Regarding the country origin labeling issue, the Japanese consumers showed clear preference for the domestic organic products to the imported products, while showing no preference for any particular country origin for imported organic products. For private-voluntary organic labeling, the consumer organization-led organic label is considered to be more reliable source than the retailer-guaranteed organic label.