Food values and heterogeneous consumer responses to nanotechnology

Agricultural applications of nanotechnology are at a relatively early stage and little is known about consumer responses to the technology. Canadian consumer responses to food nanotechnology are examined through the lens of the Food Value Scale. Data from a survey of Canadian consumers are used to evaluate the relative importance of eleven food values to food purchase decisions. We find that taste, safety, nutrition, and price are among the most important food values to Canadians, however, consumers exhibit considerable heterogeneity with respect to the priority placed on these values. A discrete choice experiment (DCE) explores the effect of food values on choice behavior. The DCE is positioned as a sliced apple product with non-browning and antioxidant-enhanced features introduced through the use of nanocoating or a conventional coating method. Random parameters logit (RPL) and latent class models (LCM) confirm the existence of significant preference heterogeneity. The LCM identifies three classes of consumers: “supporters,” “doubters,” and “opponents” who differ in their reaction to nanotechnology and in the relative importance placed on food values such as naturalness, novelty, and convenience. The analysis shows that food values provide additional insights into consumers’ food choices and their attitudes toward novel food technologies.     

Productive Restructuring and ‘Standardization’ in Mexican Horticulture: Consequences for Labour

In this paper we discuss how the establishment of strict quality and food safety norms for horticulture to satisfy the current consumer demands has forced enterprises to invest in modifying their productive processes. In the light of the unavoidable trend in favour of consumers, we analyze the precarious situation of farm workers, a situation that is not in tune with the concept of decent work promoted by the International Labour Organization or with the Social Accountability Standard promoted by the United Nations. We conclude that the enterprises have achieved major progress in productive restructuring to comply with quality standards, but at the expense of their workers' salaries and living and working conditions. This contradiction between the well‐being of the consumer and the misery of the worker is a fundamental characteristic explaining the current success of globalized agro‐food systems.     

Heterogeneous Consumer Preferences for Nanotechnology and Genetic‐modification Technology in Food Products

This study investigates heterogeneous consumer preferences for nanofood and genetically‐modified (GM) food and the associated benefits using the results of choice experiments with 1,117 US consumers. We employ a latent class logit model to capture the heterogeneity in consumer preferences by identifying consumer segments. Our results show that nano‐food evokes fewer negative reactions compared with GM food. We identify four consumer groups: ‘Price Oriented/Technology Adopters’, ‘Technology Averse’, ‘Benefit Oriented’, and ‘New Technology Rejecters’. Each consumer group has a distinctive demographic background, which generates deeper insights into the diversified public acceptance of nano‐food and GM food. Our results have policy implications for the adoption of new food technologies.     

Food Waste Avoidance Actions in Food Retailing: The Case of Denmark

Food waste occurs throughout the entire food supply chain, from production to consumption of food in households. Retailers are in a unique position to contribute to food waste avoidance, not only by minimizing the amount of waste in their distribution channels but also by influencing consumer attitudes and behaviors. This explorative study aims to identify which food waste avoidance actions are conducted by retailers in Denmark, to which extent, and how they vary across food categories and supermarket chain. Based on an analysis of secondary and empirical data collected via observations at retail stores, the authors identify 22 food waste avoidance actions in Danish retail. The results provide new insights into food waste avoidance in retail. Based on the findings, suggestions for further research directions are developed that should serve to identify the most efficient customer targeted actions in the in-store setting and marketing of suboptimal foods.     

A holistic approach to land system dynamics – The Monfurado case in Alentejo,Portugal

Understanding land system dynamics is fundamental for policy-making from local to global scale. Land system is a combination of land use, land management and territorial practices. To attain such complete information about landscape structures is a challenging task. Aiming to deepen knowledge on land systems, we applied a methodology meant to achieve a broader understanding of dynamics in the Sítio de Monfurado (SM), a Natura 2000 site and holder of High Nature Value farming systems. To do so, we combined spatial analysis of land system changes with a participatory approach designated as Territory Game. While the spatial analysis shows little change in the SM land systems, the territory is perceived as fast-changing by the territorial actors (e.g., stakeholders with an explicit role in territorial development). At both scales, and in agreement with literature, we find trends of simplification and intensification in land systems, typically associated with the reduction of multifunctionality. The combination of both approaches contributed to the understanding of past changes, the drivers that induce such changes, how these are interpreted and, how to act upon them in the future. The proposed combined methodology can bring new useful insights for policy-makers, although scaling from local to broader scale remains a challenge.     

An econometric analysis of demand for food quantity and quality in urban China

This article offers an analytical framework for studying consumer demand for food quality based on a theory‐consistent demand model, namely, the Exact Affine Stone Index specification. Importantly, it accounts for unobserved consumer and regional heterogeneity, and allows for arbitrary Engel curves. The empirical value of our framework is illustrated in an econometric analysis of demand for food quality in China. Evaluating possible structural changes in consumer food expenditures in China is of paramount importance, given the ever‐increasing global role of China and the implications of the structural food preference changes for the global food system. The major findings emerging from this study indicate that income is an important determinant of demand for food quality and quantity with the relatively more affluent provinces having a higher affinity for food quality.     

Communicating Food-Safety Risks to Key Stakeholders

In recent years, the public has become increasingly concerned about the safety of the food they eat. Anxieties are augmented each time there is a food crisis, with each new disease and resultant food safety concern adding to the perception that our food is no longer safe. Bridging the gap between the scientist/veterinarian, economist, farmer and consumer requires effective communication strategies. This article uses the example of paratuberculosis (Johne's disease) in cattle to illustrate the difficulties of communicating food-safety risks when considerable uncertainty exists. Scientific data linking this disease to Crohn's disease in humans is contradictory and far from conclusive. We show how the Codex Alimentarius system can be used as a template for communicating risk in such situations. This is a four-stage process that addresses public perceptions of the risk and the public's related information requirements. One aim is to give peoples' concerns as much emphasis as the risk statistics in an open and honest debate. The example highlights the difficulty of deciding when and how best to instigate the process. However, positive collaboration between epidemiologists, public health specialists, economists, food marketers and policy-makers to work in conjunction with consumers of both food and animal health products and services is essential for a satisfactory outcome.     

消费者需求受食品质量与安全影响的讨论分析

近年来,国内经济发展迅速,人们生活水平也得到很大提升,使得人们越来越重视安全,而食品是人们生活中的基本物质保障,是人们生活的必需品,所以食品的质量与安全问题是当下最热门的话题之一。当前消费者的需求会受食品质量与安全的影响,频发的食品质量与安全问题让人们愈发重视食品质量与安全,消费者的需求渐渐发生变化。基于此,本文展开了关于食品质量与安全对消费者需求的影响的研究。     

Effects of media headlines on consumer preferences for food safety,quality and environmental attributes

In recent years, Asia has emerged as an important supplier of food to Western countries. In this study, we focus on shrimp, a major aquaculture commodity, to evaluate consumer willingness‐to‐pay (WTP) for enhanced food safety, use of antibiotics and eco‐friendly practices used in producing shrimp in the presence of country‐of‐origin labelling. Specifically, this research assesses the effects of news headlines regarding product safety, as information shocks on U.S. consumer demand. Consumers were found to have a mean willingness‐to‐pay of $7.81 per pound of shrimp with an enhanced safety characteristic from the United States, $0.94 for the same type of shrimp from China and $2.43 for similar shrimp from Thailand. Consumers had a WTP for the absence of antibiotics in the production of U.S. shrimp of $7.31 and were only willing to pay for an eco‐friendly attribute on domestically produced shrimp. Media headlines were found to have a statistically significant effect on consumer preferences and WTP for product characteristics. Food policy and international agribusiness implications of our findings are discussed.     

Heterogeneous consumers and differentiated food markets: Implications for quality signaling in food supply chains

The Fellow's address begins by noting several recent consumer food trends and the changing way in which we perceive value-added. I then focus on the topic of heterogeneity in consumer behavior, reviewing contributions from the literature that enhance our ability as economists to model and measure heterogeneity. Supply chain responses to consumer heterogeneity are examined, including a discussion of information flows within supply chains and the role of certification and verification. I close with a consideration of policy implications flowing from consumer heterogeneity.     

Covid-19-tested food labels

While the transmission of virus SARS-CoV-2 via food is rare, some Chinese food retailers are considering a Covid-19-tested food label. However, how consumers may support such a label is unknown. We quantify Chinese consumers’ willingness to pay (WTP) for food carrying a Covid-19-tested label using an online choice experiment. We find that the WTPs for such a label are always positive for all food products considered. The amount of WTP depends on the entities authenticating the labels, country of origin of the food, and consumers’ socio-demographic status. Contrary to expectation, the knowledge on Covid-19 does not affect consumer preferences for the Covid-19-tested food labels. Our benefit and cost analysis suggests a possible large benefit of creating and administering a Covid-19-tested food label. This study provides insights for policymakers, global food manufacturers, and retailers to create marketing strategies to alleviate consumer food safety concerns associated with Covid-19.     

Food fraud: economic insights into the dark side of incentives

In this review, we contextualise the articles in this special issue, relating them to existing food fraud research, and identify food fraud research trends, challenges and priorities for the near term. We accomplish these aims through a comprehensive review of research by food scientists, economists, other social scientists, legal experts, government research groups and international trade organisations. Existing food fraud research is heavily weighted towards food science, packaging and labelling, and legal areas of knowledge discovery. Moving forward, research is needed pertaining to general economic welfare outcomes from food fraud incidences, economic incentives to deter frauds, economic spillovers from fraud incidences to other food products and markets (domestic and international) and further delineation of the effect of different types of food fraud on consumer and producer welfare. The articles in this special issue make significant contributions to understanding of the role of food fraud in consumer decisions, measuring consumer welfare losses from fraud, food fraud spillover effects to other markets and new frameworks for fraud analysis.     

TOWARDS A BROADER UNDERSTANDING OF MEAT DEMAND — PRESIDENTIAL ADDRESS

This paper sets out meat consumption trends in the United Kingdom and within other EU countries over the past 40 years; it shows that whereas in the UK meat consumption has only increased by a small amount, for other EU countries it has almost doubled. In analysing the data in more detail, it is apparent that ‘non-price/income’ factors have been playing a more important part both for the UK and other EU countries. It is true that in recent years there has been much more published empirical work on the effect of different attitude, demographic and structural factors on meat demand; commercial and Governmental organisations have also been collecting a significant amount of relevant unpublished data. However, there has not been much recent progress on integrated approaches which combine the analyses of the consumer behaviourist with those of the economist. The paper concludes by stating that this is an area of growing importance for the food industry and those interested in analysing food demand trends. Agricultural economists should therefore get more involved in it.     

Consumer Attitudes Toward Mandatory Traceability and Labeling Systems for Farmed Atlantic Salmon

The food incidence of polychlorinated biphenyls in farmed Atlantic salmon in Canada and its subsequent effects on the demand for farm-raised salmon has induced policymakers and stakeholders to develop new policies on food safety. This article analyzes consumer attitudes toward mandatory traceability and labeling systems for farmed Atlantic salmon in Newfoundland and Labrador. It identifies factors affecting consumers' decisions to purchase the product. Results show that consumers, on average, perceive the benefits of traceability and labeling systems on farm-raised Atlantic salmon in spite of its driving up the product price.     

Inducing the adoption of emerging technologies for sustainable intensification of food and renewable energy production: insights from applied economics*

Emerging advances in sustainable intensification technologies have the potential to transform land use and crop management approaches in ways that can increase resource productivity and reduce adverse environmental impacts of agricultural production. This paper describes emerging technologies that can sustainably intensify food and renewable energy production. We apply the findings from studies examining the adoption of technologies with similar stylized features to provide insights about the incentives and barriers for the adoption of these emerging technologies. We also present a landscape-based systems approach, based on welfare economics, to go beyond relying on a positive approach to explain observed adoption decisions to examining normative questions about the optimal mix, level, and location of adoption of these technologies to achieve desired societal outcomes. We conclude with a discussion of the insights from applied economics for the design of policy incentives to achieve these outcomes.     

Factors Impacting Food Safety Risk Perceptions

We developed and applied a model of consumer risk perceptions of beef food safety to better understand the underlying drivers of consumer demand for food safety. We show how consumer demographics, country‐of‐residence, as well as reliance on, and trust in, alternative food safety information sources affect risk perceptions of consumers in Canada, Japan and the United States. Consumers in all three countries have risk perceptions shaped by their level of reliance on observable and credence attribute information. Risk perceptions of consumers in each country are significantly higher for those less trusting of doctors. Moreover, personal and indirect food safety experiences substantially affect risk perceptions. These results are useful to decision‐makers in developing more efficient supply chain management strategies and public policies aimed at building or sustaining consumer confidence in food safety.     

Managing Food Chain Risks: Integrating Technical and Stakeholder Perspectives on Uncertainty

We explore ways for expressing and communicating uncertainties about food risks and the options for including views from different stakeholders, including members of the public, in risk assessment and risk management. Uncertainty is not only a major consideration of technical risk assessments but also needs to be understood within the two‐way interaction with various stakeholders, ranging from specialist risk managers to members of the public. We consider techniques for integration of technical risk assessment methodologies, including measures of the uncertainties, with social science inputs on participation processes, consumer behaviour and effective risk communication. We use case studies representing different types of risk – chemical contamination, and microbial contamination – to focus the discussion. The paper reviews the approach of ongoing interdisciplinary research which is exploring ways of communicating risks and involving members of the public and other stakeholders in defining the interfaces and processes needed.     

The future of Russia’s agriculture and food industry between global opportunities and technological restrictions

This paper reports on the result of a major foresight exercise commissioned by the Ministry of Agriculture of the Russian Federation on the prospective developments of the agriculture and food industry up to the year 2030. The exercise identified economic, technological, social and ecological trends that will greatly influence both supply and demand in the industry. The findings provide a decision base for policy-makers to improve the technology base and to ease the reliance on technology imports. The country’s agricultural producers have been struggling with the introduction of new technologies, and customers are showing conservative demand patterns. Previous research showed that technology transfer into Russian agricultural enterprises suffers from a low knowledge level especially in receiving organizations. The country’s own S&T system requires support both for technology development and technology transfer, especially for breeding of best-suited plants and animals for local circumstances. Furthermore, consumer behaviour could be influenced towards higher demand, for example, organic food or ethical husbandry.     

On the Consumer Value of Diversity: An Application to Italian Fish

This article investigates the consumer value of diversity both conceptually and empirically. It proposes a measure of diversity value based on a benefit function. It shows that the consumer value of diversity can arise from complementarity and/or convexity effects among consumer goods. The usefulness of the approach is illustrated by an application to fish in Italy. The investigation illustrates the role played by both convexity and complementarity in the valuation of diversity. The empirical evidence shows the importance of dynamics. It also documents how the value of diversity varies depending on the bundles considered.     

Traceability and ethical concerns in the UK wheat—bread chain: from food safety to provenance to transparency

Traceability systems that track both physical entities and their less tangible attributes are increasingly widely used in contemporary food supply to meet a range of regulatory and commercial objectives, including a growing number of ethical concerns. Even with a traditional combinable and blended food crop such as wheat to bread there is clear evidence of traceability from the variety and crop in the field through to the mill to the bakery to the shelf. This study examines the traceability systems that have emerged in the wheat to bread supply in the UK, and the ethical concerns that have emerged within this supply process. The study reveals that these ethical concerns are dynamic and evolving and are contested. In the case of the supply chains studied, a priority concern with safety aspects has been followed by an emerging greater focus upon the provenance of the wheat and flour and upon the environmental impacts of the more industrialized supply chains. A study of the traceability schemes in the chains and the views of the stakeholders reflects quite restricted ‘fields of ethical vision’. The governance and the transmission of information along the chains to the final consumer are quite restricted and partial, inhibiting transparency. The realization of greater transparency and ethical traceability to address different moral perspectives will need further changes in the governance and operation of the supply chains.