Click here to download

Consumer preferences and willingness-to-pay for integrated production label on common beans
Author/s: Aluisio Goulart Silva, Maurizio Canavari, Alcido Elenor Wander 
Year:  2018 Issue: Language: English 
Pages:  18 Pg. 11-28 FullText PDF:  162 KB
DOI:  10.3280/ECAG2018-001002
(DOI is like a bar code for intellectual property: to have more infomation:  clicca qui   and here 

Integrated Production has been applied in Brazil since 1998/99 aiming to mitigate the negative environmental impact of intensive production areas, and to improve the quality of the beans produced. Economic and market analysis is fundamental in providing adequate and better understanding of the likely response of potential buyers regarding this kind of product, especially when a premium price is feasible. The objective of this study was to analyse consumer perception of beans with a hypothetical integrated production label and estimate consumer willingnessto-pay for labelled beans. Data was collected from a sample of 160 consumers living in Goiânia, Brazil, using a questionnaire survey based on a discrete choice approach. The attributes (and levels) used in the choice experiment were label (IP labeled vs. conventional), price (3 levels), and brand (preferred vs. fictitious). Multinomial logit and mixed logit models were used to analyze data. The findings indicate that consumers are sensitive to the presence of the hypothetical label and are willing to pay more for IP certified beans. Thus, there could be an unmet demand for safe and sustainable food products because consumers apparently prefer the certified alternative, even when the brand is known and price is higher.
Keywords: Consumer behaviour, stated preferences, certification, labelling, credence attributes
Jel Code: D12

  1. Anderson, M.D., Hollingsworth, C.S., Van Zee, V., Coli, W.M., & Rhodes, M. (1996). Consumer response to integrated pest management and certification. Agriculture, Ecosystems & Environment, 60(2)., 10.1016/S0167-8809(96)01097-3DOI: 10.1016/S0167-8809(96)01097-3
  2. Andrigueto, J.R., Nasser, L.B., Teixeira, J.A., Simon, G., Veras, M.V., Medeiros, S.F., … Kososki, A.R. (2009). Panorama Mundial e Nacional. Em M.A. brasil. Produção Integrada no Brasil: agropecuária sustentável e alimentos seguros (pp. 33-58). Brasília: mapa/acs.
  3. Akerlof, G. (1970). The Market for “Lemons”: Quality Uncertainty and the Market Mechanism. The Quarterly Journal of Economics, 84(3), 488-500. -- Retrieved from
  4. Barbosa, F.R., Silva, C.C., Gonzaga, A.D., Silveira, P.M., Quintela, E.D., Lobo Junior, M., … Junqueira, R.M. (2009). Sistema de Produção Integrada do Feijoeiro Comum na Região Central Brasileira. Circular Técnica 86. Santo Antônio de Goiás, GO, Brasil: Embrapa Arroz e Feijão.
  5. Bazzani, C., Caputo, V., Nayga, R.M., & Canavari, M. (2017). Revisiting Consumers’ Valuation for Local Versus Organic Food Using a Non-Hypothetical Choice Experiment: Does Personality Matter? Food Quality and Preference, 62, 144-154.
  6. Bennett, J. (2005). Choice modelling: a step-by-step guide. The Economics Branch, Policy Division, EPA. -- Retrieved from
  7. Bonti-Ankomah, S., & Yiridoe, E.K. (2006). Organic and Conventional food: a literature review of the economics of consumer perceptions and preferences.
  8. Organic Agriculture Centre of Canada. Truro, Nova Scotia: Organic Agriculture Centre of Canada.
  9. brasil (2015). Produção Integrada da Cadeia Agrícola. -- Acesso em 14 de Set. De 2015, disponível em Ministério da Agricultura:
  10. Breidert, C., Hahsler, M., & Reutterer, T. (2006). A review of methods for measuring willingness-to-pay. Innovative Marketing, 2(4), 8-32. -- Retrieved from
  11. Canali, G. (2011). Possibili effetti sui consumatori di un sistema di qualità nazionale della produzione integrata. Economia Agro-Alimentare, 13(3), 129-143.
  12. Caswell, J.A. (1998). How labeling of safety and process attributes affects markets for food. Agricultural and Resource Economics Review, 27(2), 151-158. -- Retrieved from
  13. European Parliament. (2009). Directiva 2009/128/EC of the European Parliament and of the Council of 21 october 2009 establising a framework for Community action to achieve the sustainable use of pesticides. Off. J. Eur. Union, 309, 71-86.
  14. Gawron, J.C., & Theuvsen, L. (2009). Agrifood Certification Schemes in an Intercultural Context: theoretical reasoning and empirical findings. 113th EAAE Seminar “A resilient European food industry and food chain in a challenging world”. Chania: eaae. -- Retrieved from
  15. Grebitus, C., & Dumortier, J. (2016). Effects of values and personality on demand for organic produce. Agribusiness, 32(3), 189-3202.
  16. Govindasamy, R., Italia, J., & Adelaja, A. (Oct. de 2001). Predicting willingnessto-pay a premium for integrated pest management produce: a logistic approach. Agricultural and Resource Economics Review, 30(2), 151-159., 10.1017/S106828050000109XDOI: 10.1017/S106828050000109X
  17. Greene, W.H. (2012). nlogit Econometric Software, Inc.
  18. Hensher, D.A., Rose, J.M., & Greene, W.H. (2005). Applied Choice Analysis: a primer. Cambridge: Cambridge University Press., 10.1007/9781316136232DOI: 10.1007/9781316136232
  19. iobc (2004). iobc-wprs IP & ipm: Integrated Production Principles of iobc. -- Acesso em 20 de Sept de 2015, disponível em International Organisation for Biological and Integrated Control (iobc):
  20. Kerr, G.N., & Sharp, B.H. (2009). Efficient design for willingness to pay in choice experiments: evidence from the field. New Zealand Agricultural and Resources Economics Society Conference. Nelson: nzares. -- Retrieved from
  21. Kuhar, A., & Juvančič, L. (2010). What determines purchasing behaviour for organic and integrated fruits and vegetables? Bulgariam Journal of Agricultural Science, 16(2), 111-122. -- Retrieved from
  22. Lancaster, K.J. (1966). A New Approach to Consumer Theory. The Journal of Political Economy, 74(2), 132-157. -- Retrieved from
  23. Lusk, J.L. (2002). Effects of cheap talk on consumer willingness-to-pay for golden rice. American Agricultural Economics Association Annual Meeting. Long Beach. -- Retrieved from
  24. Mangham, L.J., Hanson, K., & McPake, B. (2009). How to do (or not to do)… Designing a discrete choice experiment for application in a low-income country. Health Policy and Planning, 24, 151-158.
  25. McCluskey, J.J., & Loureiro, M.L. (Nov. de 2003). Consumer preferences and willingness to pay for food labeling: a discussion of empirical studies. Journal of Food Distribution Research, 34(3), 95-102. -- Retrieved from
  26. McFadden, D. (1986). The Choice Theory Approach to Market Research (Special Issue on Consumer Choice Models). Marketing Science, 5(4), 275-297.
  27. Moser, R., Raffaelli, R., & McFadden, D.T. (2011). Consumer preferences for fruit and vegetables with credence-based attributes: a review. International Food and Agribusiness Management Review, 14(2), 121-142. -- Retrieved from
  28. Moura, T.L., Silva, A.L., & Batalha, M.O. (2006). Perfil dos consumidores que frequentam os formatos de varejo de alimentos no Brasil. Encontro da anpad. Salvador: enanpad. -- Retrieved from
  29. Radić, I., & Canavari, M. (2014). Viennese consumers’ preferences and willingness to pay for raspberries from Arilje, Serbia. Economia Agro-Alimentare, 16(3), 27-42., 10.3280/ECAG2014-003004DOI: 10.3280/ECAG2014-003004
  30. Sackett, H.M., Shupp, R.S., & Tonsor, G.T. (2012). Discrete choice modeling of consumer preferences for sustainably produced steak and apples. -- Retrieved from Inc. (2013). SPSS for Windows, version 22.0.
  31. Stopher, P. (2012). Collecting, managing, and assessing data using sample surveys. Cambridge: Cambridge University Press.
  32. Tonsor, G.T., & Shupp, R. (Dec. de 2009). Valuations of “sustainably produced” labels on beef, tomato, and apple products. Agricultural and Resource Economics Review, 38(3), 371-383., 10.1017/S106828050000962XDOI: 10.1017/S106828050000962X
  33. Vojáček, O., & Pecáková, I. (2010). Comparison of discrete choice models for economic environmental research. Prague Economic Papers, 1.
  34. Wander, A.E., Bassinello, P.Z., & Ricardo, T.R. (2006). Perfil dos consumidores de arroz e feijão na Região Metropolitana de Goiânia. Comunicado Técnico, 127. Santo Antônio de Goiás, GO, Brasil: Embrapa Arroz e Feijão.
  35. Wander, A.E., Lacerda, A.V., Freitas, F.C., Didonet, A.D., & Didonet, C.G. (2007). Alimentos Orgânicos: oportunidades de mercado e desafios. Revista Política Agrícola, XVI(2), 44-55.
  36. Wongprawmas, R., & Canavari, M. (2017). Consumers’ willingness-to-pay for food safety labels in an emerging market: The case of fresh produce in Thailand. Food Policy, 69.
  37. Wongprawmas, R., Padilla Bravo, C.C.A., Lazo, A., Canavari, M., & Spiller, A. (2015). Practitioners’ perceptions of the credibility of food quality assurance schemes: exploring the effect of country of origin. Quality Assurance and Safety of Crops & Foods, 7(5), 789-799., 10.3920/QAS2013.0359DOI: 10.3920/QAS2013.0359

Aluisio Goulart Silva, Maurizio Canavari, Alcido Elenor Wander, in "ECONOMIA AGRO-ALIMENTARE" 1/2018, pp. 11-28, DOI:10.3280/ECAG2018-001002


FrancoAngeli is a member of Publishers International Linking Association a not for profit orgasnization wich runs the CrossRef service, enabing links to and from online scholarly content