To promote the adoption of more sustainable cattle production systems in Colombia (mainly silvopastoral systems with improved forages), some sector stakeholders have proposed the development of differentiated, higher value beef products. However, there have been no rigorous estimations of local market potential and consumer preferences for these hypothetical products yet. On the other hand, while there are clear efforts concerning the environmental impacts of cattle production, its animal welfare implications have taken a secondary place. This research attempts to evaluate the consumer's response to both the environmental and animal welfare aspects of more sustainable food systems by (i) determining the characteristics of a consumer segment for sustainably produced beef using contingent valuation methods and (ii) estimating the marginal willingness to pay (MWTP) for animal welfare compliance and the environmental benefits derived from sustainable intensification within the identified consumer segment, employing a Discrete Choice Experiment (DCE). In addition, the study estimates the effect of information on consumer's MWTP for environmentally friendlier beef. Results show that consumers within the identified segment are willing to pay on average 40.2% more for beef certified with both animal welfare and eco-friendly standards, with an increase of nearly 10% after being provided with information of the sector's environmental impacts. These findings support some of the current climate change mitigation strategies in the national cattle industry while highlighting relevant opportunities and trade-offs in the context of a developing country.
In the future, the lignocellulosic perennial crops short rotation coppice (SRC) and miscanthus are supposed to provide renewable raw materials for a bio‐based economy. To assess the potential regional supply of these crops, which are not yet widespread in Baden–Wuerttemberg (Southwest Germany), we used a two‐step approach. In a first step, we conducted a Discrete Choice Experiment (DCE) in regions of Baden–Wuerttemberg that—given their site conditions—are suitable for SRC or miscanthus. The respondents were characterized by significant preference heterogeneity for both (negatively valued) perennial crops and for all presented choice attributes. Thus, it was appropriate to estimate a random parameter logit model (RPL). The attributes average yearly contribution margin, long‐term purchase guarantee and cultivation by colleagues in the neighborhood had a significantly positive effect on the likelihood of cultivation, whereas the attributes contribution margin variability and initial investment need showed a significantly negative effect. In a second step, assuming realistic values for the levels of the attributes considered in the DCE, in stochastic simulations, we randomly draw part‐worth utilities from the multivariate normal distribution of these parameters according to the RPL results. This way, for alternative biomass prices, we derived shares of farmers’ willing to engage in perennial crop production and produced related regional supply functions. Under moderate yield and realistic input and farmland opportunity cost assumptions, the full regional miscanthus potential can only be achieved when farmers are offered either subsidies or price‐risk‐reducing long‐term contracts. Based on empirically determined heterogeneous farmer preferences, our two‐step approach is suitable to yield realistic estimations of any not yet implemented farming practices. We finally note caveats related to our analysis and discuss some policy implications of the major findings.
Evidence points to past bee-mediated crop pollination deficits in Chanthaburi province, Eastern Thailand. Conversely, no such evidence has yet been reported for Chiang Mai province (Northern Thailand), suggesting that wild pollination is delivered there above the requirements of local orchards. Discrete choice experiments (DCE) were conducted to elicit the preferences of pollinator-dependent orchard farmers with regard to three pollinator conservation measures and their possible effects on of native bee populations in each region. We fitted random parameter logit (RPL) models on the resulting data to capture preference heterogeneity and to obtain willingness to pay (WTP) point estimates. To test our results’ robustness, we also inspected for scale heterogeneity by fitting generalized mixed logit (GMXL) models on the pooled and individual datasets. This yielded WTP space estimates (i.e., directly from WTP distributions) and made possible the comparison of farmers’ preferences for a native bee conservation policy in both regions. The results hint at significant WTP differences for some of the conservation policy attributes between both provinces. Furthermore, unobserved contributions to choice seem to have been more random in Chiang Mai. Our analyses also suggest that farmers who engage in bee-related activities are WTP more for a conservation policy that includes bee husbandry.
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