Beekeepers in the global 'fair trade' market: a case from Tabora Region, Tanzania

The article examines the production of Tanzanian honey and beeswax for European fair trade markets. It presents a case study of the Tabora Beekeepers Co-operative Society.

Consumers' attitudes, trust and willingness to pay for food information

Market failure can be corrected using different regulatory approaches ranging from high to low intervention. Recently, classic regulations have been criticized as costly and economically irrational and thus policy makers are giving more consideration to soft regulatory techniques such as information remedies. However, despite the plethora of food information conveyed by different media there appears to be a lack of studies exploring how consumers evaluate this information and how trust towards publishers influence their choices for food information. In order to fill such a gap, this study investigates questions related to topics which are more relevant to consumers, who should disseminate trustful food information, and how communication should be conveyed and segmented. Primary data were collected both through qualitative (in depth interviews and focus groups) and quantitative research (web and mail surveys). Attitudes, willingness to pay for food information and trust towards public and private sources conveying information through a new food magazine were assessed using both multivariate statistical methods and econometric analysis. The study shows that consumer attitudes towards food information topics can be summarized along three cognitive-affective dimensions: the agro-food system, enjoyment and wellness. Information related to health risks caused by nutritional disorders and food safety issues caused by bacteria and chemical substances is the most important for about 90% of respondents. Food information related to regulations and traditions is also considered important for more than two thirds of respondents, while information about food production and processing techniques, life style and food fads are considered less important by the majority of respondents. Trust towards food information disseminated by public bodies is higher than that observed for private bodies. This behavior directly affects willingness to pay (WTP) for food information provided by public and private publishers when markets are shocked by a food safety incident. WTP for consumer association (€ 1.80) and the European Food Safety Authority (€ 1.30) are higher than WTP for the independent and food industry publishers which cluster around zero euro. Furthermore, trust towards the type of publisher also plays a key role in food information market segmentation together with socio-demographic and economic variables such as gender, age, presence of children and income. These findings invite policy makers to reflect on the possibility of using information remedies conveyed using trusted sources of information to specific segments of consumers as an interesting soft alternative to the classic way of regulating modern food markets.

From harmonisation to better, smart and fit food law

As the European Union (EU) approaches its 60th anniversary, it is worth assessing progress towards a key objective – the abolition of barriers to the marketing of food in the EU. Food has always created particular problems for the EU as national differences in diets, culture and geography make standardisation impossible. Early attempts focussed on direct measures to harmonise requirements or, later, to create an ‘internal market’. Subsequently a changed emphasis brought about the need to focus more clearly on the harmonisation of food safety. More widely, the recent recognition that too much legislation can itself create barriers has led legislators to attempt to consider more carefully the impact of their efforts. This paper reflects on the various stages in the creation of harmonised food controls and considers how case law has impacted the process. Today there are still differences and complete barrier-free trade seems some way off.

Sensory profiles and consumer acceptability of a range of sugar-reduced products on the UK market

Current UK intake of non-milk extrinsic sugars (NMES) is above recommendations. Reducing the sugar content of processed high sugar foods through reformulation is one option for reducing consumption of NMES at a population level. However, reformulation can alter the sensory attributes of food products and influence consumer liking. This study evaluated consumer acceptance of a selection of products that are commercially-available in the UK; these included regular and sugar-reduced baked beans, strawberry jam, milk chocolate, cola and cranberry & raspberry juice. Sweeteners were present in the reformulated chocolate (maltitol), cola (aspartame and acesulfame-K) and juice (sucralose) samples. Healthy, non-smoking consumers (n = 116; 55 men, 61 women, age: 33 ± 9 years; BMI: 25.7 ± 4.6 kg/m2) rated the products for overall liking and on liking of appearance, flavor and texture using a nine-point hedonic scale. There were significant differences between standard and reduced sugar products in consumers’ overall liking and on liking of each modality (appearance, flavor and texture; all P < 0.0001). For overall liking, only the regular beans and cola were significantly more liked than their reformulated counterparts (P < 0.0001). Cluster analysis identified three consumer clusters that were representative of different patterns of consumer liking. For the largest cluster (cluster 3: 45%), there was a significant difference in mean liking scores across all products, except jam. Differences in liking were predominantly driven by sweet taste in 2 out of 3 clusters. The current research has demonstrated that a high proportion of consumers prefer conventional products over sugar-reduced products across a wide range of product types (45%) or across selected products (27%), when tasted unbranded, and so there is room for further optimization of commercial reduced sugar products that were evaluated in the current study. Future work should evaluate strategies to facilitate compliance to dietary recommendations on NMES and free sugars, such as the impact of sugar-reduced food exposure on their acceptance.

Segmenting the Italian coffee market: marketing opportunities for economic agents working along the international coffee chain

Globalization, either directly or indirectly (e.g. through structural adjustment reforms), has called for profound changes in the previously existing institutional order. Some changes adversely impacted the production and market environment of many coffee producers in developing countries resulting in more risky and less remunerative coffee transactions. This paper focuses on customization of a tropical commodity, fair-trade coffee, as an approach to mitigating the effects of worsened market conditions for small-scale coffee producers in less developed countries. fair-trade labeling is viewed as a form of “de-commodification” of coffee through product differentiation on ethical grounds. This is significant not only as a solution to the market failure caused by pervasive information asymmetries along the supply chain, but also as a means of revitalizing the agricultural-commodity-based trade of less developed countries (LDCs) that has been languishing under globalization. More specifically, fair-trade is an example of how the same strategy adopted by developed countries’ producers/ processors (i.e. the sequence product differentiation - institutional certification - advertisement) can be used by LDC producers to increase the reputation content of their outputs by transforming them from mere commodities into “decommodified” (i.e. customized and more reputed) goods. The resulting segmentation of the world coffee market makes possible to meet the demand by consumers with preference for this “(ethically) customized” coffee and to transfer a share of the accruing economic rents backward to the Fair-trade coffee producers in LDCs. It should however be stressed that this outcome cannot be taken for granted since investments are needed to promote the required institutional innovations. In Italy FTC is a niche market with very few private brands selling this product. However, an increase of FTC market share could be a big commercial opportunity for farmers in LDCs and other economic agents involved along the international coffee chain. Hence, this research explores consumers’ knowledge of labels promoting quality products, consumption coffee habits, brand loyalty, willingness to pay and market segmentation according to the heterogeneity of preferences for coffee products. The latter was assessed developing a D-efficient design where stimuli refinement was tested during two focus groups.

Consumers perception and evaluation of fresh cut buying attributes: a survey on the Italian market

During the last twenty years, consumer choice in high income countries is no longer merely dictated by price and the organoleptic characteristics of a product, but also by other features some of which are not patently tangible. The growing importance of such attributes in the process of consumer choice is not only due to income increase, but also to changes in lifestyle such as migrations from the countryside, a generalized urbanization and consequential city life style, female emancipation and work outside the domestic walls for women, the drastic decrease in hard physical labor and the process of internationalization. The present survey study aims to explore the importance that Italian consumers give to fresh cut buying attributes and which of these attributes should be taken into consideration by industries in order to satisfy the needs of the most critical shoppers. Where possible, market and survey data for fresh cut products will be compared with those for cooked products and before presenting the results and conclusions of the study, the technical issues of processing will be highlighted owing to the fact that they affect the marketing of these products, the recent market situation with regard to consumption will be illustrated and the methodology used will be described.

Mobile phones and radios: effects on transactions costs and market participation for households in Northern Ghana

The literature on agricultural markets suggests that transactions costs are the main obstacles preventing households from participating in agricultural markets. We examine the impact of the recent massive penetration of information communication technologies (ICTs), particularly mobile phones and radios, in developing countries to investigate the role of information in economic transactions and participation in food crop markets. To fully capture market participation behaviours, the current theoretical framework on market participation and transactions costs is extended to include those households that sell and buy in the same time period. We correct for endogeneity and selectivity throughout our models. We used a novel dataset of 393 households in northern Ghana with detailed information on market transactions and ICTs usage. Results show that receiving market information via mobile phones has a positive and significant impact on market participation, with a greater impact for households with a surplus of food crops. We find that radios have a larger impact on the quantity traded. This may reflect the nature of mobile phones in reducing searching costs, whereas radios provide an updated and regular flow of information which affects the pattern of crops consumed and sold. We also emphasise that the most significant factor is how ICTs are used, rather than their ownership.

A possible reconceptualization of food engineering discipline

Food industry is critical to any nation’s health and well-being; it is also critical to the economic health of a nation, since it can typically constitute over a fifth of the nation’s manufacturing GDP. Food Engineering is a discipline that ought to be at the heart of the food industry. Unfortunately, this discipline is not playing its rightful role today: engineering has been relegated to play the role of a service provider to the food industry, instead of it being a strategic driver for the very growth of the industry. This paper hypothesises that food engineering discipline, today, seems to be continuing the way it was in the last century, and has not risen to the challenges that it really faces. This paper therefore categorises the challenges as those being posed by: 1. Business dynamics, 2. Market forces, 3. Manufacturing environment and 4. Environmental Considerations, and finds the current scope and subject-knowledge competencies of food engineering to be inadequate in meeting these challenges. The paper identifies: a) health, b) environment and c) security as the three key drivers of the discipline, and proposes a new definition of food engineering. This definition requires food engineering to have a broader science base which includes biophysical, biochemical and health sciences, in addition to engineering sciences. This definition, in turn, leads to the discipline acquiring a new set of subject-knowledge competencies that is fit-for-purpose for this day and age, and hopefully for the foreseeable future. The possibility of this approach leading to the development of a higher education program in food engineering is demonstrated by adopting a theme based curriculum development with five core themes, supplemented by appropriate enabling and knowledge integrating courses. At the heart of this theme based approach is an attempt to combine engineering of process and product in a purposeful way, termed here as Food Product Realisation Engineering. Finally, the paper also recommends future development of two possible niche specialisation programs in Nutrition and Functional Food Engineering and Gastronomic Engineering. It is hoped that this reconceptualization of the discipline will not only make it more purposeful for the food industry, but it will also make the subject more intellectually challenging and attract bright young minds to the discipline.

Good governance and market-based reforms : a study of Bangladesh

‘Good governance’ is increasingly regarded as pivotal to development in developing countries. The six indicators recognized as the most effective measurement tools of ‘good governance’ across the world are: voice and accountability; political stability and absence of violence; government effectiveness; regulatory quality; rule of law and control of corruption (Kaufmann, Kraay and Lobaton, 2003: 8–9). This paper investigates how lack of ‘good governance’ affects the success and sustainability of the market-based reforms undertaken in the agriculture sector of Bangladesh. The reforms have been associated with increased food grain production, improved food security conditions and easy access by farmers to agricultural inputs. However, a significant problem has arisen recently: the sale of low quality and underweight agricultural inputs sometimes at higher prices has become common. Not only is this problem undermining the positive impact of the reforms, it is also threatening their sustainability. The paper argues that the problems with regulatory quality, rule of law and control of corruption – indicators of good governance – are the underlying reasons for this problem. In the context of increasing pressures from donors to pursue market-based reforms, this paper stresses the need for integrated governance linking government, business and civil society as paramount for promoting good governance for the success and sustainability of the reforms.

Childhood obesity - a sign of commercial success, but a market failure.

'Obesogenic' products, such as energy dense foods, passive entertainment products, cars, and labour-saving devices, are widely available and heavily promoted. Because they are highly consumed and very profitable, obesity becomes the inevitable consequence of their commercial successes. Contemporary market forces heavily favour behaviours for short-term preferences (i.e. over-consumption and underactivity) over long-term preferences (i.e. healthy weight) and this is especially true for children. Hence, if the market, as the main mechanism for determining choices, results in outcomes, which make our children worse off, as is occurring with childhood obesity, then the market has failed to sustain and promote social and individual goals. This is a serious market failure. In the current obesogenic environment, expecting adults, let alone children, to make food and activity choices in their own best long-term interests is, therefore, demonstrably flawed. We argue that significant government intervention is needed to correct this market failure, as has been done for other major health problems.

Environmentally sustainable food production and marketing : opportunity or hype?

Purpose: Identify and analyse the beliefs of value-chain intermediaries regarding the production and marketing of food products conforming to environmentally sustainable standards.

Methodology: In-depth, semi-structured, face-to-face interviews with senior managers of food companies across the value chain.

Findings: In Australia, the demand for foods that are produced under environmentally sustainable standards has been slow to take-off because (a) customers do not perceive these products as offering any special benefits (b) customers distrust the claims made by organisations (c) these products are much more expensive than traditional products, and (d) the implementation of environmental standards is expensive. Customers claim that the use of different terminologies such as organic, green and environmentally friendly in promoting
food products is confusing.

Research Limitations: Findings are not generalisable because the study is based on a small sample.

Practical Implications: Value-chain intermediaries are unlikely to voluntarily adopt environmental standards because of low demand for such foods and the high costs of adopting and monitoring environmentally sustainable production and marketing regimes.

Do food regulatory systems protect public health?

The purpose of this commentary is to consider the extent to which food regulatory systems protect public health, and how a better job could be done. There are fundamental questions about the role of food regulations in responding to changes in food systems and to food-related public health issues. What is meant by the objective ‘to protect public health and safety’ in the context of food regulation? Are current systems well balanced between promoting trade and protecting health? What is the role of nutrition in food regulation? Should food regulation be used to promote as well as to protect public health? Should laws and regulations be used to intervene in the formulation and marketing of foods, or should ‘the market’ merely provide more choices and information for shoppers and consumers to select healthy diets?

The valuation of fast-food outlets : analysis, methodology, and reliability

Fast-food outlets are a significant subsector of the hospitality and tourism property market in Australia, and have experienced significant growth and global change in the past 20 years. However, little attention has been given in professional and academic literature to the valuation methodology and analysis of these properties. This article proposes a working definition of a fast-food outlet, traces recent changes in the structure of the fast-food industry, investigates the major determinants of value with respect to asset value, and examines to what extent these have changed. In particular, it isolates the role of goodwill in assessing going-concern value.

The valuation of fast food outlets in Australia : methodology, analysis and reliability

Fast food outlets are a significant sub sector of the Hospitality and Tourism Property Market and a specialized form of business. This form of hospitality outlet has experienced significant growth and change in the last 20 years. Their value as an asset is therefore of significant interest to many involved in the tourism and hospitality industry, not least fast food operators or potential operators and their financiers. However, little attention has been given in professional and academic literature to valuation methodology, the analysis of the major components of asset value, and the underlying factors which influence asset value. As such the reliability of the valuation process could justifiably be questioned.
This paper sets out a working definition of a fast food outlet. It investigates the major determinants of value with respect to asset value and examines the accepted methods of valuation of fast food outlets in Australia as well as establishing the methods most commonly used. It clarifies the major components of asset value and examines to what extent these have changed with the changing business environment. In particular it isolates the role of Goodwill in assessing Going Concern Value. Sources of data include a comprehensive literature review and personal interviews with professionals involved in the valuation process. The paper concludes that an efficient valuation process requires that fast food outlets be considered as both a real estate and business investment. The contribution of both tangible and intangible assets to the value of the asset must be identified.

Consumer concerns about food and health : examination of general and specific relationships with personal values and demographics

Purpose – Aims to investigate the relationships between consumers' food concerns and their personal values and demographic characteristics.

Design/methodology/approach – A questionnaire was administered in a cross sectional random population survey conducted among a sample of 1,000 adults in South Australia. The questionnaire elicited information about respondents' concerns about 20 food and health issues, the perceived importance of 23 values items derived from the Schwartz values inventory, and their demographic characteristics.

Findings – Principal components analyses derived four food concerns factors and six personal values factors. Respondents' safety concerns scores were positively associated with devout-tradition, order-discipline, and moderate-independent values. Their disease concerns score was positively linked to beauty-nature, devout-tradition, and order-discipline. Multiple regression and chi-square automatic interaction detection (CHAID) analyses showed that individual values items were strong predictors of consumers; specific concerns such as food and heart disease, and, genetic modification of foods.

Research limitations/implications – The research was based on a cross sectional study. More refined indices of food concerns and personal values should be used in replications of this preliminary study.

Practical implications – The findings support the use of psychographic market segmentation approaches in communication programs about food and health issues.

Originality/value – The findings suggest that personal values, may be stronger predictors of consumers' concerns about food and health issues than demographics. They also show that measurement level of values and concerns influence the observed strength of their relationships.