Sustainable intensification of beef production in Colombia—Chances for product differentiation and price premiums

Andrés Charry1, Manuel Narjes2, Karen Enciso1, Michael Peters1, Stefan Burkart1
1International Center for Tropical Agriculture, Valle del Cauca, Colombia
2University of Hohenheim, Stuttgart, Germany

Tóm tắt

AbstractTo 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.

Từ khóa


Tài liệu tham khảo

Améndola L, Solorio FJ, Ku-Vera JC, Améndola-Massiotti RD, Zarza H, Galindo F (2016) Social behavior of cattle in tropical silvopastoral and monoculture systems. J Animal 10(05):863–867. https://doi.org/10.1017/S1751731115002475

Bradford A (2015) Deforestation: facts, causes & effects. In: Live Science. http://www.livescience.com/27692-deforestation.html. Accessed June 2016.

Bremner JM, Blackmer AM (1978) Nitrous oxide: emission from soils during nitrification of fertilizer nitrogen. J Science. 199(4326):295–296. https://doi.org/10.1126/science.199.4326.295

Broom DM (2010) Animal welfare: an aspect of care, sustainability, and food quality required by the public. J Journal of Veterinary Medical Education. 37(1):83–88. https://doi.org/10.3138/jvme.37.1.83

Broom DM, Galindo FA and Murgueitio E (2013) Sustainable, efficient livestock production with high biodiversity and good welfare for animals. J Proc. R. Soc. 280(1771): 2013-2025. The Royal Society. DOI: https://doi.org/10.1098/rspb.2013.2025

Calle A, Montagnini F, Zuluaga AF (2009) Farmers’ perceptions of silvopastoral system promotion in Quindío, Colombia. J Bois et forets des tropiques 300(2):79–94

Calle Z, Murgueitio E, Chará J, Molina CH, Zuluaga AF, Calle A (2013) A strategy for scaling-up Intensive Silvopastoral Systems in Colombia. J Journal of sustainable forestry 32(7):677–693. https://doi.org/10.1080/10549811.2013.817338

Carmona, J. C., Bolívar, D. M., & Giraldo, L. A. (2005). El gas metano en la producción ganadera y alternativas para medir sus emisiones y aminorar su impacto a nivel ambiental y productivo. Revista Colombiana de Ciencias Pecuarias 18(1):49–63.

ChoiceMetrics (2014) Ngene 1.1.2 User Manual & Reference Guide, p 248.

Clark B, Stewart GB, Panzone LA, Kyriazakis I, Frewer LJ (2017). Citizens, consumers and farm animal welfare: A meta-analysis of willingness-to-pay studies. Food Policy. 68:112–127.

Curtis K, Feuz S and Aybar N (2012) Consumer willingness to pay for specialty meats. J All Current Publications. Paper 1016. https://digitalcommons.usu.edu/extension_curall/1016

DANE (2014) Censo Nacional Agropecuario, Tomo 2 Resultados [National Agricultural and Livestock Census, Book 2 Results]. https://www.dane.gov.co. Accessed May 2016

DANE (n.d.) Estratificación socioeconómica para servicios públicos domiciliarios [Socioeconomic stratification for public utilities]. https://www.dane.gov.co.

Dettmann RL and Dimitri C (2007) Organic consumers: a demographic portrayal of organic vegetable consumption within the United States. Paper presented at EAAE International Marketing and International Trade of Quality Food Products Meeting. Bologna, Italy March 2007. Accessed https://EconPapers.repec.org/RePEc:ags:eaa105:7899

do Paço AMF, Raposo MLB, Leal Filho W (2009) Identifying the green consumer: a segmentation study. J Journal of Targeting, Measurement and Analysis for Marketing. 17(1):17–25. https://doi.org/10.1057/jt.2008.28

Fisher MJ, Braz SP, Dos Santos RSM, Urquiaga S, Alves BJR, Boddey RM (2007) Another dimension to grazing systems: soil carbon. J Tropical Grasslands 41(2):65

Food and Agriculture Organization of the United Nations [FAOSTAT] (2019) FAOSTAT Database. Rome, Italy: FAO. http://www.fao.org/faostat/en/#home Accessed April 2019

Gerber PJ, Mottet A, Opio CI, Falcucci A, Teillard F (2015) Environmental impacts of beef production: review of challenges and perspectives for durability. J Meat science. 109:2–12. https://doi.org/10.1016/j.meatsci.2015.05.013

Gerber PJ, Steinfeld H, Henderson B, Mottet A, Opio C, Dijkman J, and Tempio G (2013) Tackling climate change through livestock: a global assessment of emissions and mitigation opportunities. Food and Agriculture Organization of the United Nations (FAO).

Gonzáles G (2015) ¿Cuántos embutidos y carnes rojas consumen los caleños? [How much red and processed meat do Cali people eat]. El Pais. http://www.elpais.com.co/elpais/cali/noticias/cuantos-embutidos-y-carnes-rojas-consumen-calenos. Accessed August 2016

González J, Cubillos A, Chadid M, Cubillos A, Arias M… and Berrío V (2018) Caracterización de las principales causas y agentes de la deforestación a nivel nacional período 2005-2015. Instituto de Hidrología, Meteorología y Estudios Ambientales – IDEAM. Ministerio de Ambiente y Desarrollo Sostenible. Programa ONU-REDD Colombia. Bogotá.

González JM (2013) Costos y beneficios de un sistema silvopastoril intensivo (SSPi), con base en Leucaena leucocephala (Estudio de caso en el municipio de Tepalcatepec, Michoacán, México). J Avances en Investigación Agropecuaria 17(3)

Guo LB, Gifford RM (2002) Soil carbon stocks and land use change: a meta analysis. J Global change biology. 8(4):345–360. https://doi.org/10.1046/j.1354-1013.2002.00486.x

Gurian-Sherman D (2011) Raising the steaks: global warming and pasture-raised beef production in the United States. Union of Concerned Scientists, Cambridge, MA

Gutteridge RC, Shelton HM (1993) The scope and potential of tree legumes in agroforestry. J Agroforestry Systems. 23(2-3):177–194. https://doi.org/10.1007/BF00704914

Gwin L (2009) Scaling-up sustainable livestock production: innovation and challenges for grass-fed beef in the US. J Journal of Sustainable Agriculture. 33(2):189–209

Hanley N, MacMillan D, Wright RE, Bullock C, Simpson I, Parsisson D, Crabtree B (1998) Contingent valuation versus choice experiments: estimating the benefits of environmentally sensitive areas in Scotland. J Journal of agricultural economics. 49(1):1–15. https://doi.org/10.1111/j.1477-9552.2000.tb01214.x

Harper GC and Makatouni A (2002) Consumer perception of organic food production and farm animal welfare. J British Food Journal. 104(3/4/5):287-299. DOI: https://doi.org/10.1108/00070700210425723

Hensher DA, Rose JM, Greene WH (2005) Applied choice analysis: a primer. Cambridge University Press

Ibrahim M, Guerra L, Casasola F and Neely C (2010) Importance of silvopastoral systems for mitigation of climate change and harnessing of environmental benefits. J Grassland carbon sequestration: management, policy and economics. 11:189.

Interamerican Development Bank [IDB] (2016) Agrimonitor. Climate change http://agrimonitor.iadb.org/en/special-topics/climate-change. Accessed August 2016

Jain SK, Kaur G (2006) Role of socio-demographics in segmenting and profiling green consumers: an exploratory study of consumers in India. J Journal of International Consumer Marketing 18(3):107–146

Lafaurie JF (2012) Retos de la globalización en el mercado lácteo [Challenges of globalization in the dairy market]. FEDEGAN-FNG. https://goo.gl/3y6lqp. Accessed June 2016

Li X, Jensen KL, Clark CD, Lambert DM (2016) Consumer willingness to pay for beef grown using climate friendly production practices. J Food Policy 64:93–106

Lusk JL, Schroeder TC (2004) Are choice experiments incentive compatible? A test with quality differentiated beef steaks. J American Journal of Agricultural Economics 86(2):467–482. https://doi.org/10.1111/j.0092-5853.2004.00592.x

Mahecha L, Gallego LA, Peláez FJ (2016) Situación actual de la ganadería de carne en Colombia y alternativas para impulsar su competitividad y sostenibilidad. J Revista Colombiana de Ciencias Pecuarias 15(2):213–225

Makdisi F and Marggraf R (2011) Consumer willingness-to-pay for farm animal welfare in Germany–the case of broiler. Paper presented in German Association of Agricultural Economists 51st Annual Conference (pp. 28-30). Halle.

Matthews C (2006) Livestock a Major Threat to Environment. FAO newsroom. Retrieved from https://www.fao.org/newsroom/en/News/2006/1000448/index.html.

McAlpine CA, Etter A, Fearnside PM, Seabrook L, Laurance WF (2009) Increasing world consumption of beef as a driver of regional and global change: a call for policy action based on evidence from Queensland (Australia), Colombia and Brazil. J Global Environmental Change. 19(1):21–33

McFadden D (1974) Conditional logit analysis of qualitative choice behavior. In: Zarembka P (ed) Frontiers in Econometrics. Academic Press, New York, pp 105–142

Meenakshi JV, Banerji A, Manyong V, Tomlins K, Mittal N, Hamukwala P (2012) Using a discrete choice experiment to elicit the demand for a nutritious food: willingness-to-pay for orange maize in rural Zambia. J Journal of Health Economics 31(1):62–71. https://doi.org/10.1016/j.jhealeco.2012.01.002

Milera M (2013) Contribución de los sistemas silvopastoriles en la producción y el medio ambiente. J Avances en Investigación Agropecuaria. 17(3):7–24

Mitani Y, Flores N (2010) Hypothetical bias reconsidered: payment and provision uncertainties in a threshold provision mechanism. J Environmental and Resource Economics 59. https://doi.org/10.1007/s10640-013-9741-0

Mitchell RC, Carson RT (1989) Using surveys to value public goods: the contingent valuation method. Resources for the Future, Washington, D.C.

Montagnini F, Ibrahim M, Murgueitio E (2013) Silvopastoral systems and climate change mitigation in Latin America. J Bois et Forets Des Tropiques. 67(316):3–16

Muñoz-M R (2014) Bienestar animal: un reto en la producción pecuaria [Animal welfare: a challenge in livestock production]. J Spei Domus 10(20):31–40. https://doi.org/10.16925/sp.v10i20.88

Murgueitio E, Chará J, Barahona R, Cuartas C, Naranjo JF (2014) Intensive Silvopastoral Systems (SPS), mitigation and adaptation tool to climate change. J Tropical and Subtropical Agroecosystems 17:49–62

Naranjo JF, Cuartas CA, Murgueitio E, Chará J and Barahona R (2012) Balance de gases de efecto invernadero en sistemas silvopastoriles intensivos con Leucaena leucocephala en Colombia [Greenhouse gas balance in intensive silvopastoral systems with Leucaena leucocephala in Colombia]. Livestock Research for Rural Development. Volume 24, Article #150. http://www.lrrd.org/lrrd24/8/nara24150.htm

Panadero AN (2010) Importancia de los sistemas silvopastoriles en la reducción del estrés calórico en sistemas de producción ganadera tropical. J Revista Medicina Veterinaria (19):113-122. DOI: https://doi.org/10.19052/mv.782

Peters M, Horne P, Schmidt A, Holmann F, Kerridge PC, Tarawali SA, and Fujisaka S (2001) The role of forages in reducing poverty and degradation of natural resources in tropical production systems. Overseas Development Institute (ODI). Agricultural research & extension network (AgREN).

Peters M, Rao I, Fisher M, Subbarao G, Martens S, Herrero M, and Hyman G (2013) Tropical forage-based systems to mitigate greenhouse gas emissions. In Eco-Efficiency: From Vision to Reality (p. 172–184). http://hdl.handle.net/10568/55611

Powers JS, Corre MD, Twine TE, Veldkamp E (2011) Geographic bias of field observations of soil carbon stocks with tropical land-use changes precludes spatial extrapolation. J Proceedings of the National Academy of Sciences. 108(15):6318–6322. https://doi.org/10.1073/pnas.1016774108

Rahman KM, Haque M (2011) Exploring price sensitivity of a green brand: a consumers’ perspective. J World Review of Business Research. 1(2):84–97

Rao I, Peters M, Castro A, Schultze-Kraft R, White D, Fisher M et al (2015) LivestockPlus – the sustainable intensification of forage-based agricultural systems to improve livelihoods and ecosystem services in the tropics. J Tropical Grasslands 3:59–82. https://doi.org/10.17138/TGFT(3)59-82

Risius A, Hamm U (2017) The effect of information on beef husbandry systems on consumers’ preferences and willingness to pay. J Meat Science. 124:9–14. https://doi.org/10.1016/j.meatsci.2016.10.008

Rudel TK, Paul B, White D, Rao IM, Van Der Hoek R, Castro A et al (2015) LivestockPlus: Forages, sustainable intensification, and food security in the tropics. J Ambio. 44(7):685–693. https://doi.org/10.1007/s13280-015-0676-2

Ruiz JP, Murgueitio E, Ibrahim M, Zuluaga AF (2011) Proyecto regional enfoques silvopastoriles integrados para el manejo de ecosistemas (2002-2008) [Regional Project integrated silvopastoral focus for ecosystem management]. Ganadería Colombiana Sostenible, Cali, Fundación CIPAV

Schwepker Jr CH and Cornwell TB (1991) An examination of ecologically concerned consumers and their intention to purchase ecologically packaged products. J Journal of Public Policy & Marketing. 77-101.

Shabani N, Ashoori M, Taghinejad M, Beyrami H, Fekri MN (2013) The study of green consumers’ characteristics and available green sectors in the market. J International Research Journal of Applied and Basic Sciences. 4(7):1880–1883

Sharrow SH, Brauer D, Clason TR, Gene Garrett HE (2009). Silvopastoral practices. North American agroforestry: An integrated science and practice, 2nd edn. American Society of Agronomy, Madison, pp 105–131.

Smith P, Martino D, Cai Z, Gwary D, Janzen H, Kumar P et al (2008) Greenhouse gas mitigation in agriculture. J Philosophical Transactions of the Royal Society B: Biological Sciences. 363(1492):789–813. https://doi.org/10.1098/rstb.2007.2184

Sparke K, Menrad K (2009) Cross-European and functional food-related consumer segmentation for new product development. J Journal of Food Products Marketing 15(3):213–230

Subbarao GV, Nakahara K, Hurtado MDP, Ono H, Moreta DE, Salcedo AF et al (2009) Evidence for biological nitrification inhibition in Brachiaria pastures. J Proceedings of the National Academy of Sciences 106(41):17302–17307. https://doi.org/10.1073/pnas.0903694106

Sylvester-Bradley R, Mosquera D, Mendez JE (1988) Inhibition of nitrate accumulation in tropical grassland soils: effect of nitrogen fertilization and soil disturbance. J Journal of Soil Science. 39(3):407–416. https://doi.org/10.1111/j.1365-2389.1988.tb01226.x

Tonsor GT, Olynk N, Wolf C (2009) Consumer preferences for animal welfare attributes: the case of gestation crates. J Journal of Agricultural and Applied Economics 41(03):713–730. https://doi.org/10.1017/S1074070800003175

Train KE (2009) Discrete choice methods with simulation. A guide to environmental labels – for procurement practitioners of the United Nations System. United Nations for Project Services. Cambridge university press.

Turinawe A, Mugisha J, Kabirizi J (2012) Socio-economic evaluation of improved forage technologies in smallholder dairy cattle farming systems in Uganda. J Journal of agricultural Science 4(3):163

United States Department of Agriculture/Foreign Agricultural Service (2019) Livestock and poultry: world markets and trade. https://www.fas.usda.gov/data/livestock-and-poultry-world-markets-and-trade Accessed April 2019

Van Loo EJ, Caputo V, Nayga RM, Verbeke W (2014) Consumers’ valuation of sustainability labels on meat. J Food Policy. 49:137–150. https://doi.org/10.1016/j.foodpol.2014.07.002

Verbeke W (2005) Consumer acceptance of functional foods: socio-demographic, cognitive and attitudinal determinants. Food quality and preference 16(1):45–57

Wassenaar T, Gerber P, Verburg PH, Rosales M, Ibrahim M, Steinfeld H (2007) Projecting land use changes in the neotropics: the geography of pasture expansion into forest. J Global Environmental Change. 17(1):86–104. https://doi.org/10.1016/j.gloenvcha.2006.03.007

White DS, Peters M, Horne P (2013) Global impacts from improved tropical forages: a meta-analysis revealing overlooked benefits and costs, evolving values and new priorities. J Tropical Grasslands-Forrajes Tropicales 1(1):12–24

Yavas U, Verhage BJ, Green RT (1992) Global consumer segmentation versus local market orientation: empirical findings. J MIR, Management International Review, pp 265–272