Hanbin Lee, Robin Goldstein, and Dan Sumner, economists at CAIL, analyzed the demand for food attributes, specifically organic claims and fresh-cut attributes, during the pandemic. This analysis was conducted using extensive survey data collected from US carrot buyers. Hanbin Lee, one of the co-authors, presented these findings at the Agricultural Economics Workshop hosted by the Department of Agricultural and Resource Economics at the University of California, Davis. He reported that, during COVID-19, the median estimate of willingness to pay for organic attributes experienced a slight increase. Conversely, the median estimate of willingness to pay for fresh-cut attributes – referred to as "baby-cut" in marketplaces – saw a slight decrease during the pandemic.
Abstract
This paper explores empirically the WTPs for the organic attribute and the baby-cut attribute (a fresh-cut attribute) of carrot products and focuses on how the WTP responded to the massive economic shock and market disruptions caused by the COVID-19 pandemic. A series of on-line survey responses were collected from hundreds of thousands of U.S. carrot buyers before and during the COVID-19 pandemic and lockdowns. We estimate that the median estimate of the WTP for an organic attribute rose from 0ドル.05 before COVID-19 to 0ドル.07 per pound during COVID-19. The median estimate of the WTP for the baby-cut attribute fell from 0ドル.56 before COVID-19 to 0ドル.51 per pound during COVID-19. The estimates of changes in WTP were not statistically significant for either attribute even with quite large national samples.
Droughts in California have been part of agriculture for a very long time...California is a wonderful place for many crops and that has not changed at all.
"So China has turned to U.S. corn, and that drives prices in the United States," said agriculture professor Daniel Sumner at University of California, Davis.
He said American farmers have been growing more corn to meet demand, so they have less room for other crops.
"Corn takes land away from wheat. Well, that reduces wheat supply, and you increase the price of wheat as a consequence," Sumner said.
Snowpack statewide is only at 59% of its April 1 average, based on electronic measurements according to the California Department of Water Resources. Farmers in the Central Valley producing water-intensive crops such as almonds and tomatoes are already facing some difficult choices. “It’s really serious, particularly in the Central Valley.”
How California farmers view climate change action and adaptation. How
carbon pricing and border adjustments will affect farm economics in
California. Growing use of electric tractors, trucks, and solar power on
California farms.
Sumner presented data and projections for the long term future of California Agriculture to seed industry professionals at the UC Davis Seed Central Oniline Event on December 10.
The threat of heat illness remains a concern in California agriculture. This video emphasizes that farm workers and farm operators share benefit from measures to mitigate high temperatures. At about 1 min 30 sec. Sumner outlines the economic incentives benefits to farm of reducing the chance of worker heat illness.
The threat of heat illness remains a concern in California agriculture. This video emphasizes that farm workers and farm operators share benefit from measures to mitigate high temperatures. At about 1 min 30 sec. Sumner outlines the economic incentives benefits to farm of reducing the chance of worker heat illness.
