Impact of organic certification on the price of ready-to-drink fruit nectars and juices

Abstract

Several studies indicate that the consumer market considers the price of organic foods to be significantly high and attribute this fact as one of the main restrictive aspects for starting the consumption of organic foods or even increasing their frequency. Given this scenario, the present study is proposed as a way to confirm such a perception. Therefore, the purpose of the study is to evaluate if the price of organic is higher than conventional in the market of ready-for-consumption juices and nectars, using samples collected in Brazil and France. For this, the hedonic price methodology was applied, using as variables the information described on ready-to-drink processed juices/nectars marketed in Brazil and France. The results of the study confirm that organic version is more expensive, with the price being approximately 50% higher in the Brazilian market, and 10% higher in France. Additional attributes, such as type of packaging, pulp content, and flavor, are also relevant for the price. This is believed to be the first study to evaluate the impact on price of the organic certification of ready-for-consumption juices and nectars in different consumer markets.

Keywords:
hedonic price; organic food; attributes; Brazil; France