the differential valuation of farm animal welfare benefits ariane kehlbacher, r.m. bennett, k.g....
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The differential valuation of farm animal welfare benefits
Ariane Kehlbacher, R.M. Bennett, K.G. Balcombe
University of Reading, UK
Funding provided by the Economic and Social Research Council and the Department of Environment,
Food and Rural Affairs, UK
BackgroundBackground
Public concern about farm animal welfare
Consumers
Society
What are the benefits of farm animal welfare improvements?
1) different species
2) value different levels of animal welfare improvement
3) consumer benefits and benefits to society
AimAim
To value improvements in the welfare of different farm animal species, with particular consideration of consumer benefits and benefits to society in general.
Welfare scoreWelfare score Welfare QualityWelfare Quality Index Index combines on-farm welfare assessment
with a product label classifies farms into four welfare classes
Welfare score in this studyWelfare score in this study
beef cattle, pigs, broiler chicken
Welfare Quality® Index Welfare score
Welfare class 3 81-100
Welfare class 2 61-80
Welfare class 1 41-60
Welfare class 0 0-40
Choice experiment - meatChoice experiment - meat
Attribute Levels
Beef 40, 50, 60, 70, 90
Pork 40, 50, 60, 70, 90
Chicken 40, 50, 60, 70, 90
Increase in monthly meat expenditure (£)
0, 6, 8, 12, 16, 24
consumer benefits
Choice card – meatChoice card – meat
6 choice sets Which attributes did you consider?
Choice experiment – welfare Choice experiment – welfare legislationlegislation
Attribute Levels
Beef cattle welfare 40, 50, 60, 70, 90
Pig welfare 40, 50, 60, 70, 90
Broiler chicken welfare 40, 50, 60, 70, 90
Increase in annual tax (£) 0, 70, 110, 150, 190, 240
consumer benefits + social animal welfare benefits
Choice card – welfare legislationChoice card – welfare legislation
6 choice sets6 choice sets Which attributes did you consider?Which attributes did you consider?
Data collectionData collection
5 questionnaire versions
phone-mail/email-phone (n = 301)
stratified according to SEG and age
response rate 12%
Model SpecificationModel Specification Indirect utility function
Utility function
random parameters
ResultsResults(n=282)
(n=291)
WTP estimatesWTP estimates
MeatMeat
Welfare legislationWelfare legislation
Attribute Increase in annual meat expenditure for a 10 pt welfare increase (£)
Beef 60.00
Pork 42.00
Chicken 50.40
Attribute Increase in annual tax for a 10 pt welfare increase (£)
Beef cattle welfare 26.20
Pig welfare 19.20
Chicken welfare 17.80
DiscussionDiscussion WTPlegislation < WTPmeat
Possible reasons PV bias
“I object to paying more tax” , 25% strongly agree, 15% agree
lost option value
consumers’ freedom of choice = public good
WTPlegislation = consumption benefits + social animal welfare benefits - freedom of choice
WTPmeat = consumption benefits
Interpretation of the valuation scenario
did not consider consumer benefits
ConclusionConclusion welfare score is a useful concept in the
valuation of farm animal welfare
improving beef cattle welfare yields the largest benefits
benefits to consumers exceed benefits to society in general
policy makers should consider the introduction of a welfare labelling scheme before introducing any further legislation