Rural landscape valuation in a cross-border region

The rural landscape is one of the most valuable agricultural externalities and it is often affected by modifications in the agricultural production process. Moreover, some rural areas are deteriorating due to the depopulation process while others are being transformed owing to socio-economic pressures. However, should agricultural policies concerning landscape preservation only be considered as cost items or should they be seen as sources of social benefits able to justify economic support? On this basis two surveys were carried out in order to study the economic value of the rural landscape, focusing in particular on viticulture. Both studies covered quality wine-producing areas on the Italian/Slovenian border: The Controlled Denomination of Origin zones of ‘Collio’ and ‘Colli Orientali del Friuli’ in Italy, and the municipality of Brda in Slovenia. Both surveys assessed the economic value of the rural landscape in order to estimate the social benefit that populations attach to landscape preservation measures. Despite the fact that similar methods were applied, results differed. The peculiar backgrounds affected our results in two ways. Firstly we found that there was a considerable difference in the way Italians and Slovenes valued the rural landscape. While Italians considered the development and extension of vineyards to be very important in counteracting the abandonment of rural areas, Slovenes preferred “traditional” landscapes (orchards, grasslands and vineyards). Secondly, in Slovenia it was difficult to apply the contingent valuation method, which is based on a hypothetical market scenario. More research should be carried out in order to study the methods that best fitthe preferences for rural landscape.rural landscape, contingent valuation method, Collio (Italy), Colli orientali del Friuli (Italy), Brda

The value of collective reputation for environmentally-friendly production methods: The case of Val di Gresta

In this paper we investigate consumers' preferences for various environment-friendly production systems for carrots. We use discrete-choice multi-attribute stated-preference data to explore the effect of collective reputations from growers of an Alpine valley known for its environment-friendly production: Val di Gresta 'the valley of organic orchards'. Data analysis of the panel of discrete responses identifies unobserved taste heterogeneity for organic, bio-dynamic and place of origin, while observed heterogeneity for income is addressed by a piece-wise linear function. The implied sample distributions of individual-specific WTP for each of these random attributes are then compared. Results indicate that Integrated Pest Management is preferred to biodynamic as an emerging method. The presence of a premium for Val di Gresta produce is confirmed. The use of an experimental design to identify the relevant second order effects reveals the presence of a reputation effect which can be decomposed into a generic effect from place of origin and a specific one for each EFPMs. Farmers operating in geographically limited marginal areas, such as mountain valleys, may find it useful to invest in collective reputation through high quality standard to achieve higher returns. This strategy may compensate for the dwindling public support to farm income from EU programmes

Structural and Economic Overview of the Italian Agri-food System: A Focus on Food Prices

An analysis of the main items characterizing the agri-food system highlights the existence of a strong demand for a politically-correct decisional process. This paper analyzes the value of the agri-food sector at national level in terms of Gross Domestic Product, Value Added at basic and current prices (ISTAT), comparing data with the EU level (Eurostat). Farms’ structure and production are analyzed in order to highlight the current situation and future development of the agri-food sector. After an overview of the main structural characteristics of farms, the study focuses on a direct survey (FADN/RICA sample): in order to collect specific data an “ad hoc” questionnaire was drawn up to identify farm characteristics, productive potential and main market regulatory mechanisms. With the objective of highlighting the farmers’ point of view, a case study on an Italian region is presented to evaluate three main topics: a) sales prices: main factors occurring in the price fixing phase; b) distribution channels and commodities prices: perception of strength in terms of trade agreement; c) rules and checks: actions to enhance and increase price transparency through supply chain rings.Agri-food System, Farms, Market, Prices., Agricultural and Food Policy,

The economic value of olive plantation in rural areas. A study on a hill region between Italy and Slovenia

This study was undertaken with the primary purpose of assessing the welfare gain to local residents resulting from olive trees. A secondary but important aim was to underline the multifunctional role of olive farming. In fact, we know that olive plantation has potentially socially benefits. In particular, it has potentially a lot of positive social effects in rural areas depending on plantation characteristics and farming practices. Therefore, the first section of this paper reviews the main features connected to the multifunctional role of olive farming. Multifunctional role of olive farming is well known in the EU, but it is still needed the institutional intervention in favour of farmers, due to the structural difficulties of olive production sector. Later sections concentrate on a survey carried out in order to estimate the economic value of the rural landscape, focusing in particular on olive trees in a hill region between Italy and Slovenia. From the conducted survey we gauged citizens’ WTP to introduce olive trees in the landscape. Survey data was collected by means of questionnaires. We applied the Contingent Valuation Method (CVM) in order to assess the citizens’ Willingness To Pay (WTP) for specific rural landscape features. The paper ends with some conclusions about the positive results obtained in olive plantation valuation questions.olive plantation, multifunctionality, willingness to pay, rural landscape valuation, Community/Rural/Urban Development,

Consumer's WTP for Environment-Friendly Production Methods and Collective Reputation for Place of Origin: The Case of Val di Gresta's Carrots

This paper investigates preferences for various environment-friendly production system for carrots using discretechoice multi-attribute stated-preference data amongst buyers and explore the effect of collective reputations from growers of an Alpine valley known to be completely dedicated to organic production. Results show that buyers distinctly recognize only organic production as a production system different from the conventional one, and there is some evidence of recognition of collective reputation. As well as for marginal utility of income, substantial unobserved heterogeneity is found for many skin imperfections, origin from the organic Alpine valley and the organic production methods. The implied sample distributions of WTP for each of these random attributes are then compared.Choice modelling, mixed logit, organic products, marginal utility of income, unobserved taste heterogeneity, status-quo bias, heteroskedasticity, Crop Production/Industries, Environmental Economics and Policy, C15, C25, Q13, Q18,

Organic vs local claims: substitutes or complements for wine consumers? A marketing analysis with a discrete choice experiment

This study aims to understand people's preferences concerning five different extrinsic characteristics of wine and among them organic production. Consumers' preferences were assessed by means of a choice experiment on a sample of people living in Friuli-Venezia-Giulia (north-eastern Italy). The wines considered in the hypothetical market were differentiated considering the area of origin, landscape features, production method (organic or conventional), wine denomination of origin label and price. According to our results, denomination of origin labelling is the most important factor considered by all respondents. More than one quarter of the sample is interested in purchasing organic wine and willing to pay more for it. In this respect, organic production combined with a good communication strategy in order to increase the knowledge about its benefits can be a good marketing diversification strategy. Therefore, organic production seems to be a necessary (for at least 27% of people) but not sufficient condition in characterizing wine quality: it should be supported by an appropriate promotion of the product characteristics