CONSUMER ACCEPTANCE OF LOCALLY GROWN FOOD: THE CASE OF INDIANA AQUACULTURE PRODUCTS

Abstract

Many Indiana small- and medium-sized farm and ranch operators are looking at aquaculture to diversify their operations, but the underlying thought for most of these potential aquaculturists is the feasibility of raising fish, and whether consumers will be interested in Indiana aquaculture products. The study used an ordered probit model to examine Indiana consumers' interests in Indiana farm-raised aquaculture products. The model did not predict any non-interest but predicted 18% probability of consumers that are somewhat interested, 58% for consumers that are interested and 24% for consumers that are strongly interested. Factors that positively affected interest in Indiana aquaculture products were previous purchase of farm-raised aquaculture products, frequent at-home seafood consumption—once per week, and being at least 36 years of age. While consumers in the household income $20,000–$59,999 group showed interest, households with higher incomes were less interested. Prices that consumers are willing to pay for Indiana seafood products are within the range of market seafood prices in Indiana. However, consumers will not be interested in Indiana aquaculture products as premiums for the products increase.