Pre- and during COVID-19: Households’ Willingness to Pay for Local Organic Food in Italy

Abstract

Food demand and food supply have been heavily affected by the COVID-19 pandemic. To understand changes in households’ behavior related to the pandemic, we investigated the willingness to pay for local organic apples before and during the COVID-19 pandemic. We assessed the changes that occurred within families, estimating separate models for the two members of a couple. Our findings show that respondents have a positive price premium for local organic apples, whose consumption helps reduce the environmental costs associated with food production. The median estimated values during the pandemic ranged from 34% to 250%. Overall, respondents show a positive mean willingness to pay, which increased with the pandemic. The socio-economic variables are the most important in explaining the willingness to pay, while the behavioral variables have more heterogeneous results, even if lifestyle and the request for information through the label are also important variables. The pandemic tended to narrow the gaps in preferences between members of a couple. In conclusion, the local and organic dimensions are embodied in the short chain, in which knowledge and trust in the producer are crucial elements in the consumer’s choices.