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Dott.ssa Laura Solaroli Post-doctoral fellow un Agro-food policy and Economy Supagro-INRA Montpellier- Università di Bolognae-mail: [email protected] [email protected] 01/06/2016 Contents 1. General Introduction 2. New Concept of Food Consumption 3. Empirical Example of consumer Behavior 4. Conclusions and Perspectives •The evolution of FS concept •Drivers and Trends in FS The evolution of Food security concept Food Security and agriculture at the basis of the Economic Development theories: Population exponential growth = not enough food supply (Malthus,1798). Poor family = total expenditure devoted to the provision of food (Engel, 1857). “Food entitlement” (Sen,1981). Re-opening of the debate on food security: increasing of food demand; constraints in food supply; issue in both low and high income countries (Saravia-Matus et.al 2012) The evolution of Food security concept- Malthus The evolution of Food security concept 1974: World Food Conference Adequate food supply (in quantity) Increase productivity 1996: World Food Summit 1) availability, 2) access, 3) utilization, 4) stability Natural resources scarcity 2010: Biodiversity and Sustainable Diets Symposium Respect for the environment and natural resources Guarantee food security for the future generations FS: Multidimensional Concept FAO dimensions (1996): Availability Access Utilization Stability • Other interpretations: FAO 2013 (Table) – Economist: – – – Affordability, Availabilty Quality and safety 7 Drivers and trends in Food Security Food demand and supply -> Modifications Factors in food demand: Population Income, prices, Food consumption Factors in food supply: Technologies and innovation Natural resources Other factors International Trade 8 Drivers and trends in Food Security Millions World Demographic trend, (1970-2012) 8000 90 7000 80 70 6000 60 5000 50 4000 40 3000 30 2000 20 1000 10 0 0 1970-75 1976-81 1982-86 1987-92 1993-98 1999-04 2005-10 2011-12 Population (Millions) High Income Rural population (% ) Low Income Rural population (%) 9 Drivers and trends in Food Security GDP per capita, PPP evolution in income groups (constant 2005 US$) 35000 30000 25000 20000 15000 10000 5000 High income Upper middle income Lower middle income 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 0 Low income 10 Drivers and trends in Food Security World GDP per capita, PPP in 2012 (constant 2005 US$) 11 Drivers and trends in Food Security World Demographics trends: Population push food demand Diets are improving even if population is growing (no Malthus) Demographic growth only in certain areas GDP, income: high income + in the GDP per capita Augmenting especially in high income countries, lowincome static trend GDP per capita does not take into account income distribution. (Ex. GINI). 12 Drivers and trends in Food Security Relation between Living standards and Quantity of food consumed Source: Southgate et al. 2011 13 Drivers and trends in Food Security High and Low Income Arable Land (1970= 100) 120 100 80 60 High income Low income 40 20 0 14 Drivers and trends in Food Security Arable land declined of 50% from 1970. diminishing due to lack of land conversed to food production food insecurity is not linked to the world capacity to produce food for two main reasons: Enough food is produced worldwide to feed all the people in the world, however, food distribution, production constraints are and will continue to be important determinants of food security. Consumption chages Engel’s Law Food diversification 15 Drivers andPercent trends in Food Security of Irrigated Land (%) 50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0 1990-92 1993-95 1996-98 1999-01 2002-04 North Africa Sub Saharan Africa Latin America Developed regions 2005-07 2008-10 Asia 16 Drivers and trends in Food Security Cereals Imports Ratio 2009 (%) 17 Drivers and trends in Food Security Irrigated land: Agriculture is consuming about the 70% of the total global ‘blue water. Import ratio: The relative price of a country's exports compared to its imports can be improved through export restrictions. The globalisation improved by the falling of the trade barriers, technological innovation - transaction costs and + trade in high geographical distances. 18 Different levels of Food Security: Macro and Micro Levels of Food Security: Global and National Households Food Security does not concern only poor people and least developed countries but also developed countries. Poor households: Necessity to increase food access Food insecurity exists when people lack access to sufficient amounts of safe and nutritious food and are therefore not consuming the food required for normal growth and development and for an active and healthy life. This is manifested by signs of general undernourishment or of deficiencies of a variety of nutrients and/or micronutrients. The prevalence of undernourishment is usually reported as a percentage of the total population as well as the total number of undernourished in a country. 19 Old and new Issues of Food Security Food security issues are changing due to the evolution of the food systems. Different aspects have changed the nature of food security and the issues to deal with. Drivers of food security are facing an evolution: urbanization, globalization , technical changes, industrialization, enviromental issues. Introduction of the respect for the environment and natural resources issues in the Food security definition - Sustainable Diets- (FAO, 2010) 20 Old and new Issues of Food Security Moreover at the FAO Summit in 1996 was presented the last official definition of “food security”: “...all people, at all times, have physical and economic access to sufficient, safe and nutritious food to meet their dietary needs and food preferences for an active healthy life.” It prevails the attention for the individual dimension, for their preferences, the access to food, and health. Indeed Maxwell D. (1996), proposed different definition on food security by experts and conferences, as a result of the complexity of the problem and its multi-dimension. The most important mutation in the definition of food security is its new individual or household dimension and the new elements of access, sufficiency, security (or vulnerability) and sustainability (Maxwell, D. 1996). Old New Source: Maxwell, D. et 22 Slater, 2003 DEFINITION OF SUSTAINABLE DIETS Sustainable Diets are those diets with low environmental impacts which contribute to food and nutrition security and to healthy life for present and future generations. Sustainable diets are protective and respectful of biodiversity and ecosystems, culturally acceptable, accessible, economically fair and affordable; nutritionally adequate, safe and healthy; while optimizing natural and human resources. Product attributes Search claims are those claims that can be accurately evaluated prior to purchase using prior knowledge, direct product inspection, reasonable effort, and normal channels of information acquisition, such as Consumer Reports. Experience claims can be accurately evaluated only after the product has been purchased and used for a period of time which is relatively short in comparison to the product's total-usage life. Credence claims are those that cannot be accurately evaluated even after the product is used because of the consumer's lack of technical expertise or because the cost of obtaining sufficient accurate information to check the veracity of the claim is higher than its expected value. Such claims can be verified by experts. •Main food consumption models •New Patterns in food consumption •Methods to investigate consumer behavior Models of food consumption “Food consumption model’: by the French school headed by Malassis unyfing economic, social and cultural prespectives in the analysis of food consumption Elaboration of three different model of food consumption: Traditional model , Agro-industrial model, Satiety model Models of food Consumption The traditional food consumption model is linked to a society of generalized poverty. Simple system, based on self-consumption, where one actor predominates: the producer-consumer. Farm and family are strictly intertwined, so much so that is possible to deal with them as a unit: the family farm. The market is limited to local exchanges. Diets are differentiated by income levels, between rich and poor. Diets of poor people are characterized by foodstuff with low energy values, mainly vegetables (cereals and tubers). Preparation and consumption take place inside the family, their forms and organization revealing of gender and power relations. Models of food Consumption Agro-industrial model of food production and consumption leads to the disappearance of selfconsumption and to the provisioning of industrial food through the market . food system becomes more complex agricultural product transformation activities are appropriated by industry. Malassis’s French school refers to the emergence of a new model, specific to societies at the stage of satiety characterised by the saturation of energy intake and the stabilisation of food expenditure over total expenditure. New Patterns in food consumption Popkin’s thesis is that: “Modern societies seem to be converging on a diet high in saturated fats, sugar and refined foods and low in fiber – often termed the ‘Western diet’ – and on lifestyles characterized by lower levels of activity. These changes are reflected in nutritional outcomes, such as changes in average stature, body composition and morbidity.” New Patterns in food consumption People are not unaffected by changes in food system: Urbanization has a large impact on food consumption changes more food is consumed outside the home Growing demand of livestock Changing of food preferences Changes in diets associated with income growth, changing lifestyles and the pressures of living with a market-driven retail sector. Changes in diet increase of consumtpion of edible oil, caloric sweeteners and animal source foods Health problems New Patterns in food consumption Food safety Different perception of risk Importance of ethical product Respect for the environment Methods to investigate consumers’ behavior D. Maxwell 1999Two major methods have been widely used, and both are subject to measurement problems. 1) estimate gross household production and purchases over a period of time, estimate the growth or depletion of food stocks held over that period of time, and presume that the food that has come into the household's possession and "disappeared" has been consumed. 2) undertake 24-h recalls of food consumption for individual members of a household, and analyze each type of food mentioned for caloric content (and sometimes a more complete nutrient analysis). The second method results in more reliable consumption data and captures intra-household distributional differences which the first method over- looks completely, it is also subject to a number of drawbacks: memory lapses, observer bias, respondent fatigue, a short and possibly unrepresentative recall period, and such high data collection costs that resources often constrain analysis to relatively small samples. Methods to investigate consumers’ behavior Important link between attitude and consumer behavior (Bressoud, 2002) Purchase intention its consider as a variable that link between attitude and behavior -> it is a predictor of future consumers’ behavior(Kalwani et Silk, 1982). 34 34 Methods to investigate consumers’ behavior Experimental economic is a branch of economics that focuses on individual behavior in a controlled laboratory setting or out in the field. The aim is to test economic theories through the creation of artificial markets and the data collected during these experiments. The Experimental economics has three objectives: 1. Test the economic theories comparing them to the data obtained in the experimentation process 2. It is an explorative objective, in the case there is not a theory to test 3. Help the decision-making on new policies or to evaluate the impact of new regulation The Experimental economy is defined as the utilization of the economic experimentation as a research method in economy. 35 35 Methods to investigate consumers’ behavior - Willingness to pay (WPT) is used often in experimental economy. Different methods to calculate the Willingness to pay: hypothetical bias of overestimating the WTP(Ginon et al. 2014). non-hypothetical Two most common non-hypothetical methods to test the WTP: 1) Vickrey auctions(Lusk et al. 2007) 2) BDM mechanism (Becker– DeGroot–Marschak, 1964) . 1) The Vickrey auction is a type of sealed-bid auction. Bidders submit written bids without knowing the bid of the other people in the auction. The highest bidder wins but the price paid is the second-highest bid. (Lusk et al. 2007). 2) BDM method participant give their reservation price (the higher price a buyer is willing to pay for goods or services) and than a random price is drawn from a distribution. If the extracted random price is les or equal to the reservation price then the individual receives the object and pays the random price, if the random price is greater than the reservation price the individual pays nothing and receives nothing. 36 36 •Qualitative questionnaire •Experimental Design •Results Qualitative Questionnaire As mention before, the consumer is interested is the sustainable consumption, but often they are not well informed on what does it mean sustainable development and food- sustainability. In order to test the sensibility of consumer to the sustainability issue and his knowledge of the subject we build up an empirical study through a survey were we were asking people what they were thinking about if we would say the terms “sustainable development” or “foodsustainability”. The first reaction of the majority of the person was an hesitation before starting to answer. The terms seems to generate some confusion. Some of the people (the most informed ones) consider sustainability as practices to respect the environment or food products that are ecofriendly. However they often commented at the end of the answer that there are too many information on sustainability and this word could mean anything to them. There is not a clear message to identify the subject. Qualitative Questionnaire Qualitative Questionnaire Experimental Design 3 Products 5 differents logos 41 Protocole expérimental Pour chaque produit Tache 1 Without info Tache 2 Environment scale Tache 3 Environment global note Tache 4 Environment scale + global note Tache 5 Social scale Tache 6 Social global note Tache 7 Social globale+ échelle Tache 8 Separated Environment +social scale Tache 9 Environment + social global note Tache10 Logo sustainable product The products photo were proposed in a radonm order 43 Visualisation des taches Tache 2 Tache 6 Tache 3 Tache 7 Tache 9 44 Tache 4 Tache 5 Tache 8 Tache 10 Advertisement to recrute people VVous aimez le Foie Gras du sud Ouest, le Fromage ddee CCoom mttéé eett llee VViinn ddee BBoouurrggooggnnee ?? Lieu : Montpellier Supagro, Batiment n. 28, 2 Place Pierre Viala, Montpellier VVeenneezz nnoouuss eenn ppaarrlleerr ! Si vous êtes intéressés, envoyez un mail à [email protected] Ou téléphonez à : Laura : 0782927711 Participez à notre étude* sur des produits régionaux Jean- Charles : du 6 au 10 juillet 2015 Chèque cadeau Best Liberté** d’un montant de 10 € (valable à Leclerc, Géant Casino, Go Sport, Fnac etc...) offert à chaque participant. Durée totale : 1h30. 45 0777758535 *Sans dégustation Les mesures Merci de positionner le curseur sur le prix que vous êtes prêt à payer pour cette bouteille. (2-4 € pour le Comte, 15-30 pour le foie gras, 3-12 pour le vin) Merci de donner votre degré d’accord avec les propositions suivantes sachant que 1 correspond à « pas du tout d’accord » et 5 correspond à « tout à fait d’accord ». 46 1 2 3 4 5 J’aime ce produit (Attitude 1) ○ ○ ○ ○ ○ Si j’avais besoin d’un vin, il y a de fortes chances que j’achète celui là (Intention 1) ○ ○ ○ ○ ○ J’apprécie ce produit (Attitude 2) ○ ○ ○ ○ ○ La prochaine fois que j’ai besoin d’un vin, j’achèterai certainement celui là (Intention 2) ○ ○ ○ ○ ○ Exemple d’Écran 47 Sample Age Sex Pourcentag e Fréquence Valide Fréquence Pourcenta ge 60 37,3 101 62,7 Homme 18-24 27 16,8 102 63,4 32 19,9 161 100,0 25-54 Femme Plus de 55 Total 161 100,0 Total Education Valide Profession Fréquence Pourcenta ge 2 1,2 Cadre Sup 36 22,4 Profession Intermédiaire 11 6,8 Fréquenc e Pourcenta ge 8 5,0 BEP-CAP 11 6,8 Bac 35 21,7 Bac+2 15 9,3 Employé 48 29,8 Bac+3 89 55,3 Ouvrier 2 1,2 autre 3 1,9 Retraité 19 11,8 Total 161 100,0 Inactif 43 26,7 Total 161 100,0 Sans Valide Commeçant/artisan 48 Results (Wine) VIN- Ecarts Prix T1(%) 16,00 14,00 12,00 10,00 8,00 6,00 4,00 2,00 0,00 T2 T3 T4 T5 T6 T7 T8 T9 T10 4,50 4,00 The task 6is the less valorized The task 7 (social et 8 social and envt) are better valorized (+15% du WTP). The sustainable logo is less valorized (T10) Attitude is higher than Purchase intention 3,50 3,00 2,50 Attitude Intention 2,00 1,50 1,00 0,50 0,00 T1 T2 T3 T4 T5 T6 T7 T8 T9 T10 49 Results Comte COMTE- Ecarts Prix T1 (%) 6,00 5,00 4,00 3,00 2,00 1,00 0,00 T2 T3 T4 T5 T6 T7 T8 The task 6 is the less valorized The task 9 (social and envt) are better valorized (+5.5% du WTP). The sustainable logo is less valorized (T10) Attitude is higher than Purchase intention T9 T10 4,50 4,00 3,50 3,00 2,50 Attitude Intention 2,00 1,50 1,00 0,50 0,00 T1 T2 T3 T4 T5 T6 T7 T8 T9 T10 50 Results (foie gras) Foie Gras- Ecarts Prix T1 (%) 2,50 2,00 1,50 1,00 0,50 0,00 T2 T3 T4 T5 T6 T7 T8 T9 T10 4,30 The task 6 is the less valorised The task 7 (social and 8 social and envt) are better valorised (+2% du WTP). The sustainable logo is less valorised (T10) Attitude is higher than Purchase intention 4,20 4,10 4,00 3,90 Attitude 3,80 Intention 3,70 3,60 3,50 3,40 3,30 T1 T2 T3 T4 T5 T6 T7 T8 T9 T10 51 • Conclusions •Limits and future perspectives Conclusions Food Security has always been a challenging and multidimensional matter. Difficult to calculate food security and food consumption Different methods Changes in consumption models New issues of food security Food Insecurity in both poor and rich countries. Future perspectives Research aspects Development of composite indicators Dynamic analysis (time series) Risk analysis Political aspects Important to analyse the policy of the countries to build new strategies Technology and infrastructure improvements Food – quality and diets improvements Implement rural development policy Tips for a succesfull research in food security Remember Everybody can critisize you! Have a good theoretical basis, and a large bibliographic review You cannot analize all food security, choose a specific field or a case study Have a specific methodology, and Be aware of the limits of it to defend your research. 55 Bibliographic References Combes, J.-L. and Guillaumount P. (2002), Commodity Price Volatility, Vulnerability and Development, Development Policy Review, XX, n.1, pp. 25–39. Dilley, M. and Boudreau T.E., (2001), Coming to terms with vulnerability: a critique of the food security definition. Food Policy, 26, 229–247 Ecker, O. & Breisinger, C. (2012). The food security system: A new conceptual framework, IFPRI discussion papers 1166, International Food Policy Research Institute (IFPRI) FAO (1996), World Food Summit Plan of Action, paragraph 1. In: Rome Declaration on World Food Security and World Food Summit Plan of Action; World Food Summit, 13-17 November 1996, Rome, Italy, FAO. IFPRI (2012b), Beyond the Arab Awakening. Policies and Investments for Poverty Reduction and Food Security, Washington (USA), IFPRI Ingram, J.S.I. (2011) A food systems approach to researching interactions between food security and global environmental change. Food Security, 3: 417431. Bibliographic References Løvendal C.R., and Knowles M. (2006), Tomorrow’s Hunger: A Framework for Analysing Vulnerability to Food Insecurity, Research Paper No. 2006/119, United Nations University, UNU-WIDER. Saravia-Matus S., Gomez y Paloma S., Mary S. (2012), Economics of Food Security: Selected Issues, Bio-based and Applied Economics, 1(1), pp. 65-80 Scaramozzino P. (2006), Measuring Vulnerability to Food Insecurity, ESA Working Paper No. 06-12, October, Agricultural and Development Economics Division, FAO, Rome. Timmer, C. P., (2000). The Macro Dimensions of Food Security: Economic Growth, Equitable Distribution, and Food Price Stability. Food Policy, 32(2) 283–295 United Nations (1975), Report of the World Food Conference, 5-16 November 1974, Rome, United Nations.