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How to Improve Food Quality in the Domestic Market: The Role of “Same Line Same Standard Same Quality”—Evidence from a Consumer Choice Experiment in China
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How to Improve Food Quality in the Domestic Market: The Role of “Same Line Same Standard Same Quality”—Evidence from a Consumer Choice Experiment in China
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Journal Article
How to Improve Food Quality in the Domestic Market: The Role of “Same Line Same Standard Same Quality”—Evidence from a Consumer Choice Experiment in China
2021
Overview
Consumers are increasingly concerned about food quality. The “Same line Same standard Same quality” (Santong) program has been implemented to improve food quality in the Chinese domestic market. The Santong program means that exporters are encouraged to produce goods on the same production line, following the same standards and the same quality requirements for both the export target market and the domestic market. Using data collected from an online choice experiment on tomatoes, we examine Chinese consumer preferences and their willingness to pay (WTP) for the Santong claim, export target market quality and organic certification. Three types of export target market, indicating different technical regulations and standards, are considered. Our results show that consumers are willing to pay for the Santong quality claim and for export goods with a target market of “EU”. Furthermore, we also identify the substitution effects between the Santong claim and organic certification. The results of our study provide solutions for both Chinese exporters and the Chinese government to meet the need for a high level of food quality accompanied by domestic consumption upgrade, and achieve the transformation from export to domestic sales. Our results may also provide solutions for other emerging economies, where governments raise the level of food quality in domestic markets and support the domestic sales of exporters after the shock of the coronavirus (COVID-19) pandemic in 2019.
Publisher
MDPI AG
Subject
