Estimating the Willingness to Pay for Eco-Labeled Products of Formosan Pangolin (Manis pentadactyla pentadactyla) Conservation

Pangolins are currently the most smuggled mammals in the world. Meanwhile, Taiwan has demonstrated the world's first case of the use of artificial feeding to raise pangolins to adulthood. The government has also begun to cooperate with farmers in pangolin-spotted areas. Agricultural products can earn the green label once they have passed the evaluation. The challenge is that very few farms have obtained the pangolin-friendly label so far. Our hypothesis is that farmers lack the knowledge that consumers would pay additional money for products that are labeled pangolin-friendly compared to regular ones. Thus, farmers have an insufficient incentive to apply for this label. This research aims to fill this gap by providing people with the necessary knowledge. Contingent valuation with the single-bounded dichotomous choice format was used, which involved investigating 417 valid observations. We found the following: (1) customers are willing to pay about 8.06 USD for pangolin-friendly rice (an increase of 397% in relation to the mean price of rice); (2) customers are willing to pay for about 11.46 USD for pangolin-friendly tea (an increase of 179% in relation to the mean price of tea); and (3) customers are willing to pay about 25.81 USD for pangolin-friendly coffee (an increase of 509% in relation to the mean price of coffee). Our findings give farmers more incentive to conduct eco-friendly production. Consequently, the quality of agricultural products as well as the habitats of endangered pangolins improve. Thus, consumers' health, the environment, and the future of pangolin conservation can benefit in this attempt to achieve sustainability.

Automated summary

The study found that consumers are willing to pay a higher price for agricultural products labeled as pangolin-friendly, providing farmers with more incentive to engage in eco-friendly production. This leads to an improvement in agricultural product quality and endangered pangolin habitats, benefiting consumer health, the environment, and the future of pangolin conservation in the attempt to achieve sustainability.