Marketing Preferences of Small-Scale Farmers in the Context of New Agrifood Systems: A Stated Choice Model

Considering the dynamic changes in agrifood systems in developing countries, this study uses a stated choice model to explore the marketing preferences of small-scale producers of fresh fruits and vegetables in Honduras. Eight attributes, proposed in hypothetical contracts to farmers, are evaluated. The results suggest that farmers have strong marketing preferences associated with new supply chains, such as prearranging prices and quantities with buyers, but have remaining preferences for some attributes of traditional spot markets, such as the lack of grading produce, receiving cash payments, lack of delivery schedules, ability to sell at the farm gate, and ability to sell individually. Further, farmers prefer market channels that do not require major upfront investments. The results suggest that the traditional marketing preferences of farmers could impede participation of small-holders in emerging supply chains and take advantage of the potential opportunities that new agrifood Supply chains can offer. [JEL. Code: Q13 014]. (C) 2009 Wiley Periodicals, Inc.