Price premiums for ecolabelled seafood: MSC certification in Germany

• Published in: The Australian journal of agricultural and resource economics Vol. 61; no. 4; pp. 576 - 589
• Main Authors: Asche, Frank, Bronnmann, Julia
• Format: Journal Article
• Language: English
• Published: Oxford Blackwell Publishing Ltd 01.10.2017
• Subjects: Certification; consumer preferences; ecolabeling; ecolabelling; Fisheries; Fisheries management; Gadus chalcogrammus; Germany; hedonic pricing; Incentives; Labeling; Labelling; Management; marine stewardship council; Markets; Pollachius virens; Premiums; price premium; prices; scanner data; Seafood; seafoods; Species; Willingness to pay; Germany
• ISSN: 1364-985X; 1467-8489
• DOI: 10.1111/1467-8489.12217

Whether ecolabelled seafood actually provides incentives to improve the management of fisheries remains a controversial issue. A number of stated preference studies indicate a substantial willingness to pay for ecolabelled seafood. Early evidence from actual market data supports the existence of a premium, while more recent papers provide a more nuanced picture. In this paper, a hedonic price model for whitefish species on the German market is estimated that includes information on Marine Stewardship Council (MSC) labelling, the leading seafood ecolabel in Germany. The model also allows the potential premium to vary by species. Results indicate that MSC premiums in Germany vary substantially between species, from a hefty 30.6 per cent for the high‐end species cod, to a 4 per cent premium for Alaska pollock, and no premiums for saithe.