Open AccessEvaluating the decision to participate in a fair-trade model of coffee-producing households in Xuan Truong commune, Da Lat city, Lam Dong province
Author(s) -
Nam Hung N. Tran
Publication year - 2020
Publication title -
the journal of agriculture and development/the journal of agriculture and develoment/nông nghiệp và phát triển
Language(s) - English
Resource type - Journals
eISSN - 2615-949X
pISSN - 2615-9503
DOI - 10.52997/jad.1.02.2020
Subject(s) - fair trade , interview , production (economics) , profitability index , agriculture , agricultural science , business , production model , agricultural economics , economics , geography , international trade , microeconomics , environmental science , archaeology , finance , political science , law
Fair trade in coffee production offers an opportunity to improve farmers’ position in the market. The study used a logit model with the maximum likelihood estimation method to evaluate the famers’ decision to participate in a fair-trade coffee production model. Data were collected by directly interviewing 220 farmers in Xuan Truong commune, Da Lat city, Lam Dong province. This commune has applied the fair-trade model in coffee production with the brand of Cau Dat coffee. The results of this study showed that the probability of households deciding to participate in the fair-trade coffee model was 14.43%. In addition, factors affecting the decision to participate in the fair-trade coffee model were householders, education level, area of agricultural land, profitability, awareness of fair trade, desired price of coffee, and agricultural extension. In particular, the farmer’s awareness of fair trade and the desired price of coffee had positive impacts on the farmers’ participation in a fair-trade coffee model.