Implications and Discussion
The purposes of this study are to conduct an analysis on GM food consumption and to
measure consumer willingness to pay for non-GM vs. GM foods. The empirical results show that
the willingness to consume GM foods depends on risk perception, environmental concern,
religious and ethical concern of GM foods, opinion on labeling of GM foods and perceived
difference between GM and non-GM foods. Also, the number of children within the household is
a key determinant on GM food consumption. In addition, the price factor of GM foods is fairly
significant to the respondents in the survey, suggesting that by advertising GM food products
with a lower price, the consumption of GM foods might be substantially increased.
These results imply that in order to gain the consumer acceptance of GM foods, it is
important to change their risk perception of GM foods and to deviate their other concerns. The
survey results show that only 59% of the respondents indicated that they are either very well or
somewhat informed on GMOs or GM foods. In fact, the majority of consumers are still not very
well informed about the GM foods. Therefore, how can we change the consumer’s perception?
The government, the food industry, and consumer groups have to provide unbiased information
to the consumer. If the information can change the consumer’s perception, then the willingness
to buy GM foods would increase. Therefore, the effectiveness of the information is very crucial
to the success of the GM foods in the future.
The econometric results also show that the respondents are willing to pay a premium,
ranging from 5% for non-GM vegetable oil to 28% for non-GM salmon. Clearly, these results
imply that the consumer must see the tangible benefit in order for them to buy GM foods.
Therefore, the future of GM foods is critically dependent upon the ability to reduce the price for
GM foods as compared to their traditional non-GM counterparts. Therefore, the stress on the
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