Cow Welfare in the U.S. Dairy Industry: Willingness-to-Pay and Willingness-to-Supply

Abstract

Consumers are increasingly scrutinizing the animal welfare implications of modern agricultural production processes. We used surveys to examine both the U.S. public willingness-to-pay for and dairy farmer willingness-to-supply or change on-farm production practices related to dairy cattle welfare and find that the public has a positive WTP for all practices examined, while most dairy farms already supply those practices (with the exceptions of employee training programs, third-party certification, and outdoor access). Implications for practice verification and premiums are discussed in the context of dairy markets and policy.

Keywords

• animal welfare
• consumer demand
• dairy farmers
• production practices
• willingness to pay
• willingness to supply