The role of quality characteristics in pricing hard red winter wheat

Shane Roberts, Kathleen Brooks, Lia Nogueira and Cory G. Walters

Food Policy, 2022, vol. 108, issue C

Abstract: This study empirically examines the role of conventional and end-use wheat quality characteristics as well as transportation costs on the pricing of U.S. hard red winter wheat (HRWW) utilizing a hedonic price analysis framework, detailed quality characteristic data as well as location matched price data. We find evidence that multiple conventional quality characteristics and multiple end-use quality characteristics (milling and baking) have a statistically significant and economically important effect on the price of U.S. HRWW. This evidence suggests that, although U.S. HRWW producers are not directly paid premiums or discounts for end-use quality characteristics, they can be paid indirectly through regional HRWW prices. We also evaluate the role of information about conventional and end-use quality characteristics on price as harvest progresses. Results suggest that as harvest progresses, prices are updated to reflect changes in wheat quality. Results suggest revisions to U.S. policy on standard grade factors to improve transparency between characteristics farmers are paid for on grade sheets and characteristics millers and bakers value.

Keywords: Conventional characteristics; Hedonic models; HRWW; Milling and baking characteristics (search for similar items in EconPapers)
JEL-codes: Q10 Q11 Q13 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S030691922200029X
Full text for ScienceDirect subscribers only

Related works:
Working Paper: The Role of Quality Characteristics in Pricing Hard Red Winter Wheat (2020)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:jfpoli:v:108:y:2022:i:c:s030691922200029x

DOI: 10.1016/j.foodpol.2022.102246

Access Statistics for this article

Food Policy is currently edited by J. Kydd

More articles in Food Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().