Adoption of Forest Stewardship Council (FSC) Standards by Trat Rubber Cooperative Farmers, Thailand

Kanyarat Lamdap, Suwanna Praneetvatakul and Suwanna Sayruamyat

No 409068, 2026 Conference, April 20-21, 2026, Chicago, Illinois from NCR-134/ NCCC-134 Applied Commodity Price Analysis, Forecasting, and Market Risk Management

Abstract: This study examines the determinants of farmers’ adoption of Forest Stewardship Council (FSC) standards within the Trat Rubber Cooperative in Thailand. Using survey data from 120 smallholder farmers, a logit model is employed to analyze how economic, institutional, and behavioral factors influence adoption decisions. The results show that cost-related factors are the primary drivers of adoption. In particular, higher chemical input costs significantly reduce the likelihood of adoption, highlighting the importance of cost-reduction mechanisms. In contrast, the price differential (price premium) exhibits a negative effect, suggesting that adoption decisions are influenced more by perceived and bundled benefits than by price incentives alone. Institutional factors also play a critical role, as farmers located farther from markets are still willing to participate when cooperative benefits outweigh additional costs. Behavioral factors, especially pro-environmental perceptions, further increase the probability of adoption. Importantly, the findings reveal that adoption is not solely an individual decision but is strongly shaped by collective and institutional contexts. Many farmers are willing to adopt FSC but are constrained by group-level participation, emphasizing the role of cooperatives in enabling access to certification. These findings suggest that policies focusing only on price incentives are insufficient. Instead, effective strategies should prioritize cost reduction, long-term institutional support, and collective action mechanisms to overcome structural barriers and promote sustainable adoption among smallholders.

Keywords: Institutional; and; Behavioral; Economics (search for similar items in EconPapers)
Pages: 9
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:ags:nccc26:409068

DOI: 10.22004/ag.econ.409068

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