Deepananda P.B. Herath

Who consumes functional foods and nutraceuticals in Canada?: Results of cluster analysis of the 2006 survey of Canadians’ Demand for Food Products Supporting Health and Wellness

This research seeks to identify consumer segments related to consumption of functional food and nutraceutical products in Canada. The segments are differentiated by consumer receptivity to functional foods and nutraceuticals. In turn, receptivity is tied to attitudes, motivations and knowledge related to food/diet and connections with health. At one extreme, a segment emerges that is highly receptive to functional foods and nutraceuticals, and shows a keen interest in learning about foods that have health benefits. A second segment, conversely, has low receptivity, but demonstrates a higher degree of knowledge related to the relationship between food/diet and health. A key driver of receptivity towards functional foods and nutraceuticals appears to be perceptions of disease threat, which tend to increase with age. Pre-emptive use of messages relating to the preventative properties of these products does not seem to have a major impact on the receptivity of consumers.

Understanding the propensity of consumers to comply with dietary guidelines directed at heart health

The aim of this paper is to explore the difficulty faced by consumers in complying with health-related dietary guidelines, focusing on those guidelines that consumers find it more/less difficult to meet and the factors driving the ability to make associated dietary changes. Participants reported self-assessed compliance with 12 dietary recommendations predominantly directed at reducing the risk of heart disease. The difficulty of complying with each of the dietary guidelines was measured using a Rasch model, while the determinants of ability to comply with the dietary recommendations as a whole were identified using regression analysis. The more difficult dietary recommendations included limiting consumption of red meats and consuming the recommended daily intake of fruits and vegetables. Attitudinal variables associated with food, nutrition and health, perception of cholesterol risk and a range of socio-demographic variables, including age, gender and education, were significant determinants of person ability to comply with the dietary recommendations. The results show that there are significant differences in the difficulty faced by consumers in complying with particular dietary recommendations, while there is substantial variation in the ability to eat a healthy diet across participants.

Peasants and plantations in the Sri Lankan tea sector: causes of the change in their relative viability*

In contrast to the increasing trend in farm size found in most agricultural sectors, the absolute number of producers and relative share of total production from small farms growing green leaf tea in Sri Lanka have increased significantly over time. The boom in peasant production and the corresponding decline in plantations are due to the same general drivers explaining the increase in farm size elsewhere. Government programs and price effects that reduced revenue uncertainty and relative costs of production have enhanced the competitive position of small farmers relative to large estates.

Understanding the financing of innovation and commercialization: the case of the Canadian functional food and nutraceutical sector

We develop and implement two models to show what factors affect a firms decision to seek external financing and the level of financing obtained in the Canadian functional food and nutraceutical sector. Data from a national survey of functional foods and nutraceutical firms in Canada, conducted by Statistics Canada in 2003, is used for this analysis. Firm size, being privately held and engaging in contractual arrangements have negative impacts on the likelihood of a firm seeking external funding, while firms which are intensively involved in the functional food and nutraceutical sector, with greater prospects for business expansion and/or involved in partnerships are more likely to seek external financing. Larger firms and those involved in functional food and nutraceutical research and development receive a greater amount of capital when they decide to raise capital. However, firms focused on functional foods and nutraceuticals, as opposed to more diversified firms, and those involved in product development and concept scale-up, receive less capital. Our findings highlight the importance of public support in addressing the capital requirements of functional food and nutraceutical firms and underscore the considerable burden borne by smaller firms in this respect.