Hedonic price analysis of the quality characteristics of the Anatolian Hard Red Wheat

摘要

The study analyses the relations between the quality characteristics and price of the Anatolian Hard Red Wheat. It uses a data set consisting of the price and eight quality characteristics of the Anatolian Hard Red Wheat traded in spot transaction in each month of 2011 in the Polatli Commodity Exchange. Marginal implicit values of the quality characteristics of the Anatolian Red Hard Wheat traded in the spot market of the Polatli Commodity Exchange are determined through the hedonic price model. This model is estimated from the linear-log functional form. Results of the hedonic price model demonstrate that the quality characteristics, which are statistically significant in the determination of price, namely, the protein content, the hectolitre weight, and the grain content damaged by pests and wheat bugs, are important factors in the purchasing decisions of flour millers. As the protein content and the hectolitre weight of wheat increase by 1%, the price increases by TL 0.005 and TL 0.006, respectively. As the grain content damaged by pests and wheat bugs increases by 1%, the price of wheat drops by TL 0.0002. These marginal implicit values are expected to encourage wheat producers to produce the higher quality wheat.