Does the Double Up Food Bucks program benefit local food producers and consumers? Evidence from New Mexico

What the paper says

Purpose The Double Up Food Bucks (DUFB) program has the potential to benefit small-scale producers by increasing their profits through direct-to-consumer marketing while reducing the negative influence of food and nutritional insecurity among low-income consumers. This study examines the effectiveness of continued participation of small-scale producers and low-income consumers in the DUFB program in New Mexico, a state with many small-scale producers, high-density food deserts and the lowest fruit and vegetable (F&V) consumption rates in the country. Understanding whether the DUFB benefits are sustainable in the long run is essential for its continued implementation. Design/methodology/approach This study analyzed data obtained from New Mexico Farmers’ Marketing Association surveys of producers (vendors) and consumers. The data range from 2016 to 2021 and provide socio-demographic information of the survey participants. The empirical analysis is performed separately for producers and consumers. We examined whether the influence of DUFB’s continued participation (years) of small-scale producers increased their likelihood of making more money and sales. We also examined whether DUFB’s continued participation of low-income consumers increases the likelihood of purchasing and consuming fruits and vegetables. Findings Our key findings suggest that both producers and consumers perceive benefit from continued participation in the DUFB program. Our findings imply that targeted efforts that promote consistent and long-term participation are most effective in maximizing the benefits of the DUFB for small-scale producers and low-income consumers. Since many low-income consumers still need access to fresh F&V and many small-scale producers are willing to sell their local produce in New Mexico, these findings could provide unique avenues to bring consumers and producers together and enhance the benefits from DUFB. Originality/value First, we use unique longitudinal survey data at the individual consumer and vendor level from 2016 to 2021 to evaluate the impact of marketing efforts (increases in the number of outlets offering DUFB and funding) to enhance DUFB’s benefits to participating low-income consumers and small-scale producers over time, including during the pandemic. This is the first study to analyze multiple years of DUFB consumer and vendor data together. Second, we focus on New Mexico, which has a high percentage of the state’s population living in food deserts, high levels of food insecurity and many small-scale producers. Finally, we provide evidence on whether direct-to-consumer marketing channels benefit small-scale producers.