Measuring the Economic Value of the Negative Externality of Livestock Malodor in South Korea

Abstract

The South Korean livestock industry has increased in scale and production, generating positive impacts on the national economy. However, livestock externalities, primarily malodor, have subsequently led to increased conflicts between producers and affected communities. This study estimated Korean households’ willingness-to-pay (WTP) for government subsidies to help address livestock malodor using a contingent valuation method (CVM) derived from a double-bounded dichotomous choice model. The annual average household WTP was estimated at 29,206 Korean won (KRW) (USD 25). This was slightly higher than the respondents’ self-reported average amount of KRW 25,457 (USD 22). The estimated economic value nationally is KRW 628 billion (USD 546 million) annually, for a total of KRW 3.14 trillion (USD 2.73 billion) over a proposed five-year period. The public’s estimated WTP can be leveraged to improve livestock management practices, more efficient waste disposal techniques, and improved husbandry methods to address conflicts between producers and surrounding communities.

Assessment of a Novel Real-Time Bio-Liquor Circulation System for Manure Management and Mitigation of Odor Potential in Swine Farming

“…Mixed Liquor TS 1 24,225.0 TVS 2 11,795.9 TSS 3 18,980.0 TVSS 4 9766.7 NH 4 -N 5 83.6 NO X -N 6 0.0 TKN 7 1066.1 TN 8 1066.1 STOC 9 1529.1…”

“…However, controlling odors from livestock farms is challenging due to the complexity in structural problems that restrict the collection and treatment of odorous air and its associated high operating cost. It is estimated that an annual cost of USD 480-560 million was required to control malodors resulting from the Korean livestock industry [9].…”