QUALITY STANDARDS FOR CHRISTMAS TREES: HARMFUL OR HELPFUL?
It is more important than ever to produce a quality Christmas tree because of increasing competition in the Christmas tree market. Grade standards are intended to reflect quality, as defined by the consumer, to the grower. The USDA revised a set of voluntary standards for Christmas trees effective October 30, 1989. The existence of different grade standards cause the existence of several prices that correspond to each grade. The price differentials among grades should reflect the quality or desired consumer attribute. Therefore, a description of a grade that is not reflective of that desired by the consumer can lead to missallocation of resources by producers resulting in economic losses. The new USDA standards did not include consumer opinion information into the new standards, therefore, we feel these standards are more applicable to producer-wholesale transactions, and not that of the producer-consumer. It was found that over 75% of surveyed growers in Georgia sold almost 80% of their trees as choose and cut, not wholesale. Consumer demand will drive the Christmas tree market and, therefore, consumer preferences need to be incorporated into the grade standards.