An outline of a theory ofvalues-based labeling as a social movementargues that it is motivated by the need tore-embed the agro-food economy in the largersocial economy. A review of some basic premisesof embeddedness theories derived from the workof Karl Polanyi reveals their connection toparticular values-based labeling efforts. Fromthis perspective, values-based labelingpresents itself as primarily an ethical andmoral effort to counter unsustainable trendswithin presently existing capitalism. Theselabels distinguish themselves from ordinarycommercial labels by a focus on processand on quality. Evaluating thetransformative potential and progressive natureof values-based labeling poses a key challenge.One avenue for gauging this potential isconventions theory. This approach can beadapted to consider the decision makingprocesses that go on within values-basedlabeling groups, as well as consumer decisionmaking based on such labels, as instances ofwhat is termed a politics of ethical judgment.The conclusion emphasizes the need for moreresearch in this area and suggests how it couldbe furthered. Copyright Kluwer Academic Publishers 2002
