Do food quality schemes and net price premiums go together?

This article addresses the issue of the profitability of Food Quality Scheme (FQS) products as compared to reference products, which are defined as analogous products without quality label. We approach this question by taking into account the level of the value chain (upstream, processing, and downs...

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Detalles Bibliográficos
Autores: Donati, Michele, Gauvrit, Lisa, Torok, A, Gil Roig, José María|||0000-0003-3313-9052, Peter, Csillag, Ferrer Pérez, Hugo, Viet, Hoang Nguyen, Bellassen, Valentin
Tipo de recurso: artículo
Fecha de publicación:2021
País:España
Institución:Universitat Politècnica de Catalunya (UPC)
Repositorio:UPCommons. Portal del coneixement obert de la UPC
Idioma:inglés
OAI Identifier:oai:upcommons.upc.edu:2117/359328
Acceso en línea:https://hdl.handle.net/2117/359328
https://dx.doi.org/10.1515/jafio-2019-0044
Access Level:acceso abierto
Palabra clave:Food--Quality
Food quality scheme
Geographical indication
Organic
Price premium
Agrotech
Aliments--Qualitat
Àrees temàtiques de la UPC::Enginyeria agroalimentària::Indústries agroalimentàries::Alimentació i nutrició humana
Descripción
Sumario:This article addresses the issue of the profitability of Food Quality Scheme (FQS) products as compared to reference products, which are defined as analogous products without quality label. We approach this question by taking into account the level of the value chain (upstream, processing, and downstream), the sector (vegetal, animal, seafood) and the type of FQS (PGI, PDO, Organic). We collected original data for several products produced in selected European countries, as well as in Thailand and Vietnam. Comparisons depending on value chain level, sector and FQS are possible by using two comparable indicators: price premium and net price premium (including cost differential). The following principal conclusions were reached: 1) Price is higher for FQS products than for the reference products, regardless of the production level, the type of FQS or the sector; 2) Price premiums generated by FQS do not differ along the value chain, nor between sectors (vegetal, animal or seafood/fish); 3) Price premium for organic products is significantly higher than for PGI products, and this conclusion holds at upstream and processing levels, taking into account the costs directly related to production; 4) All organic products and almost all PDO and PGI products analysed benefit from a positive quality rent; 5) At upstream level and processing level, the relative weight of intermediate consumption in the cost structure is lower for organic products than for reference products.