Vertical Coordination in the Swine Industry: A Multi-Country Study

Autor: Raman Srivastava, Lee F. Schrader, Gerrit Willem Ziggers
Rok vydání: 2008
Předmět:
Zdroj: Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie. 46:539-548
ISSN: 0008-3976
DOI: 10.1111/j.1744-7976.1998.tb00978.x
Popis: Pork constitutes about 45 percent of the world's total meat consumption. Recent trends indicate that pork consumption is likely to increase in future as well. The international pork industry is undergoing a structural and organizational change as a result of changes in the method of pork production and processing technology. This paper identifies a variety of pressures that are leading to these changes. One of the most important factors is the change in consumer demand patterns. Consumers now demand more specific product characteristics. In case of pork, the specificity of the product includes color and texture of the meat, origin of the meat, labeling information pertaining to nutritional contents, drug and chemical residues, and production methods used. In order to meet all these specific demands and to further reduce production costs, various stages of pork production have started to coordinate in many countries. The extent of vertical coordination varies both within and among the countries. This paper identifies the types of linkages and the methods of transaction(s) used between various stages of pork production in Canada, the Netherlands and the U.S. The paper also identifies the upcoming pressures for change and illustrates the analytical framework developed to compare coordination mechanisms that exist between stages of pork production in the three countries. The paper concludes that industrialization, globalization, and changes in consumer demand and preferences are resulting into massive structural and operational changes in the international pork industry.
Databáze: OpenAIRE