An analysis of food safety private investments drivers in the Italian meat sector

https://doi.org/10.17221/352/2017-AGRICECONCitation:Martino G., Toccaceli D., Bavorova M. (2019): An analysis of food safety private investments drivers in the Italian meat sector. Agric. Econ. – Czech, 65: 21-30.
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Food safety systems that implement Hazard Analysis and Critical Control Points (HACCP), certification, traceability, brands as well as in geographical indications and private branding require dedicated investments in physical resources, human resources and in re-organising the production processes and control activities. Investment decisions can be made according to legal requirements or based on voluntary decisions. In this study, we address the two following research questions: do the inducements due to the regulatory framework influence the decision to invest in the implementation of food safety strategies and what is the size of this potential influence? Does the allocation of the decision right to invest influence the investment decision and does this potential influence vary across food safety systems? We carried out an empirical investigation on investment decisions in the Italian meat sector, comparing systems dedicated to safety and marketing strategies. The knowledge of such an influence provides a better understanding of the micro-level motivations of food safety investments in a critical area and contribute to the design of regulatory strategies.

References:
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Fares M’hand, Rouviere Elodie (2010): The implementation mechanisms of voluntary food safety systems. Food Policy, 35, 412-418 https://doi.org/10.1016/j.foodpol.2010.05.008
 
Fulponi Linda (2006): Private voluntary standards in the food system: The perspective of major food retailers in OECD countries. Food Policy, 31, 1-13 https://doi.org/10.1016/j.foodpol.2005.06.006
 
Greene W.H. (2008): Econometric Analysis. Pearson, Prentice Hall.
 
Hammoudi A., Hoffmann R., Surry Y. (2010): Food safety standards and agri-food supply chains: an introductory overview. European Review of Agricultural Economics, 36, 469-478 https://doi.org/10.1093/erae/jbp044
 
Henson Spencer, Holt Georgina (2000): Exploring Incentives for the Adoption of Food Safety Controls: HACCP Implementation in the U.K. Dairy Sector. Review of Agricultural Economics, 22, 407-420 https://doi.org/10.1111/1058-7195.00030
 
Herath Deepananda, Henson Spencer (2010): Barriers to HACCP implementation: evidence from the food processing sector in Ontario, Canada. Agribusiness, 26, 265-279 https://doi.org/10.1002/agr.20245
 
Heyder Matthias, Theuvsen Ludwig, Hollmann-Hespos Thorsten (2012): Investments in tracking and tracing systems in the food industry: A PLS analysis. Food Policy, 37, 102-113 https://doi.org/10.1016/j.foodpol.2011.11.006
 
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Kafetzopoulos Dimitrios P., Gotzamani Katerina D. (2014): Critical factors, food quality management and organizational performance. Food Control, 40, 1-11 https://doi.org/10.1016/j.foodcont.2013.11.029
 
Knowles Tim, Moody Richard, McEachern Morven G. (2007): European food scares and their impact on EU food policy. British Food Journal, 109, 43-67 https://doi.org/10.1108/00070700710718507
 
Loader Rupert, Hobbs Jill E. (1999): Strategic responses to food safety legislation. Food Policy, 24, 685-706 https://doi.org/10.1016/S0306-9192(99)00073-1
 
Luning M., Skandamis P.N., Drosinos E.H. (2008): Risk profiles of pork and poultry meat and risk ratings of various pathogen/product combinations. International Journal of Food Microbiology, 126: 1–12.
 
Luning P.A., Kirezieva K., Hagelaar G., Rovira J., Uyttendaele M., Jacxsens L. (2015): Performance assessment of food safety management systems in animal-based food companies in view of their context characteristics: A European study. Food Control, 49, 11-22 https://doi.org/10.1016/j.foodcont.2013.09.009
 
LUPIEN JOHN R. (2005): Food Quality and Safety: Traceability and Labeling. Critical Reviews in Food Science and Nutrition, 45, 119-123 https://doi.org/10.1080/10408690490911774
 
Martino G., Perugini C. (2006): Hybrid forms in food safety supply. In: Bijman J., Omta O., Trienekes J., Wijnands J., Wubben E. (eds):International Agri-food Chains and Networks: Managament and Organisations. Wageningen Academic Publisher, Wageningen.
 
Menard C. (2005): New institutions for governing the agri-food industry. European Review of Agricultural Economics, 32, 421-440 https://doi.org/10.1093/eurrag/jbi013
 
Ménard C. (2013): Hybrid modes of organisation. In: Gibbons R., Roberts J. (eds): The Handbook of Organisational Economics. Princeton University Press, Princeton.
 
Ménard C. (2017): Finding our way in the jungle: insights from organisation theory. In: Martino G., Dries L., Karantininis K., Pascucci S., Codron J.-M. (eds): It’s a jungle out there – the strange animals of economic organisation in agri-food value chains. Wageningen Academic Publishers, Wageningen.
 
Mensah Lena Dzifa, Julien Denyse (2011): Implementation of food safety management systems in the UK. Food Control, 22, 1216-1225 https://doi.org/10.1016/j.foodcont.2011.01.021
 
(Onno) Omta S., Trienekens Jacques, Beers George (2001): Chain and network science: A research framework. Journal on Chain and Network Science, 1, 1-6 https://doi.org/10.3920/JCNS2001.x001
 
Pizzuti Teresa, Mirabelli Giovanni, Grasso Giovanni, Paldino Giulia (2017): MESCO (MEat Supply Chain Ontology): An ontology for supporting traceability in the meat supply chain. Food Control, 72, 123-133 https://doi.org/10.1016/j.foodcont.2016.07.038
 
Segerson Kathleen (1999): Mandatory versus voluntary approaches to food safety. Agribusiness, 15, 53-70 https://doi.org/10.1002/(SICI)1520-6297(199924)15:1<53::AID-AGR4>3.0.CO;2-G
 
Jin Shaosheng, Zhou Jiehong, Ye Juntao (2008): Adoption of HACCP system in the Chinese food industry: A comparative analysis. Food Control, 19, 823-828 https://doi.org/10.1016/j.foodcont.2008.01.008
 
Trienekens Jacques, Zuurbier Peter (2008): Quality and safety standards in the food industry, developments and challenges. International Journal of Production Economics, 113, 107-122 https://doi.org/10.1016/j.ijpe.2007.02.050
 
Unnevehr L. J., Jensen H. H. (1996): HACCP as a Regulatory Innovation to Improve Food Safety in the Meat Industry. American Journal of Agricultural Economics, 78, 764-769 https://doi.org/10.2307/1243301
 
Wilcock Anne, Ball Brita, Fajumo Abisola (2011): Effective implementation of food safety initiatives: Managers’, food safety coordinators’ and production workers’ perspectives. Food Control, 22, 27-33 https://doi.org/10.1016/j.foodcont.2010.06.005
 
Williamson O.E. (1985): The Economic Institutions of Capitalism: Firms, markets, relational Contracting. Free Press, New York.
 
Williamson Oliver E (2005): The Economics of Governance. American Economic Review, 95, 1-18 https://doi.org/10.1257/000282805774669880
 
Yapp Charlotte, Fairman Robyn (2006): Factors affecting food safety compliance within small and medium-sized enterprises: implications for regulatory and enforcement strategies. Food Control, 17, 42-51 https://doi.org/10.1016/j.foodcont.2004.08.007
 
Zhou Guanghong, Zhang Wangang, Xu Xinglian (2012): China's meat industry revolution: Challenges and opportunities for the future. Meat Science, 92, 188-196 https://doi.org/10.1016/j.meatsci.2012.04.016
 
Coase R. H. (1959): The Federal Communications Commission. The Journal of Law and Economics, 2, 1-40 https://doi.org/10.1086/466549
 
Codron Jean-Marie, Giraud-Héraud Eric, Soler Louis-Georges (2005): Minimum quality standards, premium private labels, and European meat and fresh produce retailing. Food Policy, 30, 270-283 https://doi.org/10.1016/j.foodpol.2005.05.004
 
Coglianese Cary, Lazer David (2003): Management-Based Regulation: Prescribing Private Management to Achieve Public Goals. Law <html_ent glyph="@amp;" ascii="&amp;"/> Society Review, 37, 691-730 https://doi.org/10.1046/j.0023-9216.2003.03703001.x
 
Crea (2016): Annuario dell’Agricoltura Italiana. Centro di Ricerca, Politiche e Bio-economia, Rome.
 
European Food Safety Authority (2016): The European Union summary report on trends and sources of zoonoses, zoonotic agents and food-borne outbreaks in 2015. European Food Safety Authority, European Centre for Disease Prevention and Control. Available at: http://onlinelibrary.wiley.com/doi/10.2903/j.efsa.2016.4634/full (accessed Nov 27, 2017).
 
Fares M’hand, Rouviere Elodie (2010): The implementation mechanisms of voluntary food safety systems. Food Policy, 35, 412-418 https://doi.org/10.1016/j.foodpol.2010.05.008
 
Fulponi Linda (2006): Private voluntary standards in the food system: The perspective of major food retailers in OECD countries. Food Policy, 31, 1-13 https://doi.org/10.1016/j.foodpol.2005.06.006
 
Greene W.H. (2008): Econometric Analysis. Pearson, Prentice Hall.
 
Hammoudi A., Hoffmann R., Surry Y. (2010): Food safety standards and agri-food supply chains: an introductory overview. European Review of Agricultural Economics, 36, 469-478 https://doi.org/10.1093/erae/jbp044
 
Henson Spencer, Holt Georgina (2000): Exploring Incentives for the Adoption of Food Safety Controls: HACCP Implementation in the U.K. Dairy Sector. Review of Agricultural Economics, 22, 407-420 https://doi.org/10.1111/1058-7195.00030
 
Herath Deepananda, Henson Spencer (2010): Barriers to HACCP implementation: evidence from the food processing sector in Ontario, Canada. Agribusiness, 26, 265-279 https://doi.org/10.1002/agr.20245
 
Heyder Matthias, Theuvsen Ludwig, Hollmann-Hespos Thorsten (2012): Investments in tracking and tracing systems in the food industry: A PLS analysis. Food Policy, 37, 102-113 https://doi.org/10.1016/j.foodpol.2011.11.006
 
Hobbs J (): Incentive structures for food safety and quality assurance: an international comparison. Food Control, 13, 77-81 https://doi.org/10.1016/S0956-7135(01)00103-7
 
Ismea (2017a): Settore bovino. Scheda di settore. Available at http://www.ismeamercati.it/carni/carne-bovina (accessed Aug 21, 2017).
 
Ismea (2017b): Settore suinicolo. Scheda di settore. Available at http://www.ismeamercati.it/carni/carne-suina-salumi (accessed Aug 21, 2017).
 
Ismea (2017c): Avicoli e uova. Scheda di settore Available at http://www.ismeamercati.it/carni/avicoli-uova (accessed Aug 21, 2017).
 
Kafetzopoulos Dimitrios P., Gotzamani Katerina D. (2014): Critical factors, food quality management and organizational performance. Food Control, 40, 1-11 https://doi.org/10.1016/j.foodcont.2013.11.029
 
Knowles Tim, Moody Richard, McEachern Morven G. (2007): European food scares and their impact on EU food policy. British Food Journal, 109, 43-67 https://doi.org/10.1108/00070700710718507
 
Loader Rupert, Hobbs Jill E. (1999): Strategic responses to food safety legislation. Food Policy, 24, 685-706 https://doi.org/10.1016/S0306-9192(99)00073-1
 
Luning M., Skandamis P.N., Drosinos E.H. (2008): Risk profiles of pork and poultry meat and risk ratings of various pathogen/product combinations. International Journal of Food Microbiology, 126: 1–12.
 
Luning P.A., Kirezieva K., Hagelaar G., Rovira J., Uyttendaele M., Jacxsens L. (2015): Performance assessment of food safety management systems in animal-based food companies in view of their context characteristics: A European study. Food Control, 49, 11-22 https://doi.org/10.1016/j.foodcont.2013.09.009
 
LUPIEN JOHN R. (2005): Food Quality and Safety: Traceability and Labeling. Critical Reviews in Food Science and Nutrition, 45, 119-123 https://doi.org/10.1080/10408690490911774
 
Martino G., Perugini C. (2006): Hybrid forms in food safety supply. In: Bijman J., Omta O., Trienekes J., Wijnands J., Wubben E. (eds):International Agri-food Chains and Networks: Managament and Organisations. Wageningen Academic Publisher, Wageningen.
 
Menard C. (2005): New institutions for governing the agri-food industry. European Review of Agricultural Economics, 32, 421-440 https://doi.org/10.1093/eurrag/jbi013
 
Ménard C. (2013): Hybrid modes of organisation. In: Gibbons R., Roberts J. (eds): The Handbook of Organisational Economics. Princeton University Press, Princeton.
 
Ménard C. (2017): Finding our way in the jungle: insights from organisation theory. In: Martino G., Dries L., Karantininis K., Pascucci S., Codron J.-M. (eds): It’s a jungle out there – the strange animals of economic organisation in agri-food value chains. Wageningen Academic Publishers, Wageningen.
 
Mensah Lena Dzifa, Julien Denyse (2011): Implementation of food safety management systems in the UK. Food Control, 22, 1216-1225 https://doi.org/10.1016/j.foodcont.2011.01.021
 
(Onno) Omta S., Trienekens Jacques, Beers George (2001): Chain and network science: A research framework. Journal on Chain and Network Science, 1, 1-6 https://doi.org/10.3920/JCNS2001.x001
 
Pizzuti Teresa, Mirabelli Giovanni, Grasso Giovanni, Paldino Giulia (2017): MESCO (MEat Supply Chain Ontology): An ontology for supporting traceability in the meat supply chain. Food Control, 72, 123-133 https://doi.org/10.1016/j.foodcont.2016.07.038
 
Segerson Kathleen (1999): Mandatory versus voluntary approaches to food safety. Agribusiness, 15, 53-70 https://doi.org/10.1002/(SICI)1520-6297(199924)15:1<53::AID-AGR4>3.0.CO;2-G
 
Jin Shaosheng, Zhou Jiehong, Ye Juntao (2008): Adoption of HACCP system in the Chinese food industry: A comparative analysis. Food Control, 19, 823-828 https://doi.org/10.1016/j.foodcont.2008.01.008
 
Trienekens Jacques, Zuurbier Peter (2008): Quality and safety standards in the food industry, developments and challenges. International Journal of Production Economics, 113, 107-122 https://doi.org/10.1016/j.ijpe.2007.02.050
 
Unnevehr L. J., Jensen H. H. (1996): HACCP as a Regulatory Innovation to Improve Food Safety in the Meat Industry. American Journal of Agricultural Economics, 78, 764-769 https://doi.org/10.2307/1243301
 
Wilcock Anne, Ball Brita, Fajumo Abisola (2011): Effective implementation of food safety initiatives: Managers’, food safety coordinators’ and production workers’ perspectives. Food Control, 22, 27-33 https://doi.org/10.1016/j.foodcont.2010.06.005
 
Williamson O.E. (1985): The Economic Institutions of Capitalism: Firms, markets, relational Contracting. Free Press, New York.
 
Williamson Oliver E (2005): The Economics of Governance. American Economic Review, 95, 1-18 https://doi.org/10.1257/000282805774669880
 
Yapp Charlotte, Fairman Robyn (2006): Factors affecting food safety compliance within small and medium-sized enterprises: implications for regulatory and enforcement strategies. Food Control, 17, 42-51 https://doi.org/10.1016/j.foodcont.2004.08.007
 
Zhou Guanghong, Zhang Wangang, Xu Xinglian (2012): China's meat industry revolution: Challenges and opportunities for the future. Meat Science, 92, 188-196 https://doi.org/10.1016/j.meatsci.2012.04.016
 
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