Marketing, Co-operatives and Price Heterogeneity: Evidence from the CIS Dairy Sector

Johannes Sauer, Matthew Gorton () and John White

No 108938, 85th Annual Conference, April 18-20, 2011, Warwick University, Coventry, UK from Agricultural Economics Society

Abstract: Drawing on survey data, this paper identifies the determinants of variations in farm gate milk prices for three CIS countries (Armenia, Moldova and Ukraine). We apply a multi-level modeling approach, specifically a bootstrapped and selectivity bias corrected mixed-effects linear regression model. The analysis suggests three main strategies for farmers to improve the price received for their output: consolidation, cooperation and stable supply chain relationships. While selling through a marketing cooperative has a significant and positive effect on farm gate milk prices, the majority of non-members are reluctant to join. The size of dairy operations, trust and contracting also impact positively on the prices received by farmers. Policy implications are drawn.

Keywords: price heterogeneity; milk; cooperatives; Armenia; Moldova; Ukraine; Marketing; O13; P32; Q13 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-mkt and nep-tra
Date: 2011-04
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Related works:
Journal Article: Marketing, cooperatives and price heterogeneity: evidence from the CIS dairy sector (2012)
Working Paper: Marketing, cooperatives and price heterogeneity: evidence from the CIS dairy sector (2011)
Working Paper: Marketing, Cooperatives and Price Heterogeneity: Evidence from the CIS Dairy Sector (2011)
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Persistent link: http://EconPapers.repec.org/RePEc:ags:aesc11:108938

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