Organic and Geographical Indication Certifications’ Contributions to Employment and Education

Hilal Mohamed (), Leedon Guy, Duboys de Labarre Matthieu, Federico Antonioli, Boehm Michael, Péter Csillag, Donati Michele, Drut Marion, Ferrer-Pérez Hugo, Gauvrit Lisa, Gil José Maria, Gkatsikos Alexandros, Gołaś Marlena, Hoang Viet, Steinnes Kamilla Knutsen, Lilavanichakul Apichaya, Malak-Rawlikowska Agata, Mattas Konstadinos, Orachos Napasintuwong, Nguyen An, Ristic Bojan, Schaer Burkhard, Maksan Marina Tomić, Brečić Ružica, Aron Torok, Vittersø Gunnar and Bellassen Valentin
Additional contact information
Hilal Mohamed: UMR1041 CESAER, INRAE, Dijon, France
Leedon Guy: Research School of Management, Australian National University, Canberra, ACT, Australia
Duboys de Labarre Matthieu: UMR1041 CESAER, INRAE, Dijon, France
Boehm Michael: ECOZEPT, Freising, Germany
Péter Csillag: ECO-SENSUS Research and Communication, Szekszárd, Hungary
Donati Michele: University of Parma, Parma, Emilia-Romagna, Italy
Drut Marion: UMR1041 CESAER, INRAE, Dijon, France
Ferrer-Pérez Hugo: Center for Agro-Food Economics and Development, Institute for Agrifood Research and Technology, Universitat Politècnica de Catalunya, Barcelona, Spain
Gauvrit Lisa: Ecozept, Montpellier, France
Gil José Maria: Center for Agro-Food Economics and Development, Institute for Agrifood Research and Technology, Universitat Politècnica de Catalunya, Barcelona, Spain
Gkatsikos Alexandros: Department of Agricultural Economics, Aristotle University of Thessaloniki, Thessaloniki, Greece
Gołaś Marlena: Department of Economics and Organisation of Entreprises, Institute of Economics and Finance, Warsaw University of Life Sciences-SGGW, Warszawa, Poland
Hoang Viet: School of Economics, University of Economics Ho Chi Minh City, Ho Chi Minh City, Vietnam
Steinnes Kamilla Knutsen: HiOA, National Institute for Consumer Research (SIFO), Oslo, Norway
Lilavanichakul Apichaya: Agro-Industrial Technology, Faculty of Agro-Industry, Kasetsart University, Bangkok, Thailand
Malak-Rawlikowska Agata: Department of Economics and Organisation of Entreprises, Institute of Economics and Finance, Warsaw University of Life Sciences-SGGW, Warszawa, Poland
Mattas Konstadinos: Department of Agricultural Economics, School of Agriculture, Aristotle University of Thessaloniki, Thessaloniki, Greece
Nguyen An: School of Economics, University of Economics Ho Chi Minh City, Ho Chi Minh City, Vietnam
Ristic Bojan: Faculty of Economics, University of Belgrade, Beograd, Serbia
Schaer Burkhard: Ecozept, Montpellier, France
Maksan Marina Tomić: Faculty of Agriculture, University of Zagreb, Zagreb, Croatia
Brečić Ružica: Faculty of Economics & Business, University of Zagreb, Zagreb, Croatia
Vittersø Gunnar: HiOA, National Institute for Consumer Research (SIFO), Oslo, Norway
Bellassen Valentin: UMR1041 CESAER, INRAE, Dijon, France
Authors registered in the RePEc Author Service: Hugo Ferrer Pérez

Journal of Agricultural & Food Industrial Organization, 2021, vol. 19, issue 2, 161-176

Abstract: In this paper, we test to what extent Food Quality Schemes (FQS, including Geographical Indications and organic products) contribute to the social and economic sustainability of farmers and regions through employment and education. Through employment, FQS may counter the urban migration trend affecting rural regions, and help retain economic and social capital in the local region. Indeed, as FQS are often small and specialised sectors, the economic inefficiency of such businesses may translated into greater employment and social sustainability. Separately, by requiring a higher-level of quality and hence skills, FQS may encourage greater local educational attainment or skilled immigration. To test these propositions, we analyse the employment and educational outcomes of 25 FQS. Our results show that the FQS products examined have a 13% higher labour usage (labour-to-production ratio) compared to reference products, indicating that they provide greater employment. Additionally, wage levels are 32% higher in FQS compared to references. Despite providing greater employment and higher wages, profitability of FQS (i.e. how much turnover/profit is generated per employee) is nevertheless 32% higher for FQS compared to reference products, due to the ability to attract higher product prices. Finally, there is no clear link between FQS and greater (or lower) education attainment in the supply chain. Overall, our results suggest that FQS can provide a strong contribution to local employment, employee income and business profits, strengthening the social and economic sustainability of producers and regions.

Keywords: food quality schemes; social sustainability; employment; education; geographical indication; organic; alternative food; sustainable agriculture (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (1)

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Working Paper: Organic and Geographical Indication Certifications' Contributions to Employment and Education (2020)
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DOI: 10.1515/jafio-2019-0042

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