Agric. Econ. - Czech, 2020, 66(8):345-354 | DOI: 10.17221/2/2020-AGRICECON

The effects of the participation in producer organisations on the performance of dairy farmers in the Czech Republic and future challengesOriginal Paper

Iveta Boskova1, Samuel Ahado2, Tomas Ratinger*,2,3
1 Institute of Agricultural Economics and Information (IAEI), Prague, Czech Republic
2 Department of Economics and Development, Faculty of Tropical AgriSciences, Czech University of Life Sciences (CULS), Prague, Czech Republic
3 Technology Centre of the Czech Academy of Sciences (TC CAS), Prague, Czech Republic

This study focuses on milk producer organisations (MPOs) acting in the Czech Republic, examines in counterfactual design economic benefits of MPO members, explores the expectations and satisfaction of farmers with services provided by MPOs and discusses changes in MPO strategies in response to market developments. The economic benefits were evaluated econometrically using a direct matching method, while for the assessment of MPOs services and strategies we designed a survey among the members which was complemented by interviews with managers of the three largest MPOs. The results confirm positive economic benefits for farms and rather high farmers' expectations and also satisfaction with the MPOs activities. However, while farmers, put most emphasis on common roles as price bargaining and securing sales, the MPO managers show future-looking approaches to strategies referring to consumer environmental and health concerns or vertical collaboration along the value chain.

Keywords: counterfactual analysis; direct covariate matching; economic performance; services to members; strategies

Published: August 31, 2020  Show citation

ACS AIP APA ASA Harvard Chicago Chicago Notes IEEE ISO690 MLA NLM Turabian Vancouver
Boskova I, Ahado S, Ratinger T. The effects of the participation in producer organisations on the performance of dairy farmers in the Czech Republic and future challenges. Agric. Econ. - Czech. 2020;66(8):345-354. doi: 10.17221/2/2020-AGRICECON.
Share...
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    Supplementary files:

    Download file2-020 Agricecon final ESM.pdf

    File size: 232.28 kB

    References

    1. Abadie A., Imbens G. (2002): Simple and bias-corrected matching estimators. Technical Report. Berkeley, Department of Economics, University of California. Go to original source...
    2. Alho E. (2015): Farmers' self-reported value of cooperative membership. Evidence from heterogeneous business and organisation structures. Agricultural and Food Economics, 3: 1-22. Go to original source...
    3. Barraud-Didier V., Henninger M.-C., El Akremic A. (2012) The relationship between members'trust and participation in the governance of cooperatives: The role of organizational commitment. International Food and Agribusiness Management Review, 15: 1-24.
    4. Bisnode (2019): Bisnode MagnusWeb. [Dataset]. Available at https://www.bisnode.cz/produkty/magnusweb/ (accessed March 15, 2019).
    5. Bunte F., Dagevos H. (2009): The Food Economy: Global Issues and Challenges. The Hague, Netherlands, Agricultural Economics Research Institute, LEI Wageningen UR. Go to original source...
    6. Caliendo M., Kopeinig S. (2008): Some practical guidance for the implementation of propensity score matching. Journal of Economic Surveys, 22: 31-72. Go to original source...
    7. Cakir M., Nolan J. (2015) Revisiting concentration in food and agricultural supply chains: The welfare implications of market power in a complementary input sector. Journal of Agricultural and Resource Economics, 40: 203-219.
    8. Capalbo S.M., Antle J.M. (Eds) (1988): Agricultural Productivity: Measurement and Explanation. Resources for the Future, Washington: 366-393.
    9. CNB (2019): Czech National Bank. Exchange Rates 2012. Available at https://www.cnb.cz/en/financial-markets/foreign-exchange-market/central-bank-exchange-ratefixing/central-bank-exchange-rate-fixing/year_average.html?year=2012 (accessed June 1, 2020).
    10. CZSO (2019) Czech Statistical Office. International Trade Statistics. Available at https://www.czso.cz/csu/czso/external_trade_in_goods_according_to_the_change_of_ownership_-national_concept-_ (accessed March 18, 2019).
    11. Dervillé M., Allaire G. (2014): Change of competition regime and regional innovative capacities: Evidence from dairy restructuring in France. Food Policy, 49: 347-360. Go to original source...
    12. Duvaleix-Tréguer S., Gaigné C. (2015): Producer organisations and members performance in hog production. In: Proceedings Agricultural & Applied Economics Association and Western Agricultural Economics Association Annual Meeting, San Francisco, CA, July 26-28, 2015: 21. Available at https://ageconsearch.umn.edu/record/205494
    13. EU (2012): Regulation (EU) No 261/2012 of the European Parliament and of the Council of 14 March 2012 Amending Council Regulation (EC) No 1234/2007 as Regards Contractual Relations in the Milk and Milk Products Sector.
    14. EU (2013): Regulation (EU) No 1308/2013 of the European Parliament and of the Council of 17 December 2013 Establishing a Common Organisation of the Markets in Agricultural Products and Repealing Council Regulations (EEC) No 922/72, (EEC) No 234/79, (EC) No 1037/2001 and (EC) No 1234/2007.
    15. Garnevska E., Liu G., Shadbolt N.M. (2011): Factors for successful development of farmer cooperatives in Northwest China. International Food and Agribusiness Management Review, 14: 69-84.
    16. Hartwich F., Tola J. (2007): Building public-private partnerships for agricultural innovation: concepts and experiences from 124 cases in Latin America. International Journal of Agricultural Resources, Governance and Ecology, 6: 240-255. Go to original source...
    17. Heckman J., Ichimura H., Smith J., Todd P. (1998): Characterising selection bias using experimental data. Econometrica, 66: 1017-1098. Go to original source...
    18. Kirchweger S., Kantelhardt J. (2015): The dynamic effects of government-supported farm-investment activities on structural change in Austrian agriculture. Land Use Policy, 48: 73-93. Go to original source...
    19. Michalek J., Cian P., Pokryvcak J. (2018): The impact of producer organisations on farm performance: The case study of large farms from Slovakia. Food Policy, 75: 80-92. Go to original source...
    20. MoA (2018): Ministry of Agriculture. Farm Data. [Unpublished Raw Data].
    21. Ostrom E. (1990): Governing the Commons: The Evolution of Institution for Collective Action. New York, USA, Cambridge University Press: 281. Go to original source...
    22. Ricard D. (2015): Dairy cooperatives in the French mountains: Heritage, diversity of structures, dynamics of movement. Journal of Alpine Research/Revue de Geographie Alpine, 103: 13. Available at https://journals.openedition.org/rga/2751?lang=en Go to original source...
    23. Ratinger T., Boskova I. (2013): Strategies and effects of milk producers' organisations in the Czech Republic. Agricultural Economics - Czech, 59: 113-124. Go to original source...
    24. Ratinger T., Medonos T., Hruška M. (2013) An assessment of the differentiated effects of the investment support to agricultural modernisation: the case of the Czech Republic. AGRIS on-line Papers in Economics and Informatics, V: 153-164.
    25. SAIF (2018) State Agricultural Intervention Fund. The Milk Delivery Records 2011-2018. [Unpublished Raw Data].
    26. Swinnen J.F.M. (2010): Market power and rents in global supply chains. Agricultural Economics, 41: 109-120. Go to original source...
    27. Thomson A.M., Perry J.L., Miller T.K. (2008) Linking collaboration processes and outcomes: Foundations for advancing empirical theory. In: Blomgren Binghma L., O'Leary R.: Big Ideas in Collaborative Public Management. New York, Taylor and Francis Group: 24.
    28. Wijnands J.H.M, Bijman J., Tramnitzke T. (2017): Analyses of the Functioning of Milk Package Provisions as Regards Producer Organisations and Collective Negotiations. JRC Technical Report. Luxembourg, European Union: 130.

    This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International (CC BY NC 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return to the content