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Compliance with Rules and Sanctions in Producer Groups in Poland

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  • Banaszak, Ilona
  • Beckmann, Volker

Abstract

This paper examines the determinants of compliance with rules and imposing sanctions in Polish farmer cooperative organizations called producer groups. The main task performed by these groups is to organize joint sales of the output produced by individual farmers. Members of some groups broke the group rules and sold their output independently of the group without the group permission. The results show that the likelihood of unpermitted sales outside the group is significantly negatively affected by the price premium which members get for their output and positively affected by the group size. The likelihood of imposing sanctions on the farmers who broke the group rules is significantly negatively affected by the price premium and positively affected by having a long-term contract by the group. Price premium also negatively affects the severity of the imposed sanctions.

Suggested Citation

  • Banaszak, Ilona & Beckmann, Volker, 2010. "Compliance with Rules and Sanctions in Producer Groups in Poland," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 38(1), pages 1-15.
    • Handle: RePEc:ags:jlorco:163872
    DOI: 10.22004/ag.econ.163872
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    References listed on IDEAS

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    1. Banaszak, Ilona, 2008. "Agricultural Producer Groups in Poland: Empirical Survey Results," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 36(1), pages 1-14.
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    Cited by:

    1. Chlebicka, Aleksandra & Fałkowski, Jan & Łopaciuk-Gonczaryk, Beata, 2014. "Grupy Producentów Rolnych A Kapitał Społeczny – Potencjalne Zależności," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 3(164).
    2. Banaszak, Ilona, 2009. "Determinanty Sukcesu Współpracy Na Rynkach Rolniczych Na Przykładzie Grup Producentów Rolnych W Polsce," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 1(142).
    3. Kotyza, P. & Tomšík, K., 2014. "Effects of Public Support on Producer Groups Establishment in the Czech Republic and Slovakia," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 6(2), pages 1-11, June.
    4. Lan T. Pham & Ilona M. Otto & Dimitrios Zikos, 2019. "Self-Governance and the Effects of Rules in Irrigation Systems: Evidence from Laboratory and Framed Field Experiments in China, India and Vietnam," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 5(01), pages 1-28, January.
    5. Jan Falkowski & Pavel Ciaian, 2016. "Factors Supporting the Development of Producer Organizations and their Impacts in the Light of Ongoing Changes in Food Supply Chains: A Literature Review," JRC Research Reports JRC101617, Joint Research Centre.

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