IDEAS home Printed from https://ideas.repec.org/a/ags/rdecag/61234.html
   My bibliography  Save this article

Concorrência e estratégias de precificação no sistema agroindustrial do leite

Author

Listed:
  • Azevedo, Paulo Furquim de
  • Politi, Ricardo Batista

Abstract

This article aims to evaluate the degree of competition in the dairy industry, in the relevant markets of Ultra High Temperature (UHT) milk and pasteurized milk, by means of price transmission and marketing margin behavior. The empirical analysis is based on the model formerly proposed by Houck (1977) and latter detailed by Carman and Sexton (2005).This model analyzes separately the effects of input price increases and reductions on consumer prices, allowing for estimations of price transmission and margin behavior. Cepea-USP and Fipe provide, respectively, weekly input prices and consumer prices, both for the period of December 1999 to December 2005. As a major result, the degree of competition in the UHT relevant market was found to be robustly different from the pasteurized milk market. Whereas in the first price transmission corroborates the hypothesis of competitive market, in the pasteurized milk market there is evidence of imperfections both in price transmission and margin behavior. The outstanding increase of UHT milk consumption has fostered competition and liquidity in the dairy industry and milk distribution, allowing for faster price transmission throughout the production chain. Nevertheless fixed markup pricing found in the UHT relevant market shows that dairy industry and milk distribution have some degree of market power so as nominal changes in input prices are passed through consumers in a larger magnitude.

Suggested Citation

  • Azevedo, Paulo Furquim de & Politi, Ricardo Batista, 2008. "Concorrência e estratégias de precificação no sistema agroindustrial do leite," Brazilian Journal of Rural Economy and Sociology (Revista de Economia e Sociologia Rural-RESR), Sociedade Brasileira de Economia e Sociologia Rural, vol. 46(3), pages 1-36, September.
    • Handle: RePEc:ags:rdecag:61234
    DOI: 10.22004/ag.econ.61234
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/61234/files/v46n3a08.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.61234?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Scalco, Paulo R. & Braga, Marcelo J., 2015. "Identification of Market Power in Bilateral Oligopoly: The Brazilian Wholesale Market of UHT Milk," 2015 Conference, August 9-14, 2015, Milan, Italy 212278, International Association of Agricultural Economists.
    2. Scalco, Paulo Roberto & Braga, Marcelo Jose, 2014. "Measuring the Degree of Oligopsony Power in the Brazilian Raw Milk Market," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 17(2), pages 1-20, May.
    3. Scalco, Paulo R. & Lopez, Rigoberto A. & He, Xi, 2017. "Stochastic Frontier Estimation of Buyer Power: An Application to the Brazilian Milk Market," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259154, Agricultural and Applied Economics Association.
    4. Oliveira, Gustavo Magalhães de & Miranda, Bruno Varella & Saes, Maria Sylvia Macchione & Martino, Gaetano, 2023. "Opening the “black box” of food safety policy implementation: The efficiency-enhancing role of a private meso-institution," Food Policy, Elsevier, vol. 121(C).

    More about this item

    Keywords

    Agribusiness;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:rdecag:61234. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/soberea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.