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Organic and Geographical Indication Certifications’ Contributions to Employment and Education

Author

Listed:
  • 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)

  • Antonioli Federico

    (DAFNE, University of Tuscia, Viterbo, Italy)

  • 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)

  • Napasintuwong Orachos

    (Department of Agricultural and Resource Economics, Faculty of Economics, Kasetsart University, Bangkok, Thailand)

  • 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)

  • Török Áron

    (Department of Agricultural Economics, Corvinus University of Budapest, Budapest, Hungary)

  • Vittersø Gunnar

    (HiOA, National Institute for Consumer Research (SIFO), Oslo, Norway)

  • Bellassen Valentin

    (UMR1041 CESAER, INRAE, Dijon, France)

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.

Suggested Citation

  • Hilal Mohamed & Leedon Guy & Duboys de Labarre Matthieu & Antonioli Federico & Boehm Michael & Péter Csillag & Donati Michele & Drut Marion & Ferrer-Pérez Hugo & Gauvrit Lisa & Gil José Maria & Gkatsi, 2021. "Organic and Geographical Indication Certifications’ Contributions to Employment and Education," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 19(2), pages 161-176, December.
    • Handle: RePEc:bpj:bjafio:v:19:y:2021:i:2:p:161-176:n:5
    DOI: 10.1515/jafio-2019-0042
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    Cited by:

    1. Zhuang Zhang & Qiuxia Yan & Hao Zheng & Mengqing Zeng & Youhua Chen, 2024. "Little Brands, Big Profits? Effect of Agricultural Geographical Indicators on County-Level Economic Development in China," Agriculture, MDPI, vol. 14(5), pages 1-14, May.

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