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Traceability, Inspection, And Food Safety

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  • Starbird, S. Andrew
  • Amanor-Boadu, Vincent

Abstract

Traceability exists in many food supply chains for valid economic reasons, one of which is improving food safety and quality. Some politicians and consumer groups are calling for increased identity preservation in systems where traceability has not yet been adopted. In this paper, we explore the implications of adding traceability to a food supply chain that already includes an inspection protocol. Our objective is to determine whether the addition of traceability will change the feasibility of a market for safer food and whether it will change the allocation of profits between producers and processors. We find that the addition of traceability to this system does influence whether or not the market will be feasible. If traceability is too high, then processors will not demand safer food, and if traceability is too low, then producers will not deliver safer food. We also show that the feasibility of the market depends on the sensitivity of the test used to inspect food

Suggested Citation

  • Starbird, S. Andrew & Amanor-Boadu, Vincent, 2004. "Traceability, Inspection, And Food Safety," 2004 Annual meeting, August 1-4, Denver, CO 20381, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea04:20381
    DOI: 10.22004/ag.econ.20381
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    References listed on IDEAS

    as
    1. Frenzen, Paul D. & Buzby, Jean C. & Rasco, Barbara, 2001. "Product Liability And Microbial Foodborne Illness," Agricultural Economic Reports 34059, United States Department of Agriculture, Economic Research Service.
    2. Victoria Salin & Neal H. Hooker, 2001. "Stock Market Reaction to Food Recalls," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 23(1), pages 33-46.
    3. Macho-Stadler, Ines & Perez-Castrillo, J. David, 2001. "An Introduction to the Economics of Information: Incentives and Contracts," OUP Catalogue, Oxford University Press, edition 2, number 9780199243259.
    4. George A. Akerlof, 1970. "The Market for "Lemons": Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 84(3), pages 488-500.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Diogo M. Souza-Monteiro & Julie A. Caswell, 2010. "The Economics of Voluntary Traceability in Multi-Ingredient Food Chains," Agribusiness, John Wiley & Sons, Ltd., vol. 26(1), pages 122-142.
    2. Shengnan Sun & Xinping Wang & Yan Zhang, 2017. "Sustainable Traceability in the Food Supply Chain: The Impact of Consumer Willingness to Pay," Sustainability, MDPI, vol. 9(6), pages 1-19, June.
    3. Souza Monteiro, Diogo M. & Caswell, Julie A., 2005. "The Economics of Traceability for Multi-Ingredient Products: A Network Approach," 2005 Annual meeting, July 24-27, Providence, RI 19143, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Fritz, Melanie & Schiefer, Gerhard, 2009. "Tracking, tracing, and business process interests in food commodities: A multi-level decision complexity," International Journal of Production Economics, Elsevier, vol. 117(2), pages 317-329, February.
    5. Christophe Charlier & Egizio Valceschini, 2008. "Coordination for traceability in the food chain. A critical appraisal of European regulation," European Journal of Law and Economics, Springer, vol. 25(1), pages 1-15, February.
    6. Yu Zhang & Nan Liu, 2021. "Optimal Internet of Things Technology Adoption Decisions and Pricing Strategies for High-Traceability Logistics Services," Sustainability, MDPI, vol. 13(19), pages 1-33, September.

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