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New institutional arrangements and standard adoption: Evidence from small-scale fruit and vegetable farmers in Thailand

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  • Sarah, Kersting
  • Meike, Wollni
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    Abstract

    This paper presents an analysis of GlobalGAP adoption by small-scale fruit and vegetable farmers in Thailand focusing on GlobalGAP group certification, the costs and perceived benefits of GlobalGAP adoption, and the factors influencing standard adoption. GlobalGAP is the most important private standard for producers in the Thai horticultural sector concerning access to high-value markets, especially to Europe. We find that support by donors, exporters and public-private partnerships is vital to enable small-scale farmers to adopt the standard. GlobalGAP group certification encourages the formation of new institutional arrangements between farmers, exporters and donors. In our sample only participants from a development program were successful in adopting GlobalGAP and within the program farmers were either organized in certification groups where the Quality Management System (QMS) was run by farmers themselves, by an exporter or by a donor. The results of the adoption analysis suggest that household characteristics (age, education, wealth, availability of family labor), farm characteristics (farm size, intensity of irrigation use), the number of agricultural trainings subjects attended, prior involvement in high-value supply chains, as well as exporter and donor support in terms of costs of compliance, technical advice and management of the QMS influence GlobalGAP adoption.

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    Bibliographic Info

    Paper provided by International Association of Agricultural Economists in its series 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil with number 123537.

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    Date of creation: May 2012
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    Handle: RePEc:ags:iaae12:123537

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    Related research

    Keywords: Private standards; food safety; GlobalGAP adoption; new institutional arrangements; small-scale farmers; Agricultural and Food Policy; Community/Rural/Urban Development; Farm Management; International Development; Marketing;

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    References

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    1. Chemnitz, Christine & Grethe, Harald & Kleinwechter, Ulrich, 2007. "Quality Standards for Food Products - A Particular Burden for Small Producers in Developing Countries?," Working Paper Series 10010, Humboldt University Berlin, Department Agricultural Economics.
    2. Roitner-Schobesberger, Birgit & Darnhofer, Ika & Somsook, Suthichai & Vogl, Christian R., 2008. "Consumer perceptions of organic foods in Bangkok, Thailand," Food Policy, Elsevier, vol. 33(2), pages 112-121, April.
    3. Narrod, Clare & Roy, Devesh & Okello, Julius & Avendaño, Belem & Rich, Karl & Thorat, Amit, 2009. "Public-private partnerships and collective action in high value fruit and vegetable supply chains," Food Policy, Elsevier, vol. 34(1), pages 8-15, February.
    4. Jaffee, Steve & Masakure, Oliver, 2005. "Strategic use of private standards to enhance international competitiveness: Vegetable exports from Kenya and elsewhere," Food Policy, Elsevier, vol. 30(3), pages 316-333, June.
    5. Solomon Asfaw & Dagmar Mithöfer & Hermann Waibel, 2009. "EU Food Safety Standards, Pesticide Use and Farm-level Productivity: The Case of High-value Crops in Kenya," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(3), pages 645-667.
    6. Henson, Spencer & Masakure, Oliver & Cranfield, John, 2011. "Do Fresh Produce Exporters in Sub-Saharan Africa Benefit from GlobalGAP Certification?," World Development, Elsevier, vol. 39(3), pages 375-386, March.
    7. Asfaw, Solomon & Mithofer, Dagmar & Waibel, Hermann, 2007. "What Impact Are EU Supermarket Standards Having on Developing Countries Export of High-Value Horticultural Products? Evidence from Kenya," 105th Seminar, March 8-10, 2007, Bologna, Italy 7870, European Association of Agricultural Economists.
    8. Feder, Gershon & Just, Richard E & Zilberman, David, 1985. "Adoption of Agricultural Innovations in Developing Countries: A Survey," Economic Development and Cultural Change, University of Chicago Press, vol. 33(2), pages 255-98, January.
    9. Solomon Asfaw & Dagmar Mithöfer & Hermann Waibel, 2010. "Agrifood supply chain, private-sector standards, and farmers' health: evidence from Kenya," Agricultural Economics, International Association of Agricultural Economists, vol. 41(3-4), pages 251-263, 05.
    10. Giovannucci, Daniele & Ponte, Stefano, 2005. "Standards as a new form of social contract? Sustainability initiatives in the coffee industry," Food Policy, Elsevier, vol. 30(3), pages 284-301, June.
    11. Henson, Spencer & Reardon, Thomas, 2005. "Private agri-food standards: Implications for food policy and the agri-food system," Food Policy, Elsevier, vol. 30(3), pages 241-253, June.
    12. C. Dolan & J. Humphrey, 2000. "Governance and Trade in Fresh Vegetables: The Impact of UK Supermarkets on the African Horticulture Industry," Journal of Development Studies, Taylor & Francis Journals, vol. 37(2), pages 147-176.
    13. Reardon, Thomas & Barrett, Christopher B. & Berdegué, Julio A. & Swinnen, Johan F.M., 2009. "Agrifood Industry Transformation and Small Farmers in Developing Countries," World Development, Elsevier, vol. 37(11), pages 1717-1727, November.
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    Cited by:
    1. Linda Kleemann & Awudu Abdulai, 2012. "Organic Certification, Agro-Ecological Practices and Return on Investment: Farm Level Evidence from Ghana," Kiel Working Papers 1816, Kiel Institute for the World Economy.

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