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The Performance of Protected Designations of Origin: An Ex Post Multi-Criteria Assessment of the Italian Cheese and Olive Oil Sectors

Author

Listed:
  • Carbone Anna

    (Department of Agriculture, Forests, Nature and Energy (DAFNE), University of Tuscia, via San Camillo de Lellis snc, 01100 Viterbo Italy)

  • Caswell Julie

    (Department of Resource Economics, University of Massachusetts Amherst, 223 Stockbridge Hall, 80 Campus Center Way, Amherst, Massachusetts (USA))

  • Galli Francesca

    (Department of Agriculture, Food and Environment (DISAAA-a), University of Pisa, Via del Borghetto 80, Pisa 56124, Italy)

  • Sorrentino Alessandro

    (Department of Economics and Management (DEIM), University of Tuscia, via del Paradiso 47, 01100 Viterbo Italy)

Abstract

Protected designations of origin (PDOs) and protected geographical indications (PGIs) for food products are used by the European Union with the goal of achieving several policy objectives. We build a multi-criteria analysis framework for ex post assessment of the performance of PDOs. The performance criteria are based on five policy objectives, as defined by European policy makers in regulations, with each criterion measured by a set of indicators. We apply the framework to analyze the performance of all Italian PDO cheeses and olive oils from 2004 to 2008. The results show that for the PDOs studied it is feasible, in general, to perform on all five objectives at the same time, although partial tradeoffs are present between the bargaining power and local development objectives on one side and the market performance objective on the other. A ranking of PDOs in the two sectors on all objectives using multi-criteria analysis and equal weights on all objectives shows overall higher performance for smaller PDOs that are well rooted in the territory of origin and targeted to niche market segments. Lower ranked PDOs under this scenario tend to be bigger, older, and better established in wider markets. Alternative weighting scenarios that emphasize niche/local market PDOs or market performing PDOs yield different relative rankings. The results provide insights for both policy makers and stakeholders into the evaluation of PDO policy, as well as into the performance of individual PDO products.

Suggested Citation

  • Carbone Anna & Caswell Julie & Galli Francesca & Sorrentino Alessandro, 2014. "The Performance of Protected Designations of Origin: An Ex Post Multi-Criteria Assessment of the Italian Cheese and Olive Oil Sectors," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 12(1), pages 121-140, January.
    • Handle: RePEc:bpj:bjafio:v:12:y:2014:i:1:p:20:n:4
    DOI: 10.1515/jafio-2013-0017
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    References listed on IDEAS

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    1. Behzadian, Majid & Kazemzadeh, R.B. & Albadvi, A. & Aghdasi, M., 2010. "PROMETHEE: A comprehensive literature review on methodologies and applications," European Journal of Operational Research, Elsevier, vol. 200(1), pages 198-215, January.
    2. 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.
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    Cited by:

    1. Tobias Chilla & Benedikt Fink & Richard Balling & Simon Reitmeier & Karola Schober, 2020. "The EU Food Label ‘Protected Geographical Indication’: Economic Implications and Their Spatial Dimension," Sustainability, MDPI, vol. 12(14), pages 1-21, July.
    2. Galli, Francesca & Venturi, Francesca & Bartolini, Fabio & Gava, Oriana & Zinnai, Angela & Chiara, Sanmartin & Andrich, Gianpaolo & Brunori, Gianluca, 2017. "Shaping food systems towards improved nutrition: a case study on Tuscan Bread Protected Designation of Origin," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 20(4), April.
    3. Elena Vigan? & Federico Gori & Antonella Amicucci, 2019. "Enhancement of food production quality: the truffle case," Economia agro-alimentare, FrancoAngeli Editore, vol. 21(3), pages 587-611.
    4. Anna Carbone, 2017. "Food supply chains: coordination governance and other shaping forces," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 5(1), pages 1-23, December.
    5. Áron Török & Lili Jantyik & Zalán Márk Maró & Hazel V. J. Moir, 2020. "Understanding the Real-World Impact of Geographical Indications: A Critical Review of the Empirical Economic Literature," Sustainability, MDPI, vol. 12(22), pages 1-24, November.
    6. Anna Carbone & Luca Cacchiarelli & Valentina Sabbatini, 2018. "Exploring quality and its value in the Italian olive oil market: a panel data analysis," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-15, December.
    7. Dominika Jakubowska & Tomasz Wierzejski & Wojciech Lewicki, 2021. "Perception of Food Quality Labels: An Empirical Analysis Among Traditional Food Producers in Poland," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 2), pages 243-259.
    8. repec:ehl:lserod:110767 is not listed on IDEAS
    9. Anna Carbone, 2018. "Foods and Places: Comparing Different Supply Chains," Agriculture, MDPI, vol. 8(1), pages 1-12, January.
    10. Török, Áron & Maró, Zalán Márk, 2020. "A földrajzi árujelzők gazdaságtana - az empirikus bizonyítékok [The economics of geographical indicators - empirical evidence]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(3), pages 263-288.
    11. repec:ers:journl:v:xxiv:y:2021:i:special3:p:243-259 is not listed on IDEAS
    12. Jessica Weber & Johann Köppel, 2022. "Can MCDA Serve Ex-Post to Indicate ‘Winners and Losers’ in Sustainability Dilemmas? A Case Study of Marine Spatial Planning in Germany," Energies, MDPI, vol. 15(20), pages 1-30, October.
    13. Hugo Ferrer-Pérez & Filippo Arfini & José M. Gil, 2019. "Modelling Price Transmission within the Supply Chain under a European Protected Designation of Origin Framework: The Case of Parmigiano Reggiano in Italy," Social Sciences, MDPI, vol. 8(3), pages 1-13, March.

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