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Production pattern, transaction style and raw milk quality

Author

Listed:
  • Zhen Zhong
  • Shufen Chen
  • Xiangzhi Kong

Abstract

Purpose - – The purpose of this paper is to present an econometric model to empirically analyze the influence of production patterns and transaction style on raw milk quality. More specifically, the paper examines the effects of these institutions on both nutrition and safety aspects of raw milk quality. Design/methodology/approach - – Using data collected from 396 households in Inner Mongolia, this paper adopts a multiple linear regression model (OLS/FGLS) and a zero-inflated Poisson regression model to test two hypotheses proposed according to theory and descriptive analysis. Findings - – The empirical results indicate that both production pattern and transaction style significantly affect raw milk quality. Production pattern has a more significant effect on raw milk nutrition, while transaction style has a more significant effect on raw milk safety. Research limitations/implications - – Current government policies focus on reducing household production and regulating private milk collection stations. From a comprehensive quality perspective, these policies are not effective in that they cannot guarantee raw milk safety and have little effect on improving raw milk nutrition. Alternatively, promoting dairy farmers' specialized cooperatives may be a more effective policy measure. Originality/value - – In contrast to other studies, this paper adopts a comprehensive quality perspective that examines both nutritional and safety characteristics rather than focusing on any single quality indicator, separately analyzing the factors influencing raw milk nutrition and raw milk safety. Therefore, the conclusion of this paper provides a new perspective in addressing the current raw milk quality problems facing China's dairy industry.

Suggested Citation

  • Zhen Zhong & Shufen Chen & Xiangzhi Kong, 2013. "Production pattern, transaction style and raw milk quality," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 5(4), pages 526-542, November.
  • Handle: RePEc:eme:caerpp:v:5:y:2013:i:4:p:526-542
    DOI: 10.1108/CAER-07-2011-0081
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