Title: Rich consumers and poor producers: quality and rent distribution in global value chains
Authors: Swinnen, Jo
Vandeplas, Anneleen
Issue Date: 2009
Publisher: International Food Policy Research Institute (IFPRI)
Series Title: IFPRI Discussion paper 932 pages:1-32
Abstract: In recent years, quality standards have become crucial for developing countries’ agricultural production systems in gaining access to high-value markets abroad or at home. High-value supply chains offer opportunities for high profits, but in order to comply with the required standards, suppliers in developing countries often need extensive support from agrifood companies. We use a theoretical model to investigate under which conditions such synergies between suppliers and agrifood companies are sustainable, and how created rents are distributed, in a context of factor market imperfections and weak contract enforcement. We also derive the implications of development.
Publication status: published
KU Leuven publication type: ER
Appears in Collections:LICOS - Centre for Institutions and Economic Performance, Leuven
Department of Economics, Leuven - miscellaneous

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