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Production pattern, transaction style and raw milk quality: An empirical study based on a “comprehensive quality perspective”

Zhen Zhong (School of Agricultural Economics and Rural Development, Renmin University of China, Beijing, China)
Shufen Chen (Economics Department, Iowa State University, Ames, Iowa, USA)
Xiangzhi Kong (Renming University of China, Beijing, China)

China Agricultural Economic Review

ISSN: 1756-137X

Article publication date: 18 November 2013

500

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.

Keywords

Acknowledgements

JEL classification – Q13, Q18The authors would like to express their gratitude to all those who have helped with this paper. Thanks for the support of Prof. Guanghua Qiao and Dr Hongxia Zhang from Inner Mongolia Agricultural University. Thanks for the support of all the dairy households and milk collection station managers interviewed during the survey. The authors gratefully acknowledge the work of Prof. Xian Xin of China Agricultural University, Dr Xiaoou Liu and Dr Liwen Zheng from Renmin University of China and PhD candidate Timothy Rakitan from Iowa State University and appreciate their contribution for this paper.

Citation

Zhong, Z., Chen, S. and Kong, X. (2013), "Production pattern, transaction style and raw milk quality: An empirical study based on a “comprehensive quality perspective”", China Agricultural Economic Review, Vol. 5 No. 4, pp. 526-542. https://doi.org/10.1108/CAER-07-2011-0081

Publisher

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Emerald Group Publishing Limited

Copyright © 2013, Emerald Group Publishing Limited

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