2021 eng Economic spill-over of food quality schemes on their territory Keywords: Local multiplier, Food quality scheme, Economic spill-over, Local areas, Rural development Journal of Agricultural and Food Industrial Organization 19(2) application/pdf 862596 bytes info:eu-repo/semantics/article https://phaidrabg.bg.ac.rs/o:29550 doi:10.1515/jafio-2019-0046 ISSN: 1542-0485 Donati...[et al.], Michele Ristić, Bojan Stojanović, Žaklina Abstract We study the effect of a set of food quality scheme (FQS) products within the local economy using a local multiplier approach based on LM3 methodology. To evaluate the effective contribution within the local area we compare each FQS product with its equivalent standard/conventional counterpart. Local multiplier allows us to track the financial flows converging within the local area at the different levels of the supply chain so that we can measure the FQS product role in local economic activation. Overall, the FQS products exhibit a higher positive contribution to the local economy than the standard references. However, there is significant heterogeneity in the impact according to the product categories. In the case of vegetal products, the local economic advantage due to FQS is 7% higher than the reference products, but the statistical tests reject the null hypothesis that the medians are significantly different from zero. On the contrary, animal products exhibit a larger contribution of FQS than the standard counterparts(+24%). The PGI products (+ 25%) produce the major effect, while PDO products show a median difference lower (+6%). The organic and non-organic products seem to be substantially equivalent in terms of contribution to the local economy, due to the similarity in the downstream processing phase. This study was conducted in the framework of the "Strength2Food" project, which received funding from the European Union’s Horizon 2020 research and innovation programme under the GA 678024. Contributors: Michele Donati, Adam Wilkinson , Mario Veneziani , Federico Antonioli , Filippo Arfini , Antonio Bodini, Virginie Amilien , Peter Csillag , Hugo Ferrer-Pérez , Alexandros Gkatsikos , Lisa Gauvrit , Chema Gil , Việt Hoàng , Kamilla Knutsen Steinnes , Apichaya Lilavanichakul , Konstadinos Mattas , Orachos Napasintuwong , An Nguyễn, Mai Nguyen , Ioannis Papadopoulos , Bojan Ristić, Žaklina Stojanović , Marina Tomić Maksan , Áron Török , Efthimia Tsakiridou and Valentin Bellassen All rights reserved