socio- economic characteristics and hence seem to depend mostly on individual
psychological characteristics (Corsi; 2005). Consequently, all these food scares and
crises and their impact in consumer’ s confidence have brought numerous questions
about quality and food safety. Consumers feel more concerned and demand more
transparency in the food- chain as well as more information on food quality
aspects, such as origin, way of production, absence of hormones, etc. .
Food crises, in particular BSE crisis, determined an important restructuring process
in the whole beef sector in Europe, featuring new strategies. Loss of consumer
confidence is recognised as the main problem of this sector and hence adopted
strategies must be oriented to restore it. Data indicate that product differentiation
is seen by agents of the beef sector as the preferred strategy. However, given the
fragmented structure of the beef supply chain and the problems with the natural
variability and the delivery of consistent quality of the product, beef has been
considered until the mid ‘90s a sort of commodity, and the relative sector
unbranded both in Italy and Spain (Sans, et al.; 2004; Mora and Menozzi; 2005).
In the last years we have witnessed an increase of the differentiation strategies in
the beef sector, in particular Quality Certified Brands and Protected Geographical
Indications (PGI) that have entered in the market. In Italy, on one hand, supply
chain valorisation strategies have been largely applied by the main retailers. These
strategies, supported by Quality Certified Brands and private labels, are intended to
restore consumer’ s confidence in the product and to shape consumers’ loyalty in
the store (Mora and Menozzi; 2005). On the other hand, in Spain, the necessity of
creating value and especially quality, made Spanish Government with the support
of European Union to develop Specific Denominations. Data indicate that trade
volume of these products has increased: according to data of year 2002 ,
commercialisation of meat products under PGI increased by 18.8%, even
maintaining the same amount of PGIs since 2001. These figures cannot be
compared to the Italian ones, since only one PGI is registered for beef products in
that country (i.e.: “Vitellone Bianco dell’Appennino Centrale”) representing
essentially a limited and “niche” production 1.
The implementation of these tools was basically the result of beef sector interest in
maintaining quality and safety of meat products, by means of guaranteeing a
geographical origin, a production system and a stricter supply chain control. The
effort made by this sector means, on one hand, an involvement and commitment
with society, aimed to obtain quality and safe products and, on the other hand, it
was focus to protect product names form misuse and imitation. When there is a
market premium for ‘safer’ food, there is an incentive for firms with high food
safety standards to identify this attribute in a label . Hence, one industry initiative
is to facilitate provision of quality signals to consumers.
Branding, quality assurance and certification systems - usually with third party
verification to strengthen its credibility- are some market initiatives to signal
credible product quality to consumers. Traceability systems may facilitate to
identify specific credence attributes related to food safety and quality issues, such
as enhanced food safety practices or ethical preference issues: country of origin,
animal welfare, cattle breeding methods, etc. Introduction and operation of
traceability implies a cost but it is a tool, despite for occasional use, that provides
food agents the capacity to track food items efficiently, reducing losses and
specially to restore consumers’ confidence .
This paper is structured in six parts. After this introduction, traceability and
labelling policies of beef and beef products in the European market are discussed,
as well as the consumer’ s demand in terms of quality and safety. Then, in section
1 The Consortium data, as of December 31, 2004, registered 2,391 farms with the PGI status and 485
PGI sales outlets; the number of certified heads, increased in the last five years, was 10,826 in 2004
(0,16% of total Italian bovine cattle).