Marketing Systems and Marketing Efficiencies of Main Food Products and Inputs

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Marketing efficiencies are evaluated and suggestions are made in the aim of improvement marketing efficiencies of main food products and feeds for animals. Results obtained are as Followings.1. Transaction costs for both producers and wholesalers in vegetable marketing are estimated and we found that this cost is one of determinant costs for the efficiency. Larger lot size and standardization of the quality are suggested in order to reduce them.2. Technical and scale efficiencies, in terms of profitability and labor productivity, of vegetable wholesalers are estimated by DEA (Data Envelopment Analysis). Great degree of the variations in efficiencies are found and scale economy is not significant observed. We concluded that quality managements and related handling procedures are main causes for this.3. Processing the material foods to final products at producer owned plants is recommended in order to obtained additional value-add. However, it is emphasized that product differentiation is one of the essential strategic factors for success.4.Introduction of the system where individual producer is able to buy and sell his milk quota is suggested as a way to decrease the cost of production of milk, since the system brings producers more cost competitive market atmosphere. But from the market welfare view, a benefit is rather restricted. Considering the characteristics of typical rural society, required conditions for the introduction of this system are discussed and practical suggestion are made.