The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance

The broiler chicken industry in Peninsular Malaysia has undergone major structural changes in recent years, notably the increasing vertical integration in the industry, which has led to concerns over market power by wholesalers at the expense of producers and consumers. This paper investigates the p...

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Main Authors: Kaur, Bisant, Mohamed Arshad, Fatimah
Format: Article
Language:English
Published: Federal Agricultural Marketing Authority (FAMA) 2008
Online Access:http://psasir.upm.edu.my/id/eprint/17031/
http://psasir.upm.edu.my/id/eprint/17031/1/The%20broiler%20chicken%20industry%20in%20Malaysia%20some%20evidences%20on%20the%20structure%2C%20conduct%20and%20performance.pdf
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author Kaur, Bisant
Mohamed Arshad, Fatimah
author_facet Kaur, Bisant
Mohamed Arshad, Fatimah
author_sort Kaur, Bisant
building UPM Institutional Repository
collection Online Access
description The broiler chicken industry in Peninsular Malaysia has undergone major structural changes in recent years, notably the increasing vertical integration in the industry, which has led to concerns over market power by wholesalers at the expense of producers and consumers. This paper investigates the performance of the broiler market by applying the structure, conduct and performance approach. Using primary data collected from a survey on the wholesale market for broilers, it was found that there was a high degree of concentration in most of the wholesale markets as evident by high concentration ratio and Herfindahl-Hirshman Index. There are also several conditions that restrict the entry of new players. However, in spite of structural rigidities, the study found evidence of spatial market integration using cointegration analysis. This finding suggests that the government could reconsider price control policy measures in the market.
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publishDate 2008
publisher Federal Agricultural Marketing Authority (FAMA)
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spelling upm-170312016-02-01T01:20:04Z http://psasir.upm.edu.my/id/eprint/17031/ The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance Kaur, Bisant Mohamed Arshad, Fatimah The broiler chicken industry in Peninsular Malaysia has undergone major structural changes in recent years, notably the increasing vertical integration in the industry, which has led to concerns over market power by wholesalers at the expense of producers and consumers. This paper investigates the performance of the broiler market by applying the structure, conduct and performance approach. Using primary data collected from a survey on the wholesale market for broilers, it was found that there was a high degree of concentration in most of the wholesale markets as evident by high concentration ratio and Herfindahl-Hirshman Index. There are also several conditions that restrict the entry of new players. However, in spite of structural rigidities, the study found evidence of spatial market integration using cointegration analysis. This finding suggests that the government could reconsider price control policy measures in the market. Federal Agricultural Marketing Authority (FAMA) 2008 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/17031/1/The%20broiler%20chicken%20industry%20in%20Malaysia%20some%20evidences%20on%20the%20structure%2C%20conduct%20and%20performance.pdf Kaur, Bisant and Mohamed Arshad, Fatimah (2008) The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance. Journal of Agribusiness Marketing, 1. pp. 35-60. ISSN 1985-3890 http://www.fama.gov.my/web/guest/volume-1#.VphWn1JrsZM
spellingShingle Kaur, Bisant
Mohamed Arshad, Fatimah
The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title_full The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title_fullStr The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title_full_unstemmed The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title_short The broiler chicken industry in Malaysia: some evidences on the structure, conduct and performance
title_sort broiler chicken industry in malaysia: some evidences on the structure, conduct and performance
url http://psasir.upm.edu.my/id/eprint/17031/
http://psasir.upm.edu.my/id/eprint/17031/
http://psasir.upm.edu.my/id/eprint/17031/1/The%20broiler%20chicken%20industry%20in%20Malaysia%20some%20evidences%20on%20the%20structure%2C%20conduct%20and%20performance.pdf