What outlook for the mountain dairy supply chain after the end of the quota? An approach in terms of competitive system

Abstract

Mountain dairy farming amounts to 22% of the producers and 15% of the national volumes. Due to slope and climate conditions, it is affected by extra milk production and collection costs. With the abolition of the quota system and the end of the production anchorage at the departmental level, mountain dairy farming is increasingly threatened by the competition of plain farming. An economic conceptual framework is developed to analyze the diversity of adjustment issues in mountainous  areas. Combining case studies and statistical analysis, 43 areas, gathered in four types, were identified and mapped. In areas with strong PDO cheeses, product reputation and specific coordination instruments reduce the impact of market liberalization. In areas with a potential for PDO cheeses, the issue at stake is the activation of specific resources and their appropriation by the farmers. For areas targeting generic markets, coordination instruments capable of anchoring production are yet to be created. Finally in areas with low farm density, the chances to find collective solutions are small. The establishment of new coordination instruments supporting market segmentation and stabilization takes time and requires investments. The mobilization of economic and public players is urgent.