An Analysis of Marketing Margin of Pasteurized Milk in Iran

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Abstract

The objectives of this study are twofold: first to determine a suitable model for defining the farm-retail marketing margin for pasteurized milk in six major milk producing provinces (Tehran, Esfahan, Fars, Khorasan, Mazanderan, Azarabaejan) by using monthly data for 1379-1385 period; to discover the determinants that significantly contribute to the marketing margin of pasteurized milk in the six selected provinces. Then by using Akaike and Schwarz tests, mark-up model was selected for the analysis. Results indicated that marketing margin of pasteurized milk market depends more on retail price than on marketing costs. Results indicated that marketing margin of pasteurized milk market depends more on retail price than on marketing costs

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