Market Segmentation in Relation to Supply Structural Changes: the Case of the Seabass Market in France Public Deposited

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  • Wild seabass consumption in France is supplied by both small-scale fishing fleets (liners) and larger fishing fleets (trawlers and purse-seiners). This product differentiation supports a rather robust market segmentation which benefits to the liner captures, the average price of which is 50% higher. This price premium is explained at first by the quality of the seabass landed by liners, which may moreover be mentioned by a label created by producer organisations. In addition, the fishing fleets operate at different time periods, the seabass being more accessible for industrial gears during the winter, when small-scale fishing fleets are less active. Nevertheless, it has been observed that new fishing strategies are likely to blur the current product differentiation. For instance, the purse-seiners tend to improve the quality of their products, which become able to compete with the seabass from liners. This paper analyses the price formation mechanisms of wild seabass on the French auction markets. A crossed database has been built which enables the identification of marketed products according to their production technique. The first part of the paper depicts the seabass supply chain, from production (including aquaculture) to consumption. The second part analyses the determinants of product pricing and the spatial integration of first-hand sale markets for similar products. The third part estimates the impacts of changes in supply structure on product pricing and market segmentation. The results highlight some relationships between reallocation of access-rights and the valorisation of fish products.
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  • Mongruel, Rémi, Sophie Girard, Mickael Drogou and Haja Razafimandimby. 2010. Market Segmentation in Relation to Supply Structural Changes: the Case of the Seabass Market in France. In: Proceedings of the Fifteenth Biennial Conference of the International Institute of Fisheries Economics & Trade, July 13-16, 2010, Montpellier, France: Economics of Fish Resources and Aquatic Ecosystems: Balancing Uses, Balancing Costs. Compiled by Ann L. Shriver. International Institute of Fisheries Economics & Trade, Corvallis, Oregon, USA, 2010.
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