1. The Convenient side of the Pdo certification
Gabriella Arciprete
Advanced management control and sustainable development
Università degli Studi di Siena

2. 1. DEFINITION AND REQUIREMENTS

3. To begin… PURPOSES Wines Beers Vinegars Other products (ex spices)
Raw meats
Cheeses
Other animal products (eggs, honey, dairy products.)
Olive oils
Essential oils
Cereals, fruits and vegetables
Seafood
EU schemes of geografical indication and traditional specialties
PURPOSES
to protect the reputation of the regional foods,
To promote rural and agricultural activity
to help producers obtain a premium price for their authentic products
to eliminate the unfair competition and misleading of consumers by non-genuine products

4. Requirements of Protected designation of origin
‘designation of origin’ means the name of a region, a specific place or […]a country, used to describe an agricultural product or a foodstuff:
— originating in that region, specific place or country,
— the quality or characteristics of which are essentially or exclusively due to a particular geographical environment with its inherent natural and human factors, and
— the production, processing and preparation of which take place in the defined geographical area;
To receive the PDO status, the entire product must be traditionally and entirely manufactured (prepared, processed and produced) within the specific region and thus acquire unique properties.
(Source: EU regulation No. 1151/2012)

5. Italian PDOs Grana Padano Pistacchio di Bronte Parmigiano reggiano
Cinta senese
Prosciutto di Parma

6. 2. PDO PRODUCTS AND FIRMS

7. Why do firms adopt PDO certification on their products?
To differentiate on a qualitative base
To give information to the consumers
To reach those consumers (or new markets) who are increasingly interested in typical products (=high quality, genuinity)

8. Is PDO always convenient ?
BENEFITS
- Premium price
Pdo certification as a recognition of quality for the whole firm
Protection from imitations and abuses of the name of a place
COSTS
- Preliminary costs: experts consulences
Operational costs: adaptation of processes, controls
Promotion costs

9. When PDO is convenient
Large companies (capable to reduce the fixed costs by economies of scales)
Companies and firms selling in international markets
Products using a territorial name with a big reputational capital
Products with not-long-listed standards to comply with (lower adaptation costs and conformity costs)

10. Sources
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ndications_and_traditional_specialities_in_the _European_Union