Review on Market power of the Australian Agricultural Chain

Review on Market power of the Australian Agricultural Chain

This paper reviews the market power gleaned from economic theory in the Australian agricultural chain. Despite the general analyses on agricultural supply chain, it will allow development of the institutional detail sufficient to reveal the nature and significance of market power in agricultural chains and how and why it ebbs and flows over time. The implications of this reviews are that attention should be focused on the supplier side, especially the distribution sector in the chain, not on the consumer side of the market. Future studies into market power issue in the Australian agricultural market should be analysed in the form of intensive case studies.

This paper reviews the market power gleaned from economic theory in the Australian agricultural chain. Despite the general analyses on agricultural supply chain, it will allow development of the institutional detail sufficient to reveal the nature and significance of market power in agricultural chains and how and why it ebbs and flows over time. The implications of this reviews are that attention should be focused on the supplier side, especially the distribution sector in the chain, not on the consumer side of the market. Future studies into market power issue in the Australian agricultural market should be analysed in the form of intensive case studies.