96547 - Economics in Agro-Industrial Markets

Learning outcomes

The student will be able to know the basics of the economy of agro-industrial production market and in particular the structure and functioning of the economic phases that are downstream of the farm. The student will also acquire relevant information relating to public intervention on production structures and markets.

At the end of the module students should have comprehended the main elements of the dynamic of the agricultural products international economics, the integration forms applied among the countries, the strategies developed on the international markets in order to protect/to open the trade flows (duties, non-tariff barriers, etc.).

Course contents

Prerequisites

For this course (module 1 and 2) the student should have a sufficient preparation in the fundamentals of microeconomics and the economy of the farm. The student needs to know the basic concepts of mathematics, statistics and economics.This knowledge is acquired through the teachings of the first (first period) year of the course.

Teaching program

The course is divided into two modules:

Module 1 Economics of markets

Module 2 INTERNATIONAL ECONOMICS OF AGRO-INDUSTRIAL MARKETS

MODULE 1

Unit 1 – Characteristics of the Agri-Food Market

(Total duration: 8 hours)

1.1. Definitions (1 hour)

1.2. Contextual framework: The post-modern era and market dynamics (4 hours)

• 1.2.1. General characteristics of supply: Competitive environment analysis

• 1.2.2. General characteristics of demand: The consumer in the post-modern era

1.3. The concept of quality and its application in the agri-food system (3 hours)

• 1.3.1. Evolution of the concept

• 1.3.2. Definitions of quality systems and analytical models

Acquired skills – Unit 1

Upon completing this unit, students will:
a) Understand the main features of supply and demand in the agri-food system
b) Acquire theoretical foundations for proper market analysis
c) Gain tools to analyze the competitive environment and consumer behavior

 Unit 2 – Market Actors, Services, and Organization (Total duration: 16 hours)

2.1. Analytical approaches: Supply Chain and Value Chain. Stakeholders (1 hour)

2.2. Distribution stages and involved commercial actors (4 hours) 2.3. Market services (6 hours)

• 2.3.1. Storage and conditioning

• 2.3.2. Packaging and labelling

• 2.3.3. Transportation

• 2.3.4. Logistics

• 2.3.5. Classification and standardization

• 2.3.6. Quality control and assurance. Voluntary certifications

• 2.3.7. Overview of market information systems

2.4. Sales systems: features and innovative forms (2 hours)

2.5. Distribution channels: features, power relationships, and innovative formats (2 hours)

2.6. Market margins and introduction to integration in the agri-industrial system (1 hour)

Acquired skills – Unit 2

Upon completing this unit, students will:
a) Know the distribution phases and characteristics of the actors operating in agri-industrial markets
b) Understand the specificity of market services and the dynamics that govern relationships among stakeholders
c) Acquire analytical tools for interpreting value chain dynamics in the agri-food system

Teaching Unit 3 – Applied Practical Exercises and Seminars (Total duration: 16 hours)

3.1. Field visits to companies operating in the agri-industrial sector

3.2. Group work involving critical understanding, analysis, synthesis, and presentation of a topic assigned by the instructor

3.3. Seminars delivered by industry professionals and participation in thematic workshops

For the academic year 2025–2026, 12 hours will be delivered in blended learning format, including:

• Three 3-hour online sessions

• Three hours of activity held at an external venue

A specific activity included is an Hackathon organized in collaboration with LegaCoop Bologna.

Acquired skills – Unit 3

Upon completing this unit, students will:
a) Apply appropriate analytical approaches to strategic issues within agri-industrial firms
b) Develop and strengthen skills in managing group dynamics and teamwork

 

Module 2

Teaching Unit 1 (6 hours) - An overview of the world trade: framework and basic indicators

1.1 Explanation of the course structure and contents

1.2 Data and indicators useful to depict the international trade of agrifood products

1.2.1 Harmonised commodity description and coding system (HS nomenclature)

1.2.2 Self-sufficiency balance sheet

1.2.3 The trade balance sheet

Teaching Unit 2 (8 hours) – The theoretical fundamentals of the International trade

2.1. The theory of international trade: historical framework and evolution of the thought

2.1.1. Adam Smith and trade based on Absolute Advantage

2.2 Comparative Advantage

2.2.1. The law of comparative advantage by D. Ricardo: principles and applications

2.2.2. Comparative advantage and opportunity costs

2.3 The Mill equation of the international demand

2.4 The impact of the transport costs

2.5 Incoterms prices

Teaching unit 3 (10 hours) – The EU trade policy, instruments, economic integration pathway and the approach to international trade partnership

3.1 Protectionism: concepts

3.2 Tariff and non-tariff measures and barriers: definitions, working principles and effects

3.2.1 Duties

3.2.2. Subsidies

3.2.3. Non-trade barriers (quantitative measures, TBT, SPS, others)

3.3 Other trade policy tools

3.3.1. Business connections or international cartels

3.3.2. Dumping

3.4 Notes on the EU trade policy

3.5 The EU approach to Trade agreements

3.6 Economic integration models and their impact on trade

3.6.1 Trade creation and diversion

Teaching unit 4 (16 hours) – Seminars, Exercises and deepening of knowledge

4.1 Exercises and explanations of theories and concepts in the field of the International Agrifood markets and trade

4.2 Analysis of the effects of the most relevant trade policy tools

4.3 Seminars about trends and topics of the Agrifood trade.

For the a.a. 2025-26, 6 hours will be devoted to the topic “The EU Trade Policy Strategy in Agricultural Production” within the Jean Monnet Chair Project SustainEUorPlanet “The EU as a Global Actor in the International Law for the Sustainable Development of the Planet – Advancing Fairness, Expanding Accountability and Promoting Security”.

  

Readings/Bibliography

The teacher will provide students specific educational material (in electronic format) which supplements the notes taken during lectures. Educational material will be distributed using Virtuale.

In order to complete and deepen the preparation the following references are recommended:

Module 1

1 - S. Dani, Food Supply Chain Management and Logistics, KoganPage (Chapters 1, 2, 3, 4, 5, 10, 11, 12)

2 - Christopher, Martin. Logistics and supply chain management -- 4th ed.Pearson Education Limited 2011 (available on-line) (chapter 1 and 8)

Module 2

P.R. Krugman, M. Obstfeld, M.J. Melitz, International Economics: Theory and Policy, Global Edition, Ed. Pearson (Chapters: 1, 2, 3, 9, 10)

Dominick Salvatore, International Economics, Ed. Wiley (Chapters: 1, 2, 8, 9, 10)

D.R. Appleyard, A.J. Field jr., International Economics, Ed. McGraw Hill (Chapters: 1, 2, 3, 13)

Occasionally slides and lecture notes

Teaching methods

The Module 1* is divided into three teaching units, two are theoretical and consist of lectures. Lectures provide a close interaction between the teacher and the classroom and are organized in order to stimulate the interest and critical analysis by students through the presentation of case studies. The exercises require the direct involvement of the students who will be able to deal with the dynamics of group work and presentation of the results. The seminars, held by operators of the agro-industrial business, and the study visits will allow the student to deal with the language of such specific working world.

Module 2* is constituted by oral lessons without laboratories. It includes four teaching units: the first explains the general framework of international trade; the second aims to provide the basic knowledge about the most important theories of international trade; the third deals with protectionism, the main trade policy instruments, and the principles of the EU trade policy approach. The fourth teaching unit is dedicated to seminars, exercises and the deepening of knowledge of some topics developed during the course.

For the purposes of better learning the subject, during the course students may be called to the blackboard to repeat graphic demonstrations or answer questions from the teacher but without any judgment/grade being issued.

Seminars about specific issues will take place during the module.

*The lessons will be organized in accordance with the Government's directives and on the basis of the choices made by the Academic Bodies of the University.

Assessment methods

The course is divided in two moduls. Therefore, the evaluation of the course takes into account jointly the level of knowledge and skills acquired by the student in relation to the contents of the two moduls.

The knowledge and skills taught in this course are evaluated:

• in the session immediately following the end of the lectures, will be an exam in presence only, in written mode, with a test comprising approximately 20-30 closed-ended and 3-4 open-ended questions. The duration of the exam will be 60 minutes. The exam aims to test the expected learning of the topics covered in the course.
• an oral examination (lasting approximately 30 minutes) to assess the learning of the topics covered in the course (5-6 answers). For Module 2, occasionally with exercises. The final score will be an average of the results obtained in each examination

Students who wish to make the exam in English are allowed to do so if they request it at least one week in advance. For Module 1 the exam is written.

Teaching tools

Whiteboard, projector, computer, internet access. All lessons are carried out showing slides.

Office hours

See the website of Roberta Spadoni

See the website of Alessandra Castellini