Economic Benefits Analysis Of Implementing Quality And Safety Traceability System:a Case Study From Pork Slaughter And Processing Enterprises

China is the largest producer and consumer of pork in the world. For pork is the main source of the meat for the Chinese, pork and its products quality has a great effect on people’s daily life. Pork products safety incidents happened frequently in recent years, which alerts the quality and safety management and control level need to be improved.Quality and safety traceability system of agricultural products is an effective management tool for reducing the pork quality and safety risk. In recent years, with the increasing popularity of tracing system in our country, the quality and safety control in the pork industry, to some extent, has been improved. However, the high cost of traceability system hindered the further development of the traceability system. As pork slaughter and processing enterprise is the key link to guarantee the quality and safety of pork, therefore, this paper took pork slaughter and processing enterprise as the research object, then analyzed quality and safety traceability system’s economic benefit and its factors. The result of the study will be of great significance to improve the pork product quality and safety level in our country.Based on the related literature of agricultural products’ quality and safety traceability system, this paper has built a framework to analysis the economic benefits of pork slaughter and processing enterprises implementing the traceability system, taking an example of fifty pork slaughter and processing enterprises from Zhejiang and Jiangxi Province by using the DEA model. This paper also studied the factors that influencing traceability system’s economic benefits by binary logistic model. The results showed that enterprise region, enterprise scale, business type and product sales area significantly influenced the economic benefits of pork slaughter and processing enterprises implementing the traceability system.Above all, the management and policy recommendations on improving the economic benefit of traceability system by the pork slaughter and processing enterprises were also discussed. From the prospective of enterprises’ manager, it is important to improve the technical level of enterprises’ traceability system. From the prospective of policy makers, the increase on government subsidies, rectification of the small pork slaughter and processing enterprises and finally speedup the construction of traceability system’s economic benefit distribution mechanism should be focused on.