Assessing economic sustainability in local and global value chains : a comparison in the cured ham sector

Recently, developments in the global food system have been accompanied by growth in local food systems, or a relocalization of mainstream food system. The comparison of performances of local and global food systems is therefore of crucial importance for both consumers and policy makers. However, the distinction between local and global food systems of production and distribution is not always clear and unambiguous. The purpose of the paper is to develop an economic analysis of three pork chains in Italy: the local Cinta Senese PDO ham, the regional Parma ham PDO, and the global generic cured ham. The economic performances of these chains were measured in terms of added value generated, and in terms of resilience to absorb economic shocks and market turbulence. The results show a higher added value for the regional chain (Parma ham) compared to generic cured ham. However, this difference is declining in recent years. The regional supply chain shows a high level of resilience, mainly thanks to the ham processing firms. The local supply chain has an high resilience in terms of recovering from shocks, but intermediate in terms of searching for new equilibria (dynamic resilience). The global presents the lowest degree of resilience. The paper discusses the systems of governance which have an impact on these performances.