Efficiency of marketing systems

Abstract

Markets are crucial in determining the livelihoods of herders and other grassland actors, and as a platform for influencing incentives of grassland actors. The chapter examines market integration and price transmission in key ruminant livestock and livestock product markets, including sheep and goat meat, beef, cashmere and wool, in China and Mongolia to indicate the extent to which prices convey accurate incentives to herders about consumer preferences and the efficiency of markets in space, time and form dimensions. Ruminant livestock and livestock product industry policies in Mongolia and China are also discussed for the extent to which they distort or influence these markets, and the extent to which they align with societal preferences. Improvements in the ruminant livestock marketing systems that may increase value per unit grazing pressure, critical to grassland management, are also discussed.