The Potency of Quality Incentives: Evidence from the Indonesian Dairy Value Chain

Misalignment of quality incentives along value chains may limit and therefore function as a barrier to smallholder participation in modern chains. This article uses survey administrative data study how individual provided by private actors can help smallholders improve milk quality. By matching farmers on baseline characteristics, I find that increased the compositional quickly after its introduction. Together with physical inputs training, also hygienic milk. Decreasing over time treated suggests impact intervention decreased time.