Objective of the paper is to verify which are the determinants of innovations in the Italian food industry and which role R&D networking, through the cooperative nature of firm, plays among these determinants. The data used are the 9th (2001-2003) wave of Capitalia surveys based on a representative sample of manufacturing firms with information on firm characteristics, employee education levels, innovation and R&D investments. The approach is a bivariate probit analysis where the two dependent variables are the presence of firm R&D and of innovations and the independent variables are firm characteristics. The results of the analysis show that, among the determinants of firm R&D intra moenia and of firm innovations in the Italian food industry for the years 2001-03, the presence of subsidies for R&D extra moenia, is the most significant variable with the highest marginal effect while the cooperative variable turns out to be positive and significant (6%) after including relative input prices.