Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam

Along with rapid economic growth and increasing affluence, the demand for pork has been increasing steadily; at the same time, consumers have become more demanding with respect to the quality and safety of pork they buy. This paper seeks to examine to what extent changes in consumer income and price...

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Main Authors: Toan, N.N., Lapar, Ma. Lucila, Que, N.N., Jabbar, M.A., Tisdell, C.A., Minot, Nicholas, Staal, Steven J.
Format: Conference Paper
Language:Inglés
Published: 2010
Subjects:
Online Access:https://hdl.handle.net/10568/2636
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author Toan, N.N.
Lapar, Ma. Lucila
Que, N.N.
Jabbar, M.A.
Tisdell, C.A.
Minot, Nicholas
Staal, Steven J.
author_browse Jabbar, M.A.
Lapar, Ma. Lucila
Minot, Nicholas
Que, N.N.
Staal, Steven J.
Tisdell, C.A.
Toan, N.N.
author_facet Toan, N.N.
Lapar, Ma. Lucila
Que, N.N.
Jabbar, M.A.
Tisdell, C.A.
Minot, Nicholas
Staal, Steven J.
author_sort Toan, N.N.
collection Repository of Agricultural Research Outputs (CGSpace)
description Along with rapid economic growth and increasing affluence, the demand for pork has been increasing steadily; at the same time, consumers have become more demanding with respect to the quality and safety of pork they buy. This paper seeks to examine to what extent changes in consumer income and prices of pork and other meat, are likely to influence the demand for pork. We conduct a demand analysis using the Almost Ideal Demand System (AIDS), of fresh pork and other pork (frozen and processed) and a number of other meat items. We use data from 1,650 households in consumer surveys in Hanoi and Ho Chi Minh city and six rural provinces across Vietnam, selected purposely to represent the geographical and economic diversity of the country. An empirical issue with this type of analysis is the truncated nature of consumption data that induces bias in the estimates. This was addressed by applying the generalized Amemiya two-stage procedure, which is asymptotically more efficient than the Heckman correction method. We find that fresh pork and other pork are relatively inelastic to price and meat expenditure, indicating that pork is not a luxury good within the Vietnamese context. Poultry, egg, beef and seafood appear to be more elastic to meat expenditure. Poultry, beef and fish are statistically shown to be substitutes of pork. Seafood is likely to be a complement of fresh pork but a substitute of other (processed) pork. The findings suggest that pork demand is likely to increase substantially as income rises. On the other hand, consumers also tend to diversify their diet towards other alternatives such as poultry, eggs and beef with increasing affluence. Implications for production and pro-poor livestock development strategy are discussed.
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spelling CGSpace26362025-11-04T16:27:27Z Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam Toan, N.N. Lapar, Ma. Lucila Que, N.N. Jabbar, M.A. Tisdell, C.A. Minot, Nicholas Staal, Steven J. pork meat livestock animal production Along with rapid economic growth and increasing affluence, the demand for pork has been increasing steadily; at the same time, consumers have become more demanding with respect to the quality and safety of pork they buy. This paper seeks to examine to what extent changes in consumer income and prices of pork and other meat, are likely to influence the demand for pork. We conduct a demand analysis using the Almost Ideal Demand System (AIDS), of fresh pork and other pork (frozen and processed) and a number of other meat items. We use data from 1,650 households in consumer surveys in Hanoi and Ho Chi Minh city and six rural provinces across Vietnam, selected purposely to represent the geographical and economic diversity of the country. An empirical issue with this type of analysis is the truncated nature of consumption data that induces bias in the estimates. This was addressed by applying the generalized Amemiya two-stage procedure, which is asymptotically more efficient than the Heckman correction method. We find that fresh pork and other pork are relatively inelastic to price and meat expenditure, indicating that pork is not a luxury good within the Vietnamese context. Poultry, egg, beef and seafood appear to be more elastic to meat expenditure. Poultry, beef and fish are statistically shown to be substitutes of pork. Seafood is likely to be a complement of fresh pork but a substitute of other (processed) pork. The findings suggest that pork demand is likely to increase substantially as income rises. On the other hand, consumers also tend to diversify their diet towards other alternatives such as poultry, eggs and beef with increasing affluence. Implications for production and pro-poor livestock development strategy are discussed. 2010-02-09 2010-11-25T14:36:19Z 2010-11-25T14:36:19Z Conference Paper https://hdl.handle.net/10568/2636 en Limited Access application/pdf Toan, N.N., Lapar, M.L., Que, N.N., Jabbar, M., Tisdell, C., Minot, N. and Staal, S. 2010. Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam. Paper presented at the 54th Annual Conference of the Australian Agricultural and Resource Economics Society, Adelaide, Australia, 9-12 February 2010.
spellingShingle pork
meat
livestock
animal production
Toan, N.N.
Lapar, Ma. Lucila
Que, N.N.
Jabbar, M.A.
Tisdell, C.A.
Minot, Nicholas
Staal, Steven J.
Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title_full Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title_fullStr Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title_full_unstemmed Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title_short Demand for pork and other meats: New estimates and implications for livestock development policy in Vietnam
title_sort demand for pork and other meats new estimates and implications for livestock development policy in vietnam
topic pork
meat
livestock
animal production
url https://hdl.handle.net/10568/2636
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