Meat demand model in Iran: a restricted source-differentiated almost ideal demand system approach

Abstract

The gradual disappearance of pastures due to overgrazing of cattle, high cost of meat (red and poultry) and gradual increasing domestic demand, so far, meat imports in Iran have been inevitable to meet domestic needs. In this article, the authors have used RSDAIDS model, the economic factors (meat prices and costs) and non-economic factors (prevalence of diseases) affecting the demand for meat (beef and poultry) during the years 2002-16 have been investigated. The results of this study shed light on Iran consumer preferences with regard to imported meat. This is the first study that analyzes the Iran meat demand differentiated by source. In this study, it was observed that Brazil, United Arab Emirates, Ireland and Turkey were the most gainer from an increase in the size of the imported meat market of Iran. Also, these countries had a competitive advantage compared with other export sources.

Managing Food Imports for Food Security in Qatar

“…The restrictions of additivity and homogeneity hold if consumers hold rational preferences while the Slutsky symmetry is true if these rational preferences are convex. Block separability allows for the consumers to follow a two-stage decision-making process particularly when they allocate their budget to the consumption of a particular product (Thanagopal and Housset 2014;Pourmokhtar et al 2018).…”

“…Capitello et al (2015) applied the model to estimate Chinese import demand for wine. Pourmokhtar et al (2018) used the RSDAIDS model to investigate the effects of economic and non-economic factors such as meat prices, costs, and animal disease outbreaks on meat demand from different sources in Iran. Lee et al (2020) used RSDAIDS model in India to estimate the effect of tariffs on fresh apples from the United States.…”

“…where Q t i h is the quarterly dummy t = 1, 2, 3 and ln p j = ∑ k w j k ln p j k such that only the prices of the same type of food commodity from different sources varied; the prices of other types of food commodity from various origins were represented by an aggregate price for that food commodity in the equation of a given food commodity type from a differentiated source in keeping with the block substitutability assumption (Yang and Koo 1994;Deaton and Muellbauer 1980;Pourmokhtar et al 2018;Henneberry and Hwang 2007;Mutondo and Henneberry 2007).…”